Stewart-Haas Racing, NASCAR Cup Series Team Owned by Gene Haas and Tony Stewart, Announces Permanent Closure and Massive Layoff

In a shocking turn of events, Stewart-Haas Racing, the Kannapolis-based team co-owned by Gene Haas and NASCAR legend Tony Stewart, is set to permanently close its doors, resulting in the layoff of hundreds of employees. The news came as a bolt from the blue for many, including long-time fans and industry insiders like Patterson, who expressed his surprise upon hearing about the layoffs. The closure was officially confirmed through a Worker Adjustment and Retraining Notification (WARN) notice released on a recent Monday. This significant development is expected to result in 323 layoffs, with affected workers being notified on May 28 and the layoffs commencing on November 11. The team will be fully shut down by December 31, marking the end of an era for one of NASCAR’s most storied teams.

The decision to close Stewart-Haas Racing involves intricate financial and operational considerations. According to the WARN notice, one of the team’s owners, either Gene Haas or Tony Stewart, will buy out the other’s partnership interest, although it has not been specified who will be doing so. Once this transaction is completed, the company will be renamed, and the staff will be drastically reduced to around 90-100 employees. While some current staff members may have the opportunity to stay on with the newly named company, the specifics of these transitions remain unclear. The WARN report includes a detailed list of job titles and the number of workers that will be laid off, providing a transparent view of the upcoming changes within the organization.

The announcement of Stewart-Haas Racing’s closure comes amid the ongoing COVID-19 pandemic, which has had a profound impact on the racing industry. The economic struggles and operational challenges brought about by the pandemic have forced many companies, including those in motorsports, to reevaluate their business models and make difficult decisions. It remains uncertain how the closure will affect the future racing plans of Gene Haas and Tony Stewart, both of whom have been pivotal figures in the NASCAR Cup Series. The WARN notice was released in compliance with federal regulations that require employers to give advance notice of significant layoffs, ensuring that affected employees have some time to prepare for the transition.

The closure of Stewart-Haas Racing will undoubtedly have a significant impact on the Kannapolis community, where the team is based. Founded in 2009, Stewart-Haas Racing quickly became a well-known and successful team in the NASCAR Cup Series, capturing the hearts of racing fans and earning numerous accolades. The news of the closure has sparked concern and disappointment among racing enthusiasts and industry members alike. The layoffs will occur over several months, with the team officially closing down at the end of the year. This gradual process aims to provide some stability for the affected employees as they navigate this challenging period.

The decision to lay off employees and shut down Stewart-Haas Racing was likely a difficult one for Gene Haas and Tony Stewart. Both have invested significant time, resources, and passion into building the team and achieving success on the track. However, the struggling economy and the unique challenges faced by the racing industry during the pandemic have necessitated this drastic move. It is unclear how the remaining staff members will be affected by the closure and potential changes under new ownership. The WARN report has provided the public with a clear understanding of the number of job losses and the timeline of events related to the closure of Stewart-Haas Racing, shedding light on the broader implications for the industry.

The impact of Stewart-Haas Racing’s closure extends beyond the immediate job losses. The team has been a significant presence in the NASCAR Cup Series, known for its competitive spirit and dedication to excellence. Founded by Tony Stewart, who left his longtime ride to become an owner-driver, the team achieved remarkable success early on. Stewart won four races in the team’s first season and captured his third Cup Series championship in 2011, becoming the first owner-driver to win a title since Alan Kulwicki in 1992. In 2014, Kevin Harvick gave Stewart-Haas Racing their second title in his first year with the team, further cementing their legacy in the sport.

As the racing world grapples with the news of Stewart-Haas Racing’s closure, attention turns to the future plans of its key figures. Gene Haas has announced the formation of a new team, Haas Factory Team, which will operate with a significantly reduced staff of around 90-100 employees. This new team will have one car in the Cup Series and two cars in the Xfinity Series, continuing to maintain a presence in the racing world. Haas has emphasized that his commitment to motorsports remains unchanged, although the scope of his involvement will be different. The focus of the new team will shift towards promoting Haas Automation and HaasTooling.com, reflecting a strategic pivot in their business approach.

The drivers and employees of Stewart-Haas Racing face an uncertain future as the team prepares to wind down its operations. Current drivers, including Josh Berry, Noah Gragson, Chase Briscoe, and Ryan Preece, will need to secure new opportunities for the upcoming seasons. For the 2025 season, Berry will drive for Wood Brothers Racing, Gragson has signed with Front Row Motorsports, Briscoe will drive for Joe Gibbs Racing, and Preece is still seeking a team. The layoffs at Stewart-Haas Racing are a result of the team’s decision to restructure and reduce its size for future seasons, a move that has left many within the organization and the broader racing community searching for answers and new paths forward.

The closure of Stewart-Haas Racing marks the end of an era for one of NASCAR’s most successful owner-driver teams. Over the years, the team has fielded four cars in the NASCAR Cup Series and two cars in the NASCAR Xfinity Series, consistently delivering strong performances and memorable moments. The list of drivers who have won races with the team is impressive, including names like Ryan Newman, Clint Bowyer, Kurt Busch, Aric Almirola, and Cole Custer. Custer also won the 2023 NASCAR Xfinity Series title with Stewart-Haas Racing, adding another accolade to the team’s storied history. As the team prepares to close its doors, the legacy of Stewart-Haas Racing will be remembered for its contributions to the sport and the impact it had on fans and competitors alike.

The decision to close Stewart-Haas Racing and lay off 323 employees is a reflection of the broader challenges facing the racing industry. The economic pressures and operational difficulties exacerbated by the COVID-19 pandemic have forced many teams to make tough choices. For Gene Haas and Tony Stewart, the commitment needed for success in this demanding sport has become too great at this point in their lives. The current NASCAR season will conclude on November 10th with the Cup Series championship at Phoenix Raceway, and the layoffs will begin the following day. This timeline provides a structured approach to the closure, allowing the team to complete its final season before transitioning to new endeavors.

The closure of Stewart-Haas Racing is a significant loss for NASCAR and the Kannapolis community. The team has been a mainstay in the sport for over a decade, achieving remarkable success and earning a loyal fan base. As the racing world bids farewell to Stewart-Haas Racing, the focus shifts to the future of the drivers, employees, and the newly formed Haas Factory Team. The transition period will be challenging, but the resilience and determination that have defined Stewart-Haas Racing will undoubtedly continue to inspire those involved as they embark on new journeys. The legacy of Stewart-Haas Racing will live on, remembered for its achievements and the indelible mark it left on the NASCAR Cup Series.

As the racing community processes the news of Stewart-Haas Racing’s closure, the broader implications for the sport and its stakeholders come into focus. The layoffs and restructuring efforts highlight the need for adaptability and innovation in the face of unprecedented challenges. The formation of the Haas Factory Team represents a new chapter for Gene Haas and his continued involvement in motorsports. By maintaining a presence in the Cup Series and the Xfinity Series, Haas aims to support his customers and distributors while navigating the evolving landscape of the racing industry. The transition to a smaller, more focused team reflects a strategic shift designed to ensure long-term sustainability and success.

The legacy of Stewart-Haas Racing will be remembered not only for its on-track accomplishments but also for the camaraderie and dedication of its team members. The closure marks the end of a significant chapter in NASCAR history, but it also opens the door for new opportunities and growth. As the racing world looks ahead, the lessons learned from Stewart-Haas Racing’s journey will continue to shape the future of the sport. The resilience, passion, and innovation that defined the team will serve as a source of inspiration for the next generation of racers, engineers, and fans. While the closure of Stewart-Haas Racing is a poignant moment, it also serves as a reminder of the ever-evolving nature of motorsports and the enduring spirit that drives the industry forward.