Kroger To Close 3 Stores In Los Angeles In Response To Approval Of 'Hero Pay' Mandate
LOS ANGELES (CBSLA) — Kroger is closing three more of its stores in Los Angeles after the city passed a “hero pay” ordinance mandating a $5 pay bump for grocery and pharmacy workers.
Two Ralphs stores — at 9616 West Pico Blvd. and 3300 West Slauson Ave. – and a Food 4 Less at 5420 W. Sunset Blvd. will be shut down on May 15, according to Kroger. The company said Wednesday the three stores were already under-performing, and the Los Angeles mandate accelerated their closure.
“It’s never our desire to close a store, but when you factor in the increased costs of operating during COVID-19, consistent financial losses at these three locations, and an extra pay mandate that will cost nearly $20 million over the next 120 days, it becomes impossible to operate these three stores,” Kroger said in a statement.
It’s not clear how many workers will be laid off when the three stores close in May. But Kroger said it would provide the mandated extra pay to all associates, including those who work in the three locations scheduled to close.
Read more: https://losangeles.cbslocal.com/2021/03/12/kroger-closing-3-stores-los-angeles-response-approval-hero-pay-mandate/
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