Kroger, one of the largest supermarket operators in the United States, is moving forward with a plan to shut down dozens of underperforming grocery stores nationwide — and California is already feeling the impact. The closures are part of Kroger’s bigger plan to close underperforming stores nationwide.
Why Kroger is closing stores
The company announced in 2024 that it would close about 60 underperforming stores over an 18-month period as part of a broader effort to streamline operations and improve profitability.
While the full list of closures has not been disclosed, several locations have already been confirmed, including three stores in California scheduled to shut down this month.
California already hit by multiple store closures
According to WARN filings with state labor officials, three Kroger-owned stores in California are slated to close in March, affecting 171 employees.
Two of the closures involve the company’s Foods Co. banner. A store located in Fresno and another in Sacramento are both scheduled to close on March 14, eliminating 49 and 58 jobs respectively.
A third closure will impact a Food 4 Less store in Inglewood, which is expected to shut down on March 28, resulting in 64 layoffs.
Why Kroger is shutting down stores
Kroger first revealed the strategy during a 2025 earnings call, explaining that it planned to close stores that were no longer financially viable. Executives said shuttering underperforming locations would allow the company to redirect resources toward stronger stores and improve overall efficiency.
The grocery industry has faced mounting pressure in recent years as retailers compete aggressively on price while managing rising labor, supply chain, and operational costs. Additionally, a failed merger with Albertson’s in 2024 cost Kroger’s around $1 billion, a significant financial setback.
More closures could follow
Kroger has not released a complete list of the stores expected to close, meaning additional locations across the country could still be affected as the company continues evaluating its store portfolio.
With those three closures already scheduled this month, California is the first state seeing the real-world impact of the company’s restructuring strategy. Unfortunately, this is only the beginning…
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