Blaming the city’s newly imposed $4 an hour COVID-19 hazard pay for grocery workers, QFC announced Tuesday it is closing two “underperforming” Seattle stores including its Capitol Hill grocery on 15th Ave E.
“Our business provides affordable groceries, good jobs with growth opportunities to thousands of Seattle residents, and proudly supports thousands of local community organizations,” the statement from the Kroger-owned grocery company announcing the closures reads. “We need a level playing field to deliver on these commitments. Unfortunately, Seattle City Council didn’t consider that grocery stores — even in a pandemic — operate on razor-thin profit margins in a very competitive landscape. When you factor in the increased costs of operating during COVID-19, coupled with consistent financial losses at these two locations, and this new extra pay mandate, it becomes impossible to operate a financially sustainable business.”
Kroger’s most recent reports show the company smashing forecasts with a surge in revenue and profits during the pandemic.
The 15th Ave E store will remain open through April 24th, the company said. The 35th Ave NE store in Wedgwood is also on the chopping block. Continue reading