Kohl’s has announced it will close 27 underperforming stores across the U.S. by April 2025, representing less than 3% of its over 1,150 locations. The decision comes as part of the company’s effort to strengthen its long-term growth strategy and ensure the health of its business in an increasingly competitive retail environment.
Tom Kingsbury, CEO of Kohl’s, emphasized the importance of making strategic adjustments to position the company for future success. “As we continue to build on our long-term growth strategy, it is important that we also take difficult but necessary actions to support the health and future of our business for our customers and our teams,” Kingsbury said in a statement.
The Wisconsin-based retailer has assured that all employees impacted by the closures have been informed and offered either a competitive severance package or the opportunity to apply for open positions at other Kohl’s locations.
Kohl’s is not the only major retailer making such decisions. Macy’s also announced the closure of 66 stores set to take place in 2025. As the retail industry adapts to changing consumer habits and economic pressures, strategic moves like these are aimed at preserving jobs, supporting communities, and ensuring stability for the long term.
Last month, Big Lots announced that it will begin its Going Out of Business (GOB) sales at all its stores.
“We all have worked extremely hard and have taken every step to complete a going concern sale,” Big Lots President and CEO Bruce Thorn said. “While we remain hopeful that we can close an alternative going concern transaction, in order to protect the value of the Big Lots estate, we have made the difficult decision to begin the GOB process.”
The retailer filed for bankruptcy in September, citing inflation and interest rates as the primary drivers behind the filing. The company filed for Chapter 11 protection, agreeing to sell its assets and business operations to Nexus Capital Management.
