Retail News

Kroger shutting two SoCal stores over local ‘hero pay’ ordinance

KTLA 02/02/2021

Kroger has decided to close a Ralphs supermarket and a Food 4 Less store in Long Beach, CA, after the city passed an ordinance requiring the company to pay an additional $4 per hour to some of its associates in those locations. The so-called “hero pay” ordinance requires employers in the city to pay frontline workers at greater risk from COVID-19 the additional pay for at least 120 days. Kroger, which paid workers an additional $2 an hour when the pandemic hit, balked at the city’s requirement, saying the stores in Long Beach were already struggling before COVID-19 and would not be viable with an even larger payroll.

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