What's Happening?
Kroger is closing approximately 60 stores over the next 18 months as it grapples with rising theft, digital pricing errors, and the aftermath of a failed merger with Albertsons. The closures are seen by some as a response to internal challenges, including staffing shortages and self-checkout issues. California's new self-checkout law, which mandates open manned registers and limits transactions to 15 items, aims to address these issues. Kroger's workforce has decreased from 465,000 in 2021 to just over 409,000 in 2025, and the company is making efforts to streamline coupon use and improve digital pricing accuracy.
AD
Why It's Important?
The store closures and operational challenges at Kroger highlight broader issues in the retail industry, such as the impact of theft and the complexities of digital pricing. The failed merger with Albertsons, blocked due to monopoly concerns, underscores the competitive pressures in the grocery sector. These developments could lead to increased competition, potentially benefiting consumers with lower prices and better service. However, the closures may negatively impact low-income communities and employees, raising concerns about job security and access to affordable groceries.
What's Next?
Kroger plans to reinvest savings from the closures into new store openings and e-commerce expansion. The company aims to complete 30 'storing projects' in 2026, including new store openings and major renovations. The impact of California's self-checkout law will be closely watched, as it could influence similar legislation in other states. Kroger's efforts to address staffing and pricing issues will be critical in maintaining customer trust and competitiveness in the grocery market.
