Major auto parts retailer laying off 1,617 employees in California

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CALIFORNIA — Advance Auto Parts notified the state, November 14, that it was permanently closing 136 stores in California, and 1 distribution center in San Bernardino county.

The company is laying off a total of 1,617 employees as a result of the closures. 

Although Advance Auto Part operates more than 4,700 stores in the United States, Canada, Puerto Rico and the U.S. Virgin Islands, their decision to close all of its California locations reflects a broader trend of retail closures in the state. 

Other major chains like Rite Aid, Big Lots, and Macy’s have shut down numerous locations due to financial struggles and shifting consumer behaviors

Over 500 store closures nationwide

Advance Auto Parts layoffs come amid a less than desirable third-quarter earnings report.

In a news release, the company said that they had a third-quarter net profit of $2.1 billion – a $100 million decrease compared to 2023 third-quarter earnings.  

To turn around their performance, the company is closing 523 Advance corporate stores, exiting 204 independent locations, and closing four distribution centers.

The company also plans to make improvements to its merchandising and supply chain management.

WARN 60 days prior to mass layoff

Advance Auto Parts notified the California Employment Development Department (EDD) about its plans to close all of its California stores.

The Worker Adjustment and Retraining Notification (WARN) report provides detailed information on employment layoffs and closures. 

Under the WARN Act, employers with 100 or more employees must give a 60-day notice before any plant closing or mass layoffs. This allows workers and their families time to prepare for employment loss.

RELATED: Furniture store with 10 SoCal locations closing – up to 30% off going out of business sale

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