News about Kroger

Initial U.S. jobless claims rose by 1,000 to 199,000 for the week ending October 10, and the four-week average increased by 250 to 198,500, the Labor Department said Thursday. Claims have stayed below 220,000 so far this year, a historically low level, suggesting most companies are holding onto workers even as hiring remains sluggish in a 'low-hire, low-fire' market. The unemployment rate ticked up to 4.2% last month, and employers added just 29,000 jobs in September, below forecasts. Kroger said it would lay off about 3,000 corporate employees over the next three years, and total claims for the week ending October 3 fell by 4,000 to 1.71 million.

Initial U.S. jobless claims rose by 1,000 to 199,000 in the week ending October 10, according to the Labor Department, while the four-week average climbed to 198,500. Claims have stayed below 220,000 so far this year, suggesting most companies are holding onto workers even as hiring remains sluggish. The unemployment rate ticked up to 4.2% last month, and September job gains were just 29,000, down from 133,000 in August and below forecasts. The article notes that slower population growth and lower immigration mean the economy needs fewer jobs each month to keep unemployment low, though higher borrowing costs and energy-driven inflation could push firms to cut jobs. Kroger said it would lay off about 3,000 corporate employees over the next three years.

More than five million people have lost SNAP food assistance since the One Big Beautiful Bill passed, and the grocery industry is starting to feel the impact. Kroger announced on October 13 that it will lay off 3,000 corporate employees over three years, and CEO Greg Foran said some of that work will be partly automated with AI tools. According to Numerator, Kroger lost more than $12 billion in packaged goods spending to Amazon, Walmart and Costco over the past year, while lower-income shoppers cut their packaged goods spending by 5.2% and made 30 million fewer trips. The law shifted 75% of SNAP administrative costs to the states, and the Urban Institute projects 22.3 million of 42 million families will lose some or all benefits. Analysts warn that independent and rural grocers could close, creating more food deserts.

Albertsons is suing Kroger for more than US$9 billion in damages over their failed merger, alleging Kroger breached its merger obligations after regulators blocked the deal. The dispute between the two grocers has escalated. Separately, Kroger plans to cut about 3,000 corporate roles over three years as it expands AI-driven operations.