Nordstrom axes 380 jobs as it prepares to shutter San Francisco stores

Nordstrom will axe nearly 380 jobs at its two stores in San Francisco as it prepares to shutter both locations this summer amid a seemingly unrelenting crime wave in the city.

The clothing retailer is the latest company to pull its business from the Bay Area as workers struggle to deal with an increase in shoplifting compounded by a drop in foot traffic.

Nordstrom will cut a combined total of 379 jobs at the Nordstrom department store in the Westfield Mall and the Nordstrom Rack a few doors down on Market Street, according to filings sent to the state Employment Development Department and obtained by The Mercury News.

An estimated 333 people will lose their jobs at the Nordstrom store in the mall and another 46 at the outlet store, according to the filings.

Some employees will be offered jobs at other Nordstrom locations, Nordstrom’s human resources director Meghan Hannes said in the document.

The Nordstrom Rack on Market Street will close on July 1.

Shoppers walk by a Nordstrom sign at Westfield San Francisco Centre on May 11, 2023 in San Francisco, California.
The Nordstrom department store inside the Westfield Mall in San Francisco will close at the end of August.
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The Westfield Mall store will close its doors by the end of August, while the Nordstrom Rack’s final day will be July 1.

Nordstrom announced the forthcoming closures earlier this month citing “the deteriorating situation” in San Francisco and a downtown market that has “changed dramatically” in a note to employees.

“We’ve spent more than 35 years serving customers in downtown San Francisco, building relationships with them and investing in the local community,” Nordstrom told impacted employees in the message obtained by KGO-TV.

“But as many of you know, the dynamics of the downtown San Francisco market have changed dramatically over the past several years, impacting customer foot traffic to our stores and our ability to operate successfully.”

Nordstrom (top) is seen engraved on the Westfield Mall next to Nordstrom and Westfield banners hanging outside the mall on Tuesday, May 2, 2023 in San Francisco, Calif.
The Westfield Mall’s owner said Nordstrom’s decision to close its stores illustrates “the deteriorating situation” in the city.

The owner of the Westfield Mall, Unibail-Rodamco-Westfield (URW), said Nordstrom’s planned shutdown “underscores the deteriorating situation in downtown San Francisco.”

“A growing number of retailers and businesses are leaving the area due to the unsafe conditions for customers, retailers, and employees, coupled with the fact that these significant issues are preventing an economic recovery of the area,” a URW spokesperson said.

Another major retailer, a Whole Foods Market, previously announced plans to close its downtown location just one year after opening.

At least 20 stores in the city’s Union Square area have shuttered since 2020, the San Francisco Standard reported.