Payless Closing In March/16,000 To Lose Jobs
PAYLESS SHOESOURCE WILL BEGIN CLOSING STORES IN MARCH WITH ALL CLOSED BY MAY IN THE U.S. AND CANADA
(CNN) – Payless Shoe Source filed for bankruptcy again Monday and this time, it’s for real.
The company is closing all 2,500 of its stores in the U.S. and Canada.
That’s going to put about 16,000 people out of work.
The news comes less than two years after Payless emerged from its previous chapter eleven filing.
The shoe retailer lost $63 million in 2018 and may not be able to pay the $1.3 million it owes employees in severance payments.
More than 400 other stores owned by the company will stay open in 20 other countries, primarily in Latin America.
Stores in the U.S. and Canada should all be closed for good by the end of May.
Closing after filing a second bankruptcy, known colloquially as chapter 22, is a fate that has riddled several retailers lately.
Radio Shack, American Apparel, and Gymboree all shuttered shortly after emerging from Chapter 11.