L.A. to provide resources to hundreds of 99 Cents Only workers losing their jobs

Andrea Chang
Huntington Beach, CA - April 05: Shoppers exit the 99 Cent Only store in Huntington Beach Friday, April 5, 2024. All 99 Cent Only stores will be closing soon. It is a store where many families go to food shop for less. (Allen J. Schaben / Los Angeles Times)
Shoppers exit a 99 Cents Only store last week. All 371 locations are liquidating. (Allen J. Schaben / Los Angeles Times)

The city of Los Angeles will provide informational resources to 99 Cents Only workers who are losing their jobs as a result of the discounter's impending store closures, Mayor Karen Bass announced Friday.

The support will extend to people who work at the company's more than 30 stores in the city, she said. 99 Cents Only Stores, which operates 371 extreme-discount outlets in California, Texas, Arizona and Nevada, announced last week that it was closing all of its locations and winding down its business after 42 years.

"We must do all we can to support Angelenos during this difficult time," Bass said.

Read more:99 Cents Only was an L.A. icon. Inside the fall of the popular chain

The city did not specify how many workers would be eligible to receive support. In a bankruptcy filing, the City of Commerce-based retailer said it has 10,874 employees.

L.A.'s Economic and Workforce Development Department has already activated its Rapid Response Team to support the effort, Bass said.

The team, along with the mayor's Office of Community Engagement, will visit the stores, which are in the process of liquidating, to make information and materials available to employees.

Resources include daily virtual presentations in English and Spanish to help workers make sense of unemployment insurance. The city’s 14 WorkSource Centers are also available to answer questions about being laid off and future employment opportunities.

Bass said the city is also coordinating with Los Angeles County to make the resources available to 99 Cents Only workers throughout the region.

Read more:99 Cents Only to close all 371 stores and wind down its business

99 Cents Only announced April 4 that it was calling it quits, blaming a series of factors that included the COVID-19 pandemic, escalating theft and crime, competition, increases in operating costs stemming from high inflation and the expense of servicing its debt. The privately held company also cited significant minimum-wage jumps, particularly in California, where 265 of its stores are.

Going-out-of-business sales began the next day and are expected to end April 19, with prices storewide slashed by up to 30%.

This story originally appeared in Los Angeles Times.

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