U.S. Retailer Trying to Sell Its Stores, Could Lay off Thousands
The end of a large U.S. retailer could be on the horizon after it filed for bankruptcy for the second time in five years, just days after announcing major layoffs. The largest business of its type in America, the first store opened 73 years ago.
On Friday, April 14, David's Bridal informed the Pennsylvania Department of Labor that the company was "in the process of evaluating its strategic options, including a sale as a going concern, a sale of certain assets and intellectual property, or a potential winddown of some or all of the business and resulting limited or Company-wide reduction in force and job elimination of employees..."
The filing goes on to say "The sites at which the mass layoff and/or plant closing will likely occur are all of the Company's locations..."
The company indicates that it may eliminate more than 9,200 jobs nationwide if it can't find a buyer for the company. Some layoffs have already begun and will continue through June.
Layoffs of David's Bridal corporate employees started on April 14, with a second round expected on a single day between May 13 and May 27. The final corporate cuts would be made on a specified day between June 12 and August 11. That date, and the one in May, are not known or were not included in the filing.
Andrea Dauphinee, the Senior Vice President of Human Resources for David's Bridal, said in the filing that distribution center employee layoffs would happen on a day between June 12 and June 26 with store employee cuts to happen on an unannounced, or undetermined date between June 12 and August 11, 2023.
KCRG reports that David's Bridal has told Iowa Workforce Development it will be laying off 26 employees at the Marion location in Collins Road Square.
David's Bridal filed for Chapter 11
Monday, David's Bridal filed for Chapter 11 bankruptcy for the second time in five years. The first filing came in November 2018.
CNN reports that in the bankruptcy filing, David's Bridal said one of their biggest challenges is "An increasing number of brides are opting for less traditional wedding attire, including thrift wedding dresses."
How Many Davids Bridal Stores Are There?
All of the approximately 300 David's Bridal stores, and the company's website, remain open and returns, exchanges, and gift cards continue to be accepted.
- There are two David's Bridal locations in South Dakota, in Sioux Falls and Rapid City.
- There are four David's Bridal locations in Iowa
- Two David's Bridal locations in Nebraska
- Six David's Bridal locations in Minnesota
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