Retail grocery store chain Kroger closed two California stores Saturday after Long Beach City approved a coronavirus hero pay ordinance, reports Fox Business.
Hero pay ordinances in the city require retail stores and pharmacies with 300 or more workers to pay those workers an additional $4.00 per hour hero pay.
Democratic Mayor Robert Garcia approved the ordinance in January.
The company also plans to close three Los Angeles locations on May 12, citing a mandated $5.00 per hour hero pay as the leading factor for its decision. The mandate will add an additional $20 million in operating costs over the next 120 days, making it financially unsustainable to continue operating the three underperforming locations, Kroger said in a statement.
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