Bed Bath & Beyond Is Reportedly Closing Stores, Slashing Brands & Laying Off Employees

There could be bad news on the horizon for fans of Bed Bath & Beyond in Canada! New reports suggest the retailer is closing over 100 of its stores and slashing brands in order to avoid bankruptcy.

On Wednesday, the retailer confirmed its plans to lay off around 20% of its corporate employees. It also said it will close around 150 stores and slash several of its home goods' brands.

Other staff layoffs related to the store closures are also to be expected. The New York Times reports that, as of February, the company had around 32,000 employees.

While the company has secured over US$500 million in financing, Bed Bath & Beyond says it's still expecting to record another quarter of negative cash flow in 2022. It's also predicting a 20% fall in sales this year.

It's not yet clear which stores are slated to close, although the company says it has already "identified and commenced the closure of approximately 150 lower-producing Bed Bath & Beyond banner stores."

Narcity reached out to the retailer for more details about the store closures and whether any Canadian locations will be impacted. A response had not been received at the time of publication.

"The Company continues to evaluate its portfolio and leases, in addition to staffing, to ensure alignment with customer demand and go-forward strategy," reads Wednesday's notice.

It says customers will benefit from the changes being made at the company, as it moves to "rebalance its assortment and improve inventory."

In stores, customers can expect the return of popular national brands, as well as "new, emerging direct-to-consumer brands."

Owned brands that will be on the way out include Studio 3B, Haven and Wild Sage, while others like Simply Essential, Our Table, Nestwell, Squared Away and Everhome will be "substantially reduced."

It remains to be seen whether Bed Bath and Beyond will manage to recover from the losses it's experienced, but if it did close stores in Canada it would be one of several to do so in recent years.

Following the COVID-19 pandemic and related lockdowns, many big-name brands have scaled back operations or shut down entirely in Canada.

However, it's not all bad news. While many businesses are closing their doors for good, others have announced significant expansion plans for 2023 and beyond in Canada, including retailers like Dollarama and IKEA. Even Zellers is making a comeback!

This article's cover image was used for illustrative purposes only.