Nordstrom Inc. announced it will extend its temporary store closure for at least one week through April 5.
Due to the uncertainty of COVID-19, the company will continue to assess the situation market-by-market and will provide further updates as appropriate. This closure impacts all U.S. and Canada stores including Nordstrom, Nordstrom Rack, Trunk Club, Jeffrey, Nordstrom Local, and Last Chance.
“We are taking action across our business to respond to the challenges we are facing today and to best position Nordstrom for our employees, customers and shareholders. We have a responsibility to protect the health of our people, while also preserving our long-term ability to offer jobs and benefits to our employees. The decisions we make are with that in mind,” said Erik Nordstrom, chief executive officer, Nordstrom, Inc.
Since March 17, Nordstrom has provided ongoing pay and benefits to all store employees impacted by the temporary closures. The company plans to offer store employees an additional week of pay through April 5 as well as benefits through April. The company will require a smaller workforce to execute the critical activities of the business during this time. As a result, it will furlough a portion of corporate employees starting April 5 for six weeks. Impacted corporate employees will continue to receive enrolled benefits.
“This is the most difficult decision we have made in our company’s long history. Through our 119 years, our company has faced many challenges, but these are unprecedented times,” said Nordstrom. “We take very seriously the responsibilities we have with our people, customers and all stakeholders. We are confident these steps will help ensure the health of our company as we continue to navigate the unknown and changing environment we are facing.”
The Nordstrom Executive Leadership Group will forgo a part of their salary and both Pete and Erik Nordstrom will decline their salary from April through September. Similarly, all members of the company’s Board of Directors will forgo cash compensation for a six-month period.
Photo courtesy Nordstrom