California Shoppers Rush to 99 Cents Only Shops Before Closure, Criticisms Pointed at Newsom

The closure of 99 Cents Only Stores has reverberated throughout communities in California, Nevada, Texas, and Arizona, marking the end of an era for many residents who relied on these affordable retail outlets. Founded in 1982 in California, the company has been a staple in the retail landscape, offering a wide range of goods at budget-friendly prices. However, the announcement of approximately 371 store closures has left customers disheartened and has prompted speculation about the underlying causes of this decision.

One significant factor contributing to the closures, according to local shoppers like Rick Juarez, is the impact of Governor Gavin Newsom’s policies. Critics argue that the state’s high taxes and minimum wage requirements have placed undue financial strain on businesses, making it increasingly difficult for them to remain competitive. With operating costs on the rise, companies like 99 Cents Only Stores have struggled to maintain profitability, ultimately leading to the decision to shutter hundreds of locations.

For many residents, the closures represent more than just the loss of a retail option; they signify the erosion of access to affordable goods and essential items. Over the years, 99 Cents Only Stores have served as a lifeline for individuals and families living on tight budgets, offering a diverse array of products at prices that fit within constrained financial means. Customers like Altagracia Nuñez fondly recall the convenience of being able to purchase toys for their children, school supplies, groceries, and other necessities—all at incredibly low prices.

The closures have raised concerns about the broader economic implications for communities, particularly for low-income individuals who rely heavily on discount retailers for their shopping needs. Victor Barrios, a delivery driver, highlights the importance of these stores for vulnerable populations, noting that alternatives like traditional grocery chains may not be financially viable for everyone. The loss of affordable shopping options could exacerbate existing inequalities and further strain household budgets, particularly in the midst of economic uncertainty.

While the company’s Interim CEO, Mike Simoncic, acknowledges the challenges facing the retail sector, including the impact of the COVID-19 pandemic and inflationary pressures, the decision to wind down operations represents a significant blow to communities already grappling with economic hardships. Despite efforts to explore alternatives, the closure of 99 Cents Only Stores underscores the harsh realities of the retail landscape and the difficult choices faced by businesses in an increasingly competitive environment. As communities brace for the loss of these beloved stores, the ripple effects of their closure are likely to be felt for years to come.