2,500 jobs at risk as Nordstrom shuts down all of its Canadian stores

Nordstrom Inc. is set to shut down all 13 of its stores in Canada after winding up operations in the country, cutting about 2,500 jobs in the process, according to media reports.

The decision to wind up comes as chief executive Erik Nordstrom had previously cited that the Seattle-based firm had faced challenges while attempting “to build and sustain a long-term business” in Canada. Setting up shop in Canada back in 2014 at Calgary’s CF Chinook Centre, the luxury retailer had since expanded to 13 locations across the nation including Ottawa, Vancouver and Toronto.

According to the recently released fourth-quarter results, the luxury retailer’s net earnings stood at US$119 for the period ending January 28, a steep decline from the US$200 net earnings during the previous period. Nordstrom’s discount outlet, Nordstrom Rack, will also be affected as a result of the winding up operations, media reports further added.

Nordstrom is set to shut down all 13 of its locations in Alberta, British Columbia, and Ontario. The luxury retailer’s online Canadian site has also reportedly shut down for shopping.

A Nordstrom liquidation sale is also expected to take place in March, according to the company.