Five Guys closing multiple California stores amid financial woes
New York Post • • business
Key Points:
- Five Guys is closing four California locations—in Whittier, City of Industry, Merced, and Hanford—resulting in 55 job losses due to financial hardships and rising business expenses.
- The chain faces criticism for high menu prices, with customers expressing that the cost of a typical meal is significantly higher than competitors like In-N-Out, contributing to declining patronage.
- Despite these challenges, Five Guys recently ranked first in a national survey for America’s favorite fast-food burger, outperforming competitors such as In-N-Out, Burger King, and Wendy’s.
- The closures coincide with California’s 2024 minimum wage increase to $20 per hour, which is impacting the fast-food industry’s operating costs and profitability.
- Five Guys continues to operate over 100 locations in California and nearly 2,000 worldwide, indicating the closures are selective rather than a broad retreat from the state.