Leon’s Furniture Ltd. (LFL) is laying off almost 4,000 employees and temporarily closing 72 of its 205 stores across Canada.
“LFL is in the process of adjusting its retail operations in response to the global COVID-19 pandemic,” states the company’s news release. LFL says the stores’ closures are part of a “difficult strategic decision” and that the 3,900 employee layoff represents 50% of its current workforce.
Though the layoff is on a temporary basis, the company says it will be enhancing the employment insurance benefits to impacted workers with supplemental payments from the company.
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LFL is the largest retailer of furniture, mattresses, appliances, and electronics in the country. Its retail banners include Leon’s, The Brick, The Brick Mattress Store, and The Brick Outlet.
The company says it will “continue to serve Canadians by providing essential products for the home both through open physical locations and online.
The news release concluded to say it will “continue to make responsible adjustments to its business practices as the situation continues to evolve.”