Costco is closing all 634 stores across the United States on Monday, September 1, 2025, in observance of Labor Day. The decision reflects the wholesale giant’s long-standing policy of closing for major federal holidays.
Why It Matters
The Labor Day holiday comes during a busy stretch of the year, often signifying the waning days of summer and colder weather starting to take hold. Most students and educators have already started back to school. Others may be hosting parties or barbecues that sync with the extended weekend and workers’ days off and intertwine with large sports schedules.
What To Know
Which holidays is Costco closed?
Costco closes for seven major American holidays each calendar year: Christmas Day, Easter Sunday, Independence Day, Labor Day, Memorial Day, New Year’s Day and Thanksgiving. The protocol has traditionally been followed to provide store employees with time off, as part of a broader commitment to improving and maintaining a strong work-life balance.
What is the purpose of Labor Day?
Labor Day, traditionally observed on the first Monday in September each year, annually celebrates the social and economic achievements of American workers.
The holiday dates back to the late 19th century when labor activists pushed for a federal holiday to recognize the various contributions workers have made to America’s strength, prosperity and well-being, according to the U.S. Department of Labor.
It was states like Oregon, which was the first to pass a law recognizing Labor Day on February 21, 1887, that provided the impetus to make the holiday nationally recognized. Later that year, four more states—Colorado, Massachusetts, New Jersey and New York—passed laws creating a Labor Day holiday, later followed by Connecticut, Nebraska and Pennsylvania before the end of that decade.
After 23 states had adopted the holiday by 1894, Congress followed suit at the federal level on June 28, 1894, and passed an act making the first Monday in September of each year a legal holiday.
Which grocery stores are open on Labor Day 2025?
Costco’s closure stands out in a retail landscape where most major grocery chains, including Walmart, Sam’s Club, Aldi, Target, Kroger and others, remain open.
Other stores, wholesale or otherwise, are open but may have limited or altered hours due to the holiday. BJ’s Wholesale, a competitor of Costco like Sam’s Club, will also remain open.
What People Are Saying
Kevin Thompson, the CEO of 9i Capital Group and the host of the 9innings podcast, told Newsweek in May: “Costco has been a strong proponent of keeping their integrity, whether it be with the culture of Diversity, Equity and Inclusion as well as supporting holidays the current administration may not support. Costco has seen a considerable tick-up in sales after their rebuke of what was deemed an overstep, and customers have supported them with their pocketbooks.”
What Happens Next
Costco stores will reopen with normal business hours on Tuesday, September 2.
The post Costco Plans to Close All Stores for One Day: Here’s Why appeared first on Newsweek.
