Dollar General made a big change to respond to this awful reality under Joe Biden

Jun 7, 2024

Dollar General became one of the fastest-growing retailers in the country because of its low prices and convenience.

But like everyone else, they’re being forced to adapt to the new economy.

And Dollar General made a big change to respond to this awful reality under Joe Biden.

Dollar General removing self-checkout in response to rising crime 

Shoplifting has become a national crisis under President Joe Biden.

Retail theft has been rising across the country with stores becoming targets of increasingly sophisticated gangs of thieves.

Videos have gone viral on social media of organized retail theft rings rushing stores in California and cleaning them out in minutes.

But shoplifting isn’t just a problem for major cities ruled by Democrats with pro-crime District Attorneys.

Even small town favorite Dollar General is being forced to change the way it operates because of retail theft.

Shrink is the retail industry term for stolen or lost inventory.

Dollar General’s CEO, Todd Vasos, told investors during an earnings call that shrink continues to be a problem for the company so they’re taking more proactive measures to fight it.

“Shrink continues to be the most significant headwind in our business, and we are deploying an end-to-end approach to shrink reduction across the organization, including efforts in our supply chain, merchandising, and within our stores,” Vasos said.

Dollar General has removed self-checkout from 12,000 stores this year to fight retail theft.

The Goodlettsville, Tennessee-based will keep self-checkout at a few locations that are “higher volume and low-shrink locations.”

3,000 self-checkout stations were removed in May alone with more to come this summer.

Vasos admitted that it could take time for the changes to pay dividends.

“While this represents a significant change in our stores, we believe this is the right course of action to drive increased customer engagement while also better positioning us to begin reducing shrink in the back half of ’24 with a more material positive impact expected in 2025,” Vasos said.

Dollar General is also planning on removing items that are most likely to be stolen from its stores.

Customer feedback indicated that shoppers preferred to have an employee at the cash register according to Dollar General.

“We believe there is truly no substitute for an employee presence at the front end of the store to greet customers and provide excellent customer service, including at checkout,” Vasos explained.

Dollar General joins the trend away from self-checkout

Dollar General and other retailers enthusiastically adopted self-checkout to save on labor costs and move customers through lines more quickly.

But the rise in retail theft nationally could spell doom for self-checkout stations.

Walmart – the country’s largest retailer – has started to remove them at some locations and limit their use to Walmart+ members.

Other retailers are limiting the number of items for self-checkout to 10 and checking the receipts of shoppers who use them.

GlobalData retail managing director Neil Saunders told CBS’ MoneyWatch they were easily exploited by thieves.

“Self-checkout is an area of the store people can steal things,” Saunders said. “Retailers are very actively trying to reduce it, or in Target’s case put more restrictions around self-checkout to try to reduce the losses they incur from it.”

Self-checkout is on its way to being a relic of the past because of the national crime wave under Joe Biden.

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