Subway Could Shrink to Smallest Size in Years as California's $20 Minimum Wage Does Major Damage

The Subway chain is shrinking in a trend that could grow now that California’s sky-high minimum wage for fast food workers is in effect.

Subway closed 733 American stores in 2023, according to the New York Post.

Although it added 396 stores and acquired some others, overall the chain’s store count dropped by 443.

Overall, Subway began 2024 with 20,133 American stores. It started 2023 with 20,576 stores.

In November, CEO John Chidsey estimated a net loss of about 100 stores.

“We’ll be treading water in the U.S. at worst,” Chidsey said.

Subway peaked with about 27,000 locations in 2015 and has declined every year

Subway Could Shrink to Smallest Size in Years as California’s $20 Minimum Wage Does Major Damage