What’s open and closed this Labor Day: Major discounts at Target, Walmart, and Lowe’s

Labor Day, observed on the first Monday in September, is a key holiday in the US that signals the end of summer and the start of the back-to-school season. 

As Americans prepare for the holiday, they indulge in travel, and barbecues, and take advantage of summer clearance sales and back-to-school shopping. 

Despite ongoing economic challenges, consumers are expected to spend significantly, although businesses across various sectors have adjusted their schedules to accommodate the holiday.

Labor Day's historical roots

Labor Day was first celebrated on September 5, 1882, in New York City, following the push for a national holiday to honor American workers. 

It became a federal holiday in 1894, thanks to President Grover Cleveland. 

Over time, the holiday has evolved from a day of worker rallies and parades into a day associated with leisure, shopping, and travel.

45% of Americans planning to shop Labor Day sale

According to a recent survey by the coupon and cashback app Smarty, 45% of US consumers plan to shop for Labor Day sales this year. 

This significant interest in discounts comes amidst ongoing inflationary pressures. Major retailers like Walmart, Target, Lowe’s, Macy’s, and Home Depot are capitalizing on this trend by offering substantial discounts on a range of products, from home appliances to clothing.

However, not all consumers are ready to spend. 

The same survey reveals that 26% of respondents intend to be more frugal due to financial constraints. 

This reflects broader economic concerns about inflation and rising living costs, which are impacting household budgets. 

As a result, while many will seize the opportunity to shop, others will adopt a more cautious approach.

Walmart, Target, Home Depot to remain open; Costco closed

Most major national retailers, including Walmart, Target, Kohl's, Macy's, Home Depot, Lowe’s, and Belk, will remain open on Labor Day, offering significant sales to attract shoppers looking for end-of-summer bargains and back-to-school essentials. 

For instance, Home Depot’s Labor Day sale features up to 50% off on home appliances, outdoor equipment, and tools.

In contrast, some stores will close for the holiday. 

Costco, for example, will be closed, following its policy of closing for most major US holidays. 

Competitors like Sam’s Club and BJ’s Wholesale will remain open.

Which grocery stores and pharmacies will remain open?

Many grocery stores will operate on Labor Day, though some may have reduced hours. 

Aldi stores will close early, while Trader Joe’s, Publix, Kroger, Food Lion, Albertsons, and Safeway will maintain regular hours. 

Convenience stores like 7-Eleven, Circle K, and Wawa will also be open for last-minute needs.

Pharmacies such as Walgreens and Rite Aid will be open, but hours may vary. 

Walgreens will maintain regular hours, while Rite Aid stores might have different schedules, so customers are advised to check online.

Chain restaurants, including McDonald's, Chick-fil-A, Starbucks, Dunkin’, and Taco Bell, will generally be open, though hours may vary by location. 

Starbucks, Krispy Kreme, and Dunkin’ have launched their fall menus, including popular pumpkin spice items, in preparation for the autumn season.

Banks, stock markets, and postal services to remain closed 

Financial institutions, including banks and stock markets, will be closed on Labor Day. 

Major banks such as Capital One, Bank of America, and JPMorgan Chase will not be open. 

The New York Stock Exchange and Nasdaq will also be closed, resuming trading the following day. 

The US Postal Service will suspend all operations, including deliveries, though some UPS Store locations will remain open. 

FedEx services will largely be unavailable.

What is the impact of Labor Day on US economy?

Labor Day underscores the vital role of various industries in the US economy. 

The holiday drives demand in sectors such as grocery stores, gas stations, airlines, and hospitality. 

In 2023, grocery stores employed 2.8 million workers, while gas stations had 976,000 employees. 

The airline industry employed 480,000 workers, and hotels and motels had over 1.5 million employees. 

These figures reflect the economic importance of Labor Day and its impact on employment across multiple sectors.

By recognizing these trends, businesses and consumers alike can better navigate the economic landscape during Labor Day and beyond.

Source: Bureau of Labor Statistics