Fast-food chains across the U.S. are continuing to adjust store counts as higher labor costs, inflation and softer discretionary spending reshape the restaurant business. In California, Five Guys has confirmed a new round of restaurant closures that will reduce its footprint in four cities.
Five Guys is closing four California restaurants
Five Guys has confirmed plans to shut down four California locations between late May and early July, according to published reports citing company information and state WARN filings. The affected restaurants are in Whittier, City of Industry, Merced and Hanford, and the filings indicate the closures will eliminate about 55 jobs.
Reports said the Whittier and City of Industry stores were expected to close in May. The Merced and Hanford locations are scheduled to shut down later in the summer, extending the pullback into early July.
The scale of the closures is limited compared with the chain’s national size, but the move is notable in California because it affects multiple markets at once. Five Guys still operates more than 1,500 locations in the United States and nearly 2,000 globally, according to the source material, meaning the closures represent a targeted reduction rather than a broad national retrenchment.
What is confirmed in California, and what is not
What is confirmed is the closure of four specific restaurants in California and the approximate job losses tied to those shutdowns. The source material identifies the cities as Whittier, City of Industry, Merced and Hanford, with timing that runs from late May into early summer.
The company has not released a comprehensive public list of any additional affected California locations beyond those four stores. It also has not publicly detailed whether the closures involve company-operated restaurants, franchise operators, lease decisions, or other site-specific factors at each address.
That distinction matters because restaurant closures can reflect local real estate costs, labor expenses, sales performance or operator finances rather than a statewide exit strategy. Based on the available reporting, Five Guys is scaling back in selected California markets, but there is no public confirmation that the brand is abandoning the state or undertaking a wider California shutdown beyond the sites already identified.
Rising costs and shifting spending are central factors
Reports tied the closures to financial hardship as operators continue managing California’s rising labor, rent and operating costs. That explanation aligns with broader restaurant industry pressures that have been building as food, insurance and occupancy expenses remain elevated.
The source material also points to shifting consumer behavior. Analysts cited in those reports said some diners are becoming more cautious about premium fast-food spending, a challenge for chains like Five Guys that often price meals above traditional value-oriented competitors.
Five Guys has faced frequent discussion online about menu prices, with some customers pointing to burger-and-fries orders that can exceed $20 in certain markets. While price alone does not explain any single closure, the reported combination of higher costs and more budget-conscious consumers provides the clearest available context for why some California stores are being shut down now.
What customers in California should expect next
For customers, the immediate effect is straightforward: four California communities are losing local Five Guys restaurants, and workers at those stores are expected to be affected by the job cuts listed in the WARN filings. Residents in those areas may see closure notices, reduced hours ahead of shutdown dates, or menu and staffing changes as stores wind down operations.
Outside those cities, there is no public indication from the source material that Five Guys is ending service across California. The company continues to maintain a large national footprint, and the available reporting says the brand posted a net gain in locations last year while still opening restaurants in other states.
That means California customers should view the closures as a market-specific contraction, not a nationwide disappearance of the chain. For now, the confirmed facts are limited to four restaurant closures and roughly 55 affected jobs as the company adjusts to a difficult operating environment in the state.