Amazon Fresh closes Federal Way store, lays off 125 employees

June 24, 2025

An Amazon Fresh store is shuttering its doors in Federal Way, laying off 125 employees in the process.

The store closed Sunday after just three years of operation. The 125 laid-off employees can transfer to other Amazon Fresh stores, the tech giant confirmed.

“Certain store locations work better than others, and after an assessment of our offering, we’ve decided to close our Amazon Fresh store in Federal Way,” Amazon spokesperson Griffin Buch said in a prepared statement.

With this closure, only three Amazon Fresh stores are left in the Puget Sound area, according to The Puget Sound Business Journal. There are two stores in Seattle and one in Bellevue.

“We remain committed to making grocery shopping easier, faster, and more affordable, and will continue to refine our portfolio of stores as we learn which locations and features resonate most with customers,” Buch added.

This closure coincides with the closure of another store. Last week, Amazon shuttered a Whole Foods location in Seattle’s Capitol Hill neighborhood after seven years.

Follow Frank Sumrall on X. Send news tips here.