STAR-ADVERTISER / AUG. 2, 2023
DFS Hawaii plans to close its Hawaii locations, including in Waikiki and at Honolulu and Kahului airports, in 2026, cutting 183 jobs. Shown here, pedestrians pass DFS Waikiki in 2023.
DFS Hawaii is closing its operations in Hawaii, including its shops in Waikiki and at Honolulu and Kahului airports, resulting in 183 layoffs.
DFS Group LP filed notice with the Hawaii Department of Labor and Industrial Relations that the winding down of operations would occur from Jan. 28 through Aug. 31. All Hawaii-based employees will be permanently laid off, the notice said.
The retailer, which has had a 63-year presence in Hawaii catering to duty-free shoppers, reinvented itself several times.
In September 2023, a grand reopening was held for the flagship DFS Waikiki store, which had been renovated and consolidated into a 50,000-square-foot space, a significant reduction from its former 150,000-square-foot space at 330 Royal Hawaiian Ave.
The Waikiki layoffs are set to occur on March 8, while layoffs at the Daniel K. Inouye International Airport are set for March 31. The layoffs at the Kahului Airport location are set for the end of August.
“It’s a loss,” said Mufi Hannemann, president and CEO of the Hawaii Lodging & Tourism Association. “They have been an excellent corporate citizen through the years. I remember back in the day when John Reed was head of Duty Free. They were involved in every facet of the community, including many charitable contributions, participating with us on business and tourism promotions.”
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He added, however, that the closure is not a surprise, given the ongoing signs of growing challenges for DFS as a worldwide business. In Saipan and Guam, he said, DFS had similar difficulties before closing operations there.
Competition has increased, he said, along with many other factors, such as the slowdown in international travel.
“Certainly, the slowdown in international travel hasn’t helped at all because that is where a big source of revenues came from, especially the Japanese,” he said.
DFS said the layoffs include:
>> 84 workers at the DFS Waikiki store at 330 Royal Hawaiian Ave. on March 8.
>> 80 employees at DFS at Daniel K. Inouye International Airport in Honolulu on March 31.
>> 19 workers at DFS Kahului Airport on Aug. 31.
DFS Group, majority-owned by Moet Hennessy Louis Vuitton (LVMH), is a luxury travel retailer based in Hong Kong.
