There’s no good time for a business to close and lay off all its employees, but an unexpected shutdown just before Christmas hits workers extra hard.
“United States-based employers announced 71,321 layoffs in November,” according to an analysis from outplacement firm Challenger, Gray & Christmas, found, marking a 24% increase year over year.
Challenger, Gray & Christmas is a long-standing outplacement and labor analytics firm that has tracked U.S. layoffs and hiring trends for more than three decades and is frequently cited by economists, policymakers, and major news organizations.
The practice of laying off right before the holidays fell out of fashion during the Great Recession, according to Andy Challenger, the firm’s chief revenue officer.
“It was the trend to announce layoff plans toward the end of the year, to align with most companies’ fiscal year-ends. It became unpopular after the Great Recession especially, and best practice dictated layoff plans would occur at times other than the holidays,” Challenger wrote.
Sometimes, however, companies have no choice, and employees of Circle Furniture, a New England chain that’s more than 70 years old, learned that their company would be closing “Till further notice,” according to the company’s web page on Dec 23.
That made for an unexpected near Christmas Eve layoff for workers.]
“This is a concept dreamed up in the fiery pits of HR and consulting hell. Anyone who has been through the experience would never do that to another human,” Kelly Smith, a partner and lead consultant at brand strategy and creative agency Thinkhaus Idea Factory, wrote on LinkedIn.
Circle Furniture employees received word about store closures via a companywide email on Dec. 19 and got another email on Dec. 23 revealing that they are being laid off, according to a report from The Boston Globe.
“With a heavy heart, circumstances have gone against the business, and we can no longer afford to continue operations; therefore, all employees are being let go, including your position, effective Dec. 23,” read the layoff email.
The company’s website noted the shutdown, but has the caveat that the closure may not be permanent.
Before Christmas 2025 – Employees were informed via a company-wide email that Circle Furniture would be closing all store locations “until further notice,” indicating major operational changes ahead, according to Furniture Today.
December 23, 2025: Employees received another email confirming layoffs effective Dec. 23, wstatingthat the company “can no longer afford to continue operations,” reported Patch.
Late December 2025 (around Dec. 23-24): All eight Circle Furniture stores across Massachusetts and New Hampshire were abruptly closed, with the official website stating “All Circle Furniture locations are CLOSED till further notice,” shared NBC Boston.
The Boston Globe reported that the furniture chain had about 65 employees. Companies with more than 50 employees are supposed to give 60 days’ notice before a mass layoff, but no Worker Adjustment and Retraining Notification Act (WARN) filing from Circle Furniture had appeared on the state website as of Tuesday.
Circle Furniture closed with very little warning to employees.Shutterstock
Founded as a family business in the early 1950s: Circle Furniture began as a family-run retailer in Cambridge, Massachusetts, started by members of the Tubman family, quickly establishing itself as a local home furnishings shop. The business grew from its small beginnings in Putnam Circle (now Putnam Square) into a well-known regional furniture retailer, according to Furniture Today.
Expanded across New England over decades: Over nearly 70 years, Circle Furniture expanded beyond its original store to multiple showroom locations throughout Massachusetts and New Hampshire, including Boston’s Seaport neighborhood, Acton, Framingham, Cambridge, Hyannis, Middleton, Pembroke (MA), and Portsmouth (NH), added Furniture Today.
Family-owned with focus on quality and community: For much of its history, the company emphasized high-quality furniture, craftmanship, and community involvement. It sourced many products from local and U.S. manufacturers and positioned itself as a retailer of timeless, well-made home furnishings, the company shared on its website.
Growth through the mid-2000s and beyond: At various points in its history, Circle Furniture continued to adapt and grow. For example, in 2004 the company opened a fifth Massachusetts store in Danvers, Massachusetts, expanding its showrooms to better serve customers in different regions of the state, according to Furniture Today.
Rebranding and ownership evolution: The business maintained its identity as a third-generation, family-owned retailer and continued operating showrooms across the Greater Boston area until its closure. Profiles show leadership and ownership evolving over time while keeping the Tubman legacy in place through much of its operation, reported the Better Business Bureau.
While the chain has not filed for bankruptcy, workers may have a claim on back wages if it does file, or should it be liquidated without a formal filing.
“An employer that violates the WARN Act notice requirement is liable to each affected employee for an amount equal to back pay and benefits for the period of violation up to 60 days.” according to the U.S. Department of Labor.
Workers or a union may bring suit in Federal court to enforce their rights under WARN. The Department of Labor has no enforcement authority under WARN and does not investigate complaints or bring suits to enforce WARN.
There are three situations where a company may not have to provide a WARN notice, according to the U.S. Congress.
The faltering company exception: Employers can provide reduced notice for plant closings, but not for mass layoffs, if they had been seeking financing or business for their faltering enterprises, thought they had a realistic chance of obtaining funds or new business sufficient to allow the facilities to remain open.
The unforeseeable business circumstances exception: Employers can provide reduced notice if they could not reasonably foresee the business circumstances that caused the plant closings or mass layoffs.
The natural disaster exception: Employers may also provide reduced notice if the layoff is due to a natural disaster such as a flood, earthquake, drought, or storm. If a plant closing or mass layoff is indirectly due to natural disasters, the exception would not apply; however, the unforeseen business circumstances exception might.
Employees were not expecting the layoff, although some were aware the company was facing some difficulties, according to the Boston Globe.
“They were having some financial difficulties they were trying to resolve and work around, but that’s all I know,” said Jonathan Boyle, who has been with the company for nearly 40 years. “It’s not a great situation.”
Circle Furniture did not return requests for comment from multiple media outlets.
American Signature Inc./Value City Furniture: The parent company of American Signature Furniture and Value City Furniture filed for Chapter 11 bankruptcy on November 22, 2025, and announced plans to close multiple stores as part of its restructuring, reported Furniture Today.
Value City Furniture (Michigan locations): Following the Chapter 11 filing, several Value City Furniture stores in Michigan closed or began liquidation sales as part of the restructuring process in late 2025, according to Here Detroit.
At Home (home décor + furniture chain): Filed for Chapter 11 on June 16, 2025, citing debt and industry pressures. During the bankruptcy proceedings, the chain identified multiple store closures (including six additional closures announced in July), reported Furniture Today.
American Mattress: A regional furniture retailer that filed for Chapter 11 in mid-July 2025, planning to close about 52 stores (mainly in Illinois and Indiana), though some locations in other states were to stay open, according to TheStreet.
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