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Hobby Lobby

From Alfawiki
Hobby Lobby Stores, Inc.
Company typePrivate
IndustryRetail (arts and crafts)
FoundedJanuary 1, 1972; 54 years ago (1972-01-01) in Oklahoma City, Oklahoma, United States
FounderDavid Green
Headquarters
Oklahoma City
,
United States
Area served
United States (48 states)
Key people
David Green (CEO), Steve Green (President), Jon Cargill (CFO)
ProductsArts and crafts merchandise
Number of employees
46000+ (2023)
Websitewww.hobbylobby.com

Hobby Lobby Stores, Inc., originally known as Hobby Lobby Creative Centers, is a privately held American retailer focusing on arts and crafts merchandise. Established in 1972 by entrepreneur David Green and based in Oklahoma City, Oklahoma, the company manages 1,001 outlets throughout 48 states. In 2023, Hobby Lobby generated $7.9 billion in revenue and employs more than 46,000 individuals. Ownership and executive management remain within the Green family, with David Green serving as CEO, Steve Green as president, and Jon Cargill as CFO.

Retail history

The inaugural Hobby Lobby store was opened by David Green in northwest Oklahoma City in 1972 after his tenure as a supervisor at variety store TG&Y. Expansion led to seven stores by 1982, followed by the first out-of-state location in 1984. During the 1980s, the company ventured into furniture and upscale cookware markets but experienced financial difficulties amid an economic downturn, prompting a strategic return to its primary focus on arts and crafts supplies. By 1992, Hobby Lobby had expanded to 50 stores across seven states.

The company's operational philosophy is deeply influenced by the founder’s evangelical Protestant beliefs and conservative American values. This is evident in its corporate culture, which aligns with Biblical teachings—for example, all stores close on Sundays to provide employees with time for family and worship. Additionally, Hobby Lobby has demonstrated a commitment to its workforce by progressively increasing the full-time minimum wage from $15 in 2014 to $18.50 as of January 2022, fostering employee loyalty and supporting business growth.

Hobby Lobby’s steady growth paired with dedication to its foundational principles has established a strong competitive position within the arts and crafts retail sector.

Retail strategy

By 2023, Hobby Lobby operates 1,001 locations across every U.S. state except Alaska and Hawaii. The company strategically selects large retail spaces—often former supermarkets, hardware outlets, or Kmarts—in suburban neighborhoods with moderate to high income levels. This leasing strategy cuts rental expenses by approximately 50–70% compared to constructing new buildings, strengthening Hobby Lobby’s market competitiveness. Store sizes can reach up to , typically catering to customers within a surrounding radius.

Controversies

Hobby Lobby and its proprietors have been involved in several controversies including allegations of antisemitism, homophobia, discrimination against LGBTQ individuals, efforts to promote evangelical beliefs in public schools, denial of contraceptive coverage for employees, illegal importation of artifacts, and concerns regarding COVID-19 safety protocols.

Opposition to Patient Protection and Affordable Care Act

David Green publicly voiced opposition to the Patient Protection and Affordable Care Act due to its requirement that employers provide contraception coverage. In 2012, Hobby Lobby initiated legal action against this mandate, citing the Green family’s religious convictions opposing abortion-related medications and devices. The company contended that their position was protected under the Free Exercise Clause and the Religious Freedom Restoration Act.

Following initial judicial challenges, Hobby Lobby obtained a temporary exemption from the contraceptive mandate in 2013. The dispute escalated to the U.S. Supreme Court which ruled in 2014 by a 5–4 decision that closely held corporations like Hobby Lobby are entitled to claim religious exemptions under the Religious Freedom Restoration Act, though this protection does not extend under the First Amendment.

In 2022, The New York Times disclosed a potential leak concerning the Hobby Lobby ruling prior to its official release. This leak was connected to a close confidant of Justice Samuel Alito and was revealed by Reverend Rob Schenck as part of an investigation into Supreme Court leaks related to abortion decisions. It is noteworthy that Hobby Lobby’s owners attended a Supreme Court Christmas event in 2011 before initiating the litigation that culminated in Burwell v. Hobby Lobby Stores, Inc.

Merchandise related to Jewish celebrations

In September 2013, a customer in Marlboro, New Jersey reported that a Hobby Lobby staff member stated the store did not stock items for Jewish holidays, allegedly remarking that "the store did not serve your community." David Green issued an official apology to the Anti-Defamation League, which was subsequently accepted. Steve Green, president of Hobby Lobby and son of David Green, noted that the company had previously offered Jewish holiday merchandise and planned to explore reintroducing such products. By 2017, Snopes verified that the allegations regarding Hobby Lobby’s refusal to sell Jewish holiday goods were no longer accurate.

Controversies involving artifact smuggling and collection management

Beginning in 2009, representatives from Hobby Lobby were cautioned that artifacts acquired for the Museum of the Bible may have been illicitly removed from Iraq. In July 2017, U.S. federal prosecutors initiated a civil lawsuit concerning roughly 5,000 artifacts. Hobby Lobby resolved the case by surrendering these items, paying a $3 million penalty, and returning more than 5,500 objects.

In April 2020, significant fragments of the Dead Sea Scrolls within the museum’s holdings were identified as forgeries. Additionally, the museum withdrew a disputed miniature bible said to have been taken to the moon by a NASA astronaut. Steve Green revealed intentions to repatriate over 11,000 artifacts of questionable provenance back to Egypt and Iraq, including papyrus fragments and ancient clay artifacts. Papyrologist Roberta Mazza criticized the Green family for investing millions in both authentic and counterfeit antiquities without sufficient scholarly guidance.

By January 2021, custody of 5,000 Egyptian artifacts was handed over to U.S. authorities for return to Egypt, along with 8,000 clay objects repatriated to Baghdad’s Iraq Museum.

Among these returned pieces was the "Gilgamesh Dream Tablet," part of the Epic of Gilgamesh, originally unearthed in Iraq in 1853 and purchased at auction by Hobby Lobby in 2014 for $1.6 million. The auction house had provided inaccurate information about its origin. Federal agents seized the tablet in September 2019; a civil forfeiture complaint followed in May 2020. In July 2021, a U.S. District Court ordered its forfeiture. Acting U.S. Attorney Jacquelyn M. Kasulis highlighted dedication to preventing illegal trafficking of cultural heritage. Hobby Lobby’s disregard for expert advice on acquiring antiquities has resulted in multiple seizures and financial penalties.

Response during the COVID-19 crisis

In March 2020, amid widespread disruptions caused by COVID-19, Hobby Lobby initially kept its stores operational, citing their essential role due to selling fabric and school supplies. However, by April, the company closed all locations and furloughed nearly all employees without pay while suspending emergency leave and paid time off benefits.

Access to restrooms for gender non-conforming employees

In August 2021, an Illinois appellate court ruled in favor of transgender employee Meggan Sommerville, affirming her right to use women’s restrooms at work. Sommerville, who had worked at Hobby Lobby for 22 years and transitioned in 2010, faced disciplinary action related to restroom use and had pursued legal recourse since 2013. The decision also allows her to claim $220,000 in damages awarded by the Illinois Human Rights Commission.

"He Gets Us" initiative

The Green family has faced scrutiny due to their financial support of the Servant Foundation, an organization that funds entities such as Alliance Defending Freedom, which is recognized for its opposition to LGBTQ rights and certain healthcare policies based on religious beliefs. This foundation has played a role in financing the "He Gets Us" campaign featured during the Super Bowl. The Southern Poverty Law Center designates Alliance Defending Freedom as a hate group.

External links