Struggling TGI Fridays Closes Dozens More Restaurants
While 1,000 people lost their jobs, 2,000 others were saved
About 1,000 employees are losing their jobs as TGI Fridays has suddenly shuttered dozens of locations across the U.K.
UK Limited, operating under the brand TGI Fridays UK entered administration on Monday and 51 of the 86 locations were sold and will remain open. 2,389 employees will keep their jobs.
The other 35 were immediately closed and 1,012 people were lost.
"This will be a worrying time for employees, as well as creditors. Government will do all it can to support them," the UK government said.
Union group Unite Hospitality said there was little notice for employees and they found out when they showed up and the locks had been changed and closed signs were on the door.
The union says employees were then invited to a Zoom call with details of the changes but many didn't get the invite.
"This is frankly appalling behaviour from an enormous multinational," Unite Hospitality said in a X posting.
Restaurant chains have been struggling to survive under rising costs and customers staying away due to inflation.
In the United States, Red Lobster emerged from bankruptcy earlier in the year.
Ouback Steakhouse's parent company has also seen struggles and has seen its stock price fall this year.
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