Frankie and Benny’s workers face anxious wait as jobs axe looms
Local outlets unsure if they will escape closure plan
The coronavirus pandemic could see more job losses in Renfrewshire as the owners of Frankie and Benny’s and Chiquito looks to slash 125 restaurants across the UK.
The Restaurant Group, which yesterday confirmed it was in financial difficulty, said it would not yet confirm if the Frankie and Benny’s outlets at Glasgow Airport, Intu Braehaed and Abbotsinch Retail Park will be part of the cull.
Nor would it say if the Chiquito outlet in Braehead - a food chain also owned by the group - would be affected.
It did however confirm that 3000 jobs would go as it struggles to deal with the impact of the UKwide lockdown on sit-in eateries.
In an announcement to the London Stick Exchange, the group said the plan to slash 125 sites was part of a wider proposal to repay debts in a Company Voluntary Arrangement (CVA) with creditors.
Andy Hornby, chief executive of The Restaurant Group, said: “The issues facing our sector are well documented and we have already taken decisive action to improve our liquidity, reduce our cost base and downsize our operations.
“The proposed CVA will deliver an appropriately-sized estate for our leisure business to ensure we are well positioned despite the very challenging market conditions facing the casual dining sector.
“I would like to wholeheartedly thank all of my TRG colleagues for their continued understanding and extraordinary commitment during this unprecedented period.”
As well as the closures of some of its eateries, the company said it would attempt to renegotiate rents and terms on a further 85 sites.
The CVA will see all of the company’s creditors vote as to whether or not to accept the Restaurant Group’s terms of repayments on June 29.
Only then will the company tell employees which sites are to go.
The wait is an anxious time for Renfrewshire families who have in recent weeks already seen huge job losses at Rolls Royce, British Airways and EasyJet.
The issues facing our sector are well documented