The Register Citizen (Torrington, CT)
Subway cuts more than 100 jobs from Milford headquarters
MILFORD — Fast food giant Subway is cutting jobs at its world headquarters for the second time in three months, a company spokesman confirmed Tuesday.
The chain is eliminating 150 jobs throughout the company, “with a little more than 100 people” being laid off at the headquarters complex, said Alan Marcus, senior director of public relations for Subway. The company laid off about 300 workers from its headquarters operations in early February.
“A reduction in workforce is never an easy decision, especially during these unprecedented times,” Marcus said in a written statement. “The COVID-19 pandemic has forced us to accelerate a restructuring plan for which we had been preparing. Our focus remains on ensuring Subway guests continue to get great service and value at every restaurant they visit; our franchise owners, all small business owners, get the full support and tools they need to help them grow and be successful and that we strengthen our overall business performance.”
In addition to the layoffs, Marcus said some Subway employees have been reassigned “for better alignment and efficiencies.”
Donald Klepper-Smith, chief economist and director of research for New Haven-based DataCore Partners, said the Subway layoffs will be felt through the southern Connecticut economy.
“Those are good corporate jobs and the loss of the income from those job will filter down to the local housing market and have impact on consumer confidence,” Klepper-Smith said. “This is part of the step down process leading into a recession.”
Milford Mayor Ben Blake said he was “disappointed about the layoffs because it effects our neighbors are friends and their families.” The city held a job fair for Subway workers who were laid off in February, Blake said.
“Obviously, we can’t do that now, but we are still looking to work with those folks who have been laid off, work with the (state) Department of Labor and other organizations so that we can create a pathway to employment, ” he said.
Privately-held Subway, the world’s largest restaurant chain, has been the subject of widespread speculation that the company will be sold. Some of that speculation arose after company co-founder and Chief Executive Officer Fred DeLuca died in September 2015.
Subway has more than 37,000 franchises worldwide, according to Entrepreur.com.