A Pizza Hut competitor with a long history of success has suddenly shut down all of its locations.
A WELL-KNOWN fast food joint has suddenly shut down, forcing its former employees to take to the picket lines.
Employees at a Papa John’s in Lynwood, California are upset because the store manager told them they would be laid off with one day’s notice.
After nearly four years at the company, Jose de la Torre told the San Gabriel Valley Tribune that the news came as a shock to everyone.
He reflected, “It was very sad.” Even though management had promised us severance packages proportional to our length of service, I was only offered one week’s pay.
De la Torre speculated that the closure of Papa John’s, one of Pizza Hut’s main competitors, was due to an unknown factor.
However, those who were let go are now wondering why they weren’t offered other positions.
Employees have stated that they will continue picketing until they are offered severance and transfers to other Papa John’s stores.
Compared to the nearly 7,000 Pizza Huts in the United States, Papa John’s reportedly has more than 3,100 locations.
In the back of his father’s bar in Jeffersonville, Indiana, in a broom closet, “Papa” John Schnatter installed an oven in 1984 and thus Papa John’s Pizza was born.
Pizza Murphy’s, famous for its take-and-bake service, saw sales drop in 2022, joining several other pizza brands that have recently gone out of business.
72 franchised restaurants shut down due to poor sales, according to Restaurant Business.
As MTY Food Group CEO Eric Lefebvre told analysts earlier this month, “We closed a lot of stores in 2022, unfortunately. Poor results have prevented us from reaching our full potential.
Competitor Papa Murphy’s felt the same financial strains as other fast food restaurants last year.
As inflation hit record highs and food costs skyrocketed, consumers felt the pinch.
However, Lefebvre disclosed that things would look up for the pizza chain in the year 2023.
We’re pretty happy with where Papa Murphy’s is, he said.