The TGI Fridays restaurant on Newport Road in Cardiff is among 35 branches nationwide that have been closed with immediate effect, leaving around 1,000 employees redundant after the company entered administration. Staff at the Cardiff location, who continued to work for two weeks following the collapse, have now been informed that they will not be paid for their efforts during that time.
Despite the closures, a deal secured by Breal Capital and Calveton UK will keep 51 other branches open, saving nearly 2,400 jobs across the country. However, for the Newport Road employees, the news has come as a bitter blow, with many now facing an uncertain future.
Julie McEwan, chief executive of TGI Fridays UK, acknowledged the difficult period for the restaurant chain, describing the closures as a challenging moment for the business. “We are devastated for our colleagues who will be leaving TGIs and thank them for their loyalty and contribution during their time with us,” McEwan said. She assured that the company is doing everything possible to support those affected and retain staff where possible.
Daniel Smith, senior managing director of Teneo and one of the appointed joint administrators, highlighted the pressures on the casual dining sector, which have contributed to TGI Fridays’ downfall. He noted that the deal with Breal Capital and Calveton UK will help preserve a substantial number of jobs, providing stability for the business going forward.
However, Bryan Simpson, lead organiser for the Unite Union’s hospitality division, condemned the way TGI Fridays employees have been treated, calling it a “national disgrace.” He said, “To close venues and lock people out of their workplace with no notice is a moral outrage and almost certainly illegal. Now our members are being told they may not even be paid wages for work done.”
Simpson criticized the management for their handling of the situation and urged any affected workers to contact Unite immediately to ensure they receive the compensation they are entitled to. The union continues to support the Newport Road staff, who, like many others across the country, now find themselves in a precarious position as the company transitions under new ownership.