Pizza Hut has announced plans to cloes 29 of its 244 UK restaurants, putting an estimated 450 jobs at risk.
The restaurant chain is in talks with creditors over a proposed turnaround deal in the form of a creditors voluntary arrangement (CVA) following “significant disruption” from the Covid pandemic. The chain currently faces annual rents of £20 million which it is seeking to reduce.
Pizza Hut said earlier this week that it was forced to restructure because sales are not expected to fully recover until “well into 2021”.
Pizza Hut Delivery or related franchises will not be affected by the job cuts.
A spokesperson for the chain said: “We are committed to doing the right thing, and in order to secure as many jobs as possible and continue serving our communities, we are working to reach an agreement with our creditors.
“While we are likely to see 29 Hut closures and 450 job losses, any measures we take aim to protect about 5,000 jobs at our remaining 215 restaurants, as well as the longevity of the business.
“We understand this is a difficult time for everyone involved.
“We appreciate the support of our business partners and are doing everything we can to help our team members during this process, including speaking with those affected by the consultation.”
“While we are likely to see 29 Hut closures and 450 job losses, any measures we take aim to protect about 5,000 jobs at our remaining 215 restaurants, as well as the longevity of the business.
“We understand this is a difficult time for everyone involved.
“We appreciate the support of our business partners and are doing everything we can to help our team members during this process, including speaking with those affected by the consultation.”
