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New Carluccio’s Owners Will Cut Over 1,000 Jobs to Complete Takeover

Boparan Restaurants, which owns Giraffe, will take on around 30 of the Italian chain’s 70 restaurants

Coronavirus Forces Restaurant Chain Carluccio’s Into Administration Photo by Matthew Horwood/Getty Images

Stricken Italian chain Carluccio’s is on the verge of a takeover that will save the brand, but cost over half its staff their jobs. Boparan Restaurants, which owns “global” chain Giraffe, will take over around 30 of the 70 remaining restaurants, according to Sky News, keeping 900 staff out of around 2,000.

Carluccio’s went into administration in March, and did so under a cloud, with staff accusing the company of wage theft when it withheld 50 percent of wages and tips for that month. Chief executive Mark Jones said at the time that “the rapid decline in sales and then the closure of our restaurants exhausted the company’s cash resources.”

The chain has limped through the past two years, closing almost half its estate to stave off collapse in 2018 and attempting to diversify its menu in order to improve custom. Its struggles look set to continue. The administrators did, however, secure a High Court judgment that allowed them to furlough employees and access attendant government payments, a relative security that will be taken away from over 1,000 by the takeover. [Sky]

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