Print
Coronavirus

Restaurant Chain Reports 200 Local Temporary Layoffs

By Christina Haley O'Neal, posted May 6, 2020
Editor's note: This version of the story clarifies that the layoffs were reported to the state as temporary and not permenant layoffs.

A major restaurant chain has reduced employees' hours due to the impacts of the COVID-19 pandemic on the industry, cuts recently reported to the state through a round of temporary layoffs.

The company, however, has not had permenant layoffs and does not currently plan any, said Elizabeth Watts, director of media and community relations for Bloomin’ Brands Inc., the restaurant company that operates Outback Steakhouse, Carrabba's Italian Grill and more.

OS Restaurant Services LLC, doing business as Bloomin’ Brands Inc., reported the reduced hours through some local temporary layoffs with 102 reported for Carrabba's at 15 Van Campen Blvd. and 87 reported at the Outback Steakhouse at 302 S. College Road, according to the state.

Worker Adjustment and Retraining Notification (WARN) reports with the N.C. Department of Commerce are used to report mass layoffs, permanent or temporary.

"WARN is not limited to the end of employment but also applies to other changes in circumstances," Watts stated in an email. "In our case, this was the reduction of hours due to dining room closures. Therefore, we were required to send the legal notice."

Some employees are working in our restaurants, which are still open for take out and delivery, she said.

For employees who’ve had their hours reduced, Watts said, "we have provided relief pay for six weeks, and we assess our ability to continue to do so every two weeks. We are also covering 100% of the cost of benefits during this time. As dining rooms re-open, we are recalling them back to work."

The cuts were reported along with more than 4,100 temporary layoffs in North Carolina documented by the state's WARN reports.

In a company letter to the state, Bloomin’ Brands said the company has "significantly reduced the number of working hours for the vast majority of its restaurant employees. While the Company has not yet terminated the employment of any restaurant employee, and does not have current plans to terminate the employment of any restaurant employee, the Company believes the sudden and unexpected reduction of hours could constitute a layoff within the meaning of the Worker Adjustment and Retraining Notification ('WARN') Act ..."

The COVID-19 impacts are expected at restaurants nationally, stated the letter. 

In April, another major restaurant chain, Hooters, reported 30 local permanent layoffs, part of more than 400 statewide.

Other companies with WARN notices reported in New Hanover County include Enterprise Holdings with 233 permanent layoffs, part of nearly 900 statewide. Precision Hydraulic Cylinders had one local layoff.

Ico insights

INSIGHTS

SPONSORS' CONTENT
Untitleddesign5

The Impact of a Growth Mindset

John Monahan - Vistage
Dave sweyer 300 x 300

Insights into the 2023 Leasing Market in Wilmington, NC: What You Need to Know

Dave Sweyer - Sweyer Property Management
Unknown 7112393341

Why Feasibility is Paramount to Success

Holly Segur - Lead Intuitively – Corporate Coaching

Trending News

Passenger Rail Study Offers New Details About Proposed Wilmington To Raleigh Route

Emma Dill - Apr 22, 2024

Severe Weather Postpones Trump Rally In Wilmington

Emma Dill - Apr 20, 2024

Will NC Be CNBC's Three-time Top State For Business?

Audrey Elsberry - Apr 22, 2024

In The Current Issue

With Coffee And Cocktails, Owners Mix It Up

Baristas are incorporating craft cocktail techniques into show-stopping coffee drinks, and bartenders are mixing espresso and coffee liqueur...


Taking Marine Science On The Road

“My mission and my goal is to take my love of marine science, marine ecosystem and coastal ecosystems and bring that to students and teacher...


Funding A Food Oasis: Long-awaited Grocery Store Gains Momentum

With millions in committed funding from New Hanover County and the New Hanover Community Endowment, along with a land donation from the city...

Book On Business

The 2024 WilmingtonBiz: Book on Business is an annual publication showcasing the Wilmington region as a center of business.

Order Your Copy Today!


Galleries

Videos

2024 Power Breakfast: The Next Season