In a 30min conference call, the staffs working at all of Jamie Oliver restaurants were informed they were all being sacked, and the restaurant was being placed under administration control. The celebrity chef in an emotional email expressed his sorrow and offered full support in the mere future.
The Huge Debt for Jamie Oliver to Shutdown
The chef and entrepreneur Jamie Oliver opened his first restaurant, James Italian, in 2008 and saved a rapid expansion across the UK. Despite his growing fame and rapid expansion news emerged that the chef’s firm owed £2.2m to staff and was in £71.5 million in debt.
Per the companies voluntary agreement James Italian shut down 12 of its 37 restaurant’s while his steakhouse chain Barbecua went into early administration which is KPMG. Notices telling employees of the restaurant being shut down showed up everywhere which shocked employees to the core.
The struggling chain was looking for other investors for a long time but failed to recruit any. The celebrity chef at one point poured 13 million pounds out of his own pocket to keep the business afloat.
James Oliver Response to the Situation
In a recent statement, he acknowledged all the hard work of his staff and thanked them for giving there all. He further expressed his gratitude to everyone who cheered for him and contributed to his business growth.
He said, I am saddened by this outcome and would like to thank all the staff especially our suppliers who have put their hearts and souls into this business for over a decade. I appreciate how difficult this is for everyone affected.
I would like to thank all the customers who have enjoyed and supported us over the last decade, it’s been a real pleasure serving you.
We launched Jamie’s Italian in 2008 with the intention of positively disrupting mid-market dining in the UK high street, with great value and much higher quality ingredients, best in class animal welfare standards and an amazing team who shared my passion for great food and service. And we did exactly that.
The Staff’s Reaction
To many employees, this news came as a shocker. One employ while talking to the media told that he and some of his colleagues had been working at James Italian restaurant since it opened. Coming across such news has swapped the floor from under their feet.
There was also a feeling among employees that the company had gotten greedy and hence sold itself to administration to save itself.