Operations

Popeyes shuts down 40% of dining rooms early

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October 27, 2021

Popeye's Louisiana Kitchen has closed more than 3,400 restaurant dining rooms early, according to a Business Insider report. The announcement was made in a Monday earnings call by Jose Cil, CEO of parent company Restaurant Brands International and comes in the wake of a challenging labor shortage in the foodservice industry.

The reduced service strategy eliminates in-house dining, with food available through delivery, carryout and drive-thru. Cil said some units only offer delivery and take out.

"We saw it (the impact of the labor shortage) in the context of reduced operating hours and services modes, especially around late night," Cil said during the call, according to the news report. The shutdowns mainly affect late-night hours, and Cil said those orders tend to be larger than other dayparts.

He provided no insight on when operations will return back to normal.