RESTAURANT chain Little Chef has confirmed it is pulling out of its Sheffield headquarters, spelling the loss of around 20 jobs.
It has announced that it will ‘outsource’ work currently carried out at its head office off Brightside Lane to other parts of the UK to save cash.
The company, which is four months in to a restructure which will see it shut 67 of its 161 roadside restaurants, said it has launched a consultation period with staff based in the city HQ.
Some employees could be offered similar roles within the company, but a Little Chef spokesman admitted this is likely to require relocation. Others will be made redundant.
A company spokesman said: “The company looked at the prospect of staying but in the end the decision was taken to outsource. It is a money-saving measure which forms part of a strategic review carried out across the whole of the business.
“We are speaking to staff about other options available, we haven’t just told them they are losing their jobs. Some of them could continue to work for the company elsewhere, but othwerwise they will receive full redundancy.”
An official statement by the company said: “Little Chef can confirm that it has informed staff at its head office in Sheffield of its intention to outsource its head office operations. As part of this relocation, a number of roles currently undertaken by Little Chef employees will be outsourced. In other cases, existing employees will be offered similar roles in the company or retained in regional roles. It is likely that some planned redundancies will result from this process.
“Although it is not possible to say definitively until the head office consultation has been completed, we currently estimate that the total number of redundancies at Little Chef’s head office will be less than 20.
“The head office move and operational reorganisation will have a positive effect on the restaurants with upgraded IT, marketing, site support and back office systems.”
Little Chef announced plans to axe a number of restaurants and lose a third of its staff in January. The company went into administration more than four years ago, but was sold to venture capital group RCapital in a deal worth £3.8m.