Upstream, the company sought and found a buyer for part of its activities: CIM Capital. This will allow 42 restaurants (out of 62) to remain open.
“It’s dismay, stupefaction,” summed up Stéphane Piron, federal secretary of Setca, after leaving the extraordinary works council.
Braving the freezing cold, two Lunch Garden employees smoke a cigarette in front of the brand’s headquarters. “I’ve been at Lunch Garden for 41 years. I started there as a student. We have customers who cry,” confided one of them, moved, while the press was buzzing all weekend about rumors of bankruptcy of the well-known Belgian brand. Beside him, a colleague burst into tears.
“For the workers concerned, some of whom have been active at Lunch Garden for decades, it’s as if life stopped,” confirms Stéphane Piron, with a defeated expression.
All workers laid off initially
The bankruptcy of the brand, which should in principle be declared this Monday, will initially lead to the dismissal of all workers. Of the sixty restaurants that Lunch Garden currently has, 39 are restaurants directly managed by the group and 22 are franchisees, the last is a Bistro Garden. In total, around twenty restaurants (six owned and 13 franchised) should permanently close their doors. Added to this is the planned franchising of around ten restaurants currently under own management.
According to the CEO, Stephan Brouwers, around 300 workers out of the 600 at the brand, franchisees not included, could hope to keep their jobs. “But this will be done with a different way of working and under different working conditions. Only 70% of the staff would keep their jobs in the restaurants which will be taken over,” underlines Sandra Antenucci, permanent secretary for the CSC Food and Services. Among franchisees expected to continue their activities, job losses would reach 50% of staff.
End of year bonuses and January salaries will not arrive immediately
Other bad news for workers: end-of-year bonuses and salaries for the month of January, despite management’s promises, will not be paid soon. “This will only happen in several months and via the business closure fund,” lamented Stéphane Piron.
The so-called “silent bankruptcy” procedure, which Lunch Garden management used to find a buyer, is also not passed on to worker representatives. “We are faced with a fait accompli. This completely puts the union organizations out of the game,” denounces Sandra Antenucci. A feeling of powerlessness and injustice shared by his Setca colleague: “we were unable to put forward our arguments to try to reduce the number of layoffs”.
Most Lunch Garden restaurants are closed this Monday. Their reopening will depend in particular on the trustee, who will be appointed following the bankruptcy, and the expected buyer, the Antwerp fund CIM Capital. As for the unions, they will consult restaurant staff in the coming hours.
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