Logan's Roadhouse fires all employees, closes all restaurants

Daniel Fowler
April 8, 2020

The parent company of Logan's Roadhouse terminated all of its furloughed employees this past week and cut off their healthcare benefits in what could be the final gasp for the self-prescribed "Real American Roadhouse".

Restaurant chain Logan's Roadhouse has fired all its employees.

The move comes after the CEO of CraftWorks Holdings was sacked for passing along $7 million in sales taxes to states where the company's brands were in operation.

Workers were reportedly told that the restaurants may not reopen.

The chain's parent company, Tennessee-based CraftWorks Holdings, has been in bankruptcy since early March.

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The website Restaurant Business Online reports the debtor-in-possession withdrew financing because of the "unprecedented" outbreak of COVID-19.

"It's hard, and it's heartbreaking for the thousands of our heroes, our team members".

Now almost 18,000 employees have been laid off and their health insurance coverage has been terminated, without access to short-term COBRA coverage during the ongoing coronavirus pandemic, according to bankruptcy court filings. But about half of the restaurants probably are closed for good, the company admitted.

CraftWorks also operates Rock Bottom Restaurant & Brewery, Gordon Biersch Brewery Restaurant Group and ChopHouse.

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