More than 1,000 TGI Fridays staff in the UK will be made redundant despite a rescue deal being reached with the owners of restaurant group D&D London.
They bought the British operator of the American-themed channel, after its owner fell into administration last month.
The deal will save almost 2,400 jobs across 51 restaurants, but administrators Teneo said 35 branches had closed.
TGI Fridays UK said it was working with the owners on a deal to save the closed restaurants.
“We are doing everything we can to retain our team and support those affected,” said general manager Julie McEwan.
She added that she was “devastated for our colleagues who will be leaving TGI and thanks them for their loyalty and contribution during their time with us.”
The buyers, Breal Capital and Calveton UK, already own the Byron Burgers and Vinoteca restaurant chains as well as the D&D London restaurant group.
A spokesperson for the new owners said they wanted to “both modernize the business and capitalize on the heritage of this iconic brand”.
They added that the deal “preserves a significant proportion of jobs and will hopefully provide the business with the stability and support it needs to recover and grow.”
However, Unite's lead hospitality organizer Bryan Simpson described the treatment of British TGI Fridays staff as a “national disgrace”.
The union claimed staff were locked out of their workplaces when some sites closed.
It also said its members were unsure whether or not they would receive their wages, vacation pay or earned tips.
The company declined to comment when asked by the BBC about the allegations.
Restaurants closed are Barnsley, Birmingham Hagley Road, Bracknell, Brighton Marina, Bristol Cabot Circus, Cardiff Newport Road, Chelmsford, Cheltenham, Croydon, Derby, Dundee, Durham, Edinburgh Fort Kinnaird, Enfield, Gateshead, Gloucester Quays, Halifax, Jersey. , Leeds, Leeds Trinity, Leicester, Lincoln, Manchester Royal Exchange, Newcastle Eldon Square, Newport, Northampton, Prestwich, Romford, Sale, Solihull, Southampton West Quay South, Speke, Sutton Coldfield, Swansea and Watford North.
Breal and Calveton sealed the deal on Monday after TGI Fridays' UK owner Hostmore fell into administration due to debts.
Retail experts have blamed the collapse of TGI Fridays' UK business on a failure to adapt its meat-heavy, American-inspired menu to changing consumer tastes towards more expensive options. healthy.
“With a little investment and, above all, enthusiasm, the brand can really reconnect with diners,” said analyst Catherine Shuttleworth.
She said it was notable that the new owners chose to keep locations in malls and retail parks “where younger diners and families choose to spend their money.”
TGI Fridays opened its first restaurant in New York in 1965 and its first British restaurant on Hagley Road in Birmingham two decades later.
