A longtime Midwest restaurant chain is facing one of the biggest crises in its history after multiple locations abruptly closed and employees reported company-wide layoffs.
Beef-a-Roo, the Illinois-based fast-casual chain known for its roast beef sandwiches, burgers and cheese fries, appears to have shuttered numerous corporate-owned restaurants while workers say they are still waiting to be paid.
Employees report sudden layoffs
According to local television station WIFR, employees received an email late on July 7 stating that company-wide layoffs would take effect the following day because of “severe financial constraints.” Multiple Beef-a-Roo restaurants in Rockford, Loves Park, Roscoe and Machesney Park were reportedly closed with signs posted on the doors reading “closed until further notice.” The company’s website has also gone offline.
The exact number of employees affected has not been disclosed.
Payroll problems escalated
The closures come after weeks of reported payroll issues. In late June, Beef-a-Roo acknowledged a temporary payroll funding disruption, saying it expected all employees to be paid while implementing measures such as daily pay options and emergency financial assistance. At the time, the company described the issue as temporary and said restaurant operations would continue at most locations…