{"id":73202,"date":"2020-09-23T04:38:36","date_gmt":"2020-09-23T01:38:36","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/store-operators-outraged-at-subways-covid-19-demands\/"},"modified":"2020-09-23T04:38:36","modified_gmt":"2020-09-23T01:38:36","slug":"store-operators-outraged-at-subways-covid-19-demands","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/store-operators-outraged-at-subways-covid-19-demands\/","title":{"rendered":"#Store operators outraged at Subway’s COVID-19 demands"},"content":{"rendered":"

“#Store operators outraged at Subway’s COVID-19 demands<\/strong>”<\/p>\n

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If you want to watch Movies<\/a> or TV series visit the Dizi.BuradaBiliyorum.Com<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n

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\n After getting kudos for its early response to the coronavirus, Subway Restaurants is now being blasted by store operators for demanding that they return to business as usual despite still-sagging sales in the midst of the pandemic.<\/p>\n

Subway this month told its roughly 23,000 US restaurants to resume operating 84 hours a week, or an average of 12 hours a day, as they did before the pandemic, sources said. It has also demanded franchisees begin repaying royalties fees that the company graciously deferred in the early days of the health crisis after it shuttered the restaurant industry.<\/p>\n

The demands, franchisees say, come as Subway sales continue to lag \u2014 leaving store operators unnecessarily exposed to both the coronavirus and added expenses, including higher payroll costs.<\/p>\n

\u201cWe don\u2019t want workers standing around and making with taxes $20 per hour. That\u2019s a lot of money,\u201d said a franchisee who says sales in the southern US, where he operates, were down some 30 percent for the week ending Sept. 8 over last year.<\/p>\n

Subway\u2019s main office, run by ex-Burger King CEO John Chidsey, stands to benefit, however, as the company takes a monthly cut of sales before expenses, franchisees say. This, combined with a little-noticed interview Chidsey gave in June, has tongues wagging that the sandwich chain founded in 1965 is hoarding cash in hopes of a sale \u2014 despite the company\u2019s insistence that it\u2019s not on the auction block.<\/p>\n

In a June interview with Private Company Director Magazine, Chidsey boasted about how well-positioned Subway was to deal with the coronavirus pandemic because it \u201chas absolutely no debt.\u201d Later in the interview, he explained that companies without debt also tend to be \u201cattractive [buyout] targets.\u201d<\/p>\n

\u201cI always remind people that if you pile up a ton of cash, and you don\u2019t have a lot of debt sitting on your balance sheet, you become a more attractive target for a private equity company or competitor,\u201d Chidsey said in response to a question about companies general<\/a>ly \u2014 not Subway.<\/p>\n

A Subway spokeswoman said the company is not for sale, but declined to comment further for this story.<\/p>\n

To be sure, the criticisms come as many of Subway\u2019s rivals have also taken steps to resume pre-COVID operating hours and demand that franchisees start repaying fees deferred in the early days of the pandemic, including McDonald\u2019s. But those chains are also doing better than Subway, said restaurant consultant John Gordon.<\/p>\n

\u201cAny quick service restaurant that has a drive-thru is in a powerful position,\u201d Gordon said. \u201cThe problem is Subway has few drive-thrus and its restaurants are often in \u00adcities.\u201d<\/p>\n

Chidsey in May told Forbes that only about 600 of Subway\u2019s 23,000 US restaurants have drive-thrus. McDonald\u2019s, by contrast, has 13,000 drive-thrus and has added a third pickup window in some stores.<\/p>\n

Dunkin\u2019 Brands, which also has been harder hit by the pandemic than many of its fast-food rivals, continues to be flexible with franchisees about hours of operations, a Dunkin\u2019 spokeswoman said.<\/p>\n

\u201cTo provide our franchisees in the hardest hit areas with added flexibility, we have offered the option to temporarily close, reduce hours of operation to provide relief to restaurant employees and allow extra time for deep cleaning in the evening, migrate to a drive-thru only model,\u201d Dunkin\u2019 said in a statement.<\/p>\n

Gordon said he also agrees with franchisees\u2019 criticisms to The Post that Subway is looking to return to its pre-COVID operating hours at the worst possible time because the winter months tend to be slow for the restaurant industry.<\/p>\n

\u201cYou want to lengthen your hours in April and cut back in the fall,\u201d Gordon said. \u201cThis will lead to franchisee losses.\u201d<\/p>\n

Increasing hours also means more Subways will be open for breakfast at a time when breakfast sales are suffering. McDonald\u2019s has yet to see sales of its Egg McMuffins return to pre-pandemic levels, according to a Sept. 18 research note by Morgan Stanley. \u201cA full recovery still depends on resumption of morning routines,\u201d the report noted.<\/p>\n

When pandemic lockdowns began in March, Chidsey got credit for acting swiftly to temporarily offset franchisees\u2019 fees. And the chain is now being somewhat generous in its demand for repayment, which will occur interest-free over 52 weeks starting Oct. 16.<\/p>\n

Still, the latest moves have reignited ill feelings between franchisees and the company over its inability to recover from a downward slide that kicked off in 2015.<\/p>\n

\u201cThe current leadership is out of touch and cares nothing about the franchisee,\u201d lamented a Great Lakes-area owner who says his sales have been down more than 20 percent compared to last year. \u201cWe really feel the company is being prepped for sale.\u201d\n <\/p><\/div>\n

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“#Store operators outraged at Subway’s COVID-19 demands” If you want to watch Movies or TV series visit the Dizi.BuradaBiliyorum.Com After getting kudos for its early response to the coronavirus, Subway Restaurants is now being blasted by store operators for demanding that they return to business as usual despite still-sagging sales in the midst of the…<\/p>\n","protected":false},"author":1,"featured_media":73203,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2020\/09\/subway-sandwich.jpg?quality=90&strip=all&w=1200","fifu_image_alt":"","footnotes":""},"categories":[70897],"tags":[71987,1545,70978,72178,72179],"class_list":["post-73202","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-9-22-20","tag-coronavirus","tag-fast-food","tag-franchises","tag-subway-sandwiches"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/73202","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=73202"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/73202\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/73203"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=73202"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=73202"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=73202"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}