{"id":2262,"date":"2026-05-08T23:25:08","date_gmt":"2026-05-08T23:25:08","guid":{"rendered":"https:\/\/gw.adampg777.com\/?p=2262"},"modified":"2026-05-08T23:25:08","modified_gmt":"2026-05-08T23:25:08","slug":"popular-fast-casual-chain-cuts-jobs-amid-store-closures","status":"publish","type":"post","link":"https:\/\/gw.adampg777.com\/?p=2262","title":{"rendered":"Popular fast-casual chain cuts jobs amid store closures"},"content":{"rendered":"

<\/p>\n

The American fast-food landscape is undergoing its most significant shift in a decade.\u00a0<\/p>\n

While convenient dining is still a crowd favorite, with nearly 32% of youth consuming fast food daily as recently as 2023, according to a CDC report, the economics of running such establishments have changed considerably.<\/p>\n

Across the country, the fast food industry is grappling with a triple threat: soaring labor costs, rent hikes, and consumers who are growing weary of rising fast-food prices.<\/p>\n

In a series of new filings and discoveries from a manual review of California state records, Five Guys Operations has confirmed that it is permanently shuttering multiple locations.<\/p>\n

These shutdowns signal that even premium brands with global presence are not immune to the financial pressures of this extremely competitive landscape.<\/p>\n

Five Guys joins the California exodus<\/h2>\n

The latest data reveal that Five Guys is permanently closing four stores across California in May 2026, citing \u201cfinancial hardship\u201d as the primary driver.<\/p>\n

These closures are not minor adjustments and represent a total loss of 55 jobs, affecting everyone from crew members to general managers.<\/p>\n

Notably, these workers do not have bumping rights, meaning they cannot transfer to other locations to save their jobs. The layoffs are concentrated in high-density urban areas.<\/p>\n

\n\n\n\n\n\n\n\n\n
<\/th>\n<\/th>\n<\/th>\n<\/thead>\n
\n

Location<\/p>\n<\/td>\n

\n

Impacted workers<\/p>\n<\/td>\n

\n

Effective Date<\/p>\n<\/td>\n<\/tr>\n

\n

Whittier (Store #1323)<\/p>\n<\/td>\n

\n

13 workers<\/p>\n<\/td>\n

\n

May 25, 2026<\/p>\n<\/td>\n<\/tr>\n

\n

City of Industry (#0671)<\/p>\n<\/td>\n

\n

15 workers<\/p>\n<\/td>\n

\n

May 26, 2026<\/p>\n<\/td>\n<\/tr>\n

\n

Merced (#1765)<\/p>\n<\/td>\n

\n

13 workers<\/p>\n<\/td>\n

\n

June 26, 2026<\/p>\n<\/td>\n<\/tr>\n

\n

Hanford (#1795)<\/p>\n<\/td>\n

\n

14 workers<\/p>\n<\/td>\n

\n

July 2, 2026<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n

Expert take: the $25 burger ceiling<\/strong><\/h2>\n

Industry experts suggest that Five Guys\u2019 current struggles are a symptom of a broader \u201cmiddler-tier\u201d squeeze.<\/p>\n

As prices rise, the gap between value fast food and premium burgers is narrowing, but consumers\u2019 wallets are not expanding to keep pace with inflation.<\/p>\n

More Layoffs:<\/strong><\/p>\n

    \n
  • E-commerce giant shuts down office as layoffs rise<\/strong><\/li>\n
  • Oracle signals massive AI opportunity as layoffs hit<\/strong><\/li>\n
  • AI won\u2019t trigger mass layoffs yet, Fed says<\/strong><\/li>\n<\/ul>\n

    \u201cWe are seeing a massive correction where the middle-tier brands like Five Guys that sit between fast food and sit-down dining are getting squeezed by a consumer who is watching their wallet,\u201d says Dominick Miserandino, CEO of RTMNexus.\u00a0<\/p>\n

    \u201cWhen a burger, fries, and a drink hit the $25 mark, the consumer is going to start to lean more towards that value meal even more.\u201d<\/p>\n

    TheStreet Co-Editor-in-Chief Daniel Kline, who has covered retail for more than 30 years, notes that Five Guys’ reputation for quality may be contributing to its distress.\u00a0<\/p>\n

    \u201cFive Guys has a superior product, but it’s expensive, and there\u2019s not much they can do about that. That\u2019s going to mean some of their locations may not make economic sense,\u201d said Kline.<\/p>\n

    \n

    Five Guys is trying to bring customers back with new offerings.<\/p>\n

    Photo by coldsnowstorm on Getty Images<\/p>\n<\/figcaption><\/figure>\n

    The fast-food demand vs. cost paradox<\/strong><\/h2>\n

    The crisis is paradoxical. According to a June 2025 CDC report, roughly 30% of youth ages 2 to 19 still consume fast food on any given day. However, the share of daily calories derived from these meals has declined from 14% a decade ago to approximately 12%.<\/p>\n

    This suggests that while Americans still want burgers and fries, they are becoming increasingly selective. In California, the stress test started in 2024 with the mandatory $20 minimum wage for fast-food workers.\u00a0<\/p>\n

    Brands cannot operate without further price increases, but in effect stand to lose to lower-cost competitors or home cooking.<\/p>\n

    This is especially true for Five Guys. It’s part of the fast-casual restaurant category and offers fresh options and higher-quality ingredients. And to ensure this premium quality, its prices are on the higher end among fast-food restaurants.<\/p>\n

    Five Guys is far from alone. The chain, which boasts over 1,950 locations across 29 countries, including the U.K., Germany, and South Korea, is a part of a larger trend of brands \u201ctrimming the fat\u201d in 2026.<\/p>\n

      \n
    • Wendy\u2019s:<\/strong> Intends to close over 300 restaurants in the first half of 2026<\/li>\n
    • Pizza Hut:<\/strong> Plans to close 250 U.S. locations<\/li>\n
    • Papa John\u2019s:<\/strong> Will shutter about 300 stores by the end of 2027<\/li>\n
    • Jack in the Box:<\/strong> Foresees 50 to 100 closures<\/li>\n
    • Panera Bread:<\/strong> Closing all its Fresh Dough Facilities
      \nSources: Business Insider, TheStreet\n<\/li>\n<\/ul>\n

      For the fast-food industry, 2026 is proving a radical year, as it faces increasing international sales and presence alongside reduced demand and financial hardships in home markets.<\/p>\n

      Related: Another airline cancels flights until June, travelers offered refunds<\/strong><\/p>\n

      #Popular #fastcasual #chain #cuts #jobs #store #closures<\/p>\n","protected":false},"excerpt":{"rendered":"

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