Chili’s Grill & Bar has laid off nearly 50 employees from its corporate staff and more than 30 people from its field director team in a restructuring, the company told employees Friday.
In a message to employees, the Dallas-based division of Brinker International Inc. said the layoffs included nine regional directors, 29 area directors and nearly 50 corporate employees.
The layoffs aim at streamlining the “above-restaurant organization” to bring the Chili’s team “closer to the restaurants,” a company spokesperson wrote in an email Monday.
“This new structure ensures that we are well-organized to leverage our resources more effectively and prioritize our efforts to help reduce complexity, ensure clarity in roles, enhance collaboration and improve efficiency in decision-making,” the spokesperson said.
Brinker, which also owns the Maggiano’s Little Italy brand, is scheduled to report second-quarter earnings before the stock market opens on Wednesday.
For the first quarter ended Sept. 28, Brinker said it experienced “choppy” sales at both brands.
Chili's company-owned same-store sales declined 1.4 percent, and Maggiano's same-store sales slipped 0.6 percent. Traffic at Chili’s company-owned locations fell 4.1 percent in the quarter.
Brinker’s first-quarter net income fell 30 percent, to $23.2 million, or 42 cents per share, from $33.2 million, or 54 cents per share. Revenue declined 0.5 percent, to $758.5 million, from $762.6 million the previous year.
As of Sept. 28, Brinker owned, operated and franchised 1,652 restaurants, including 1,601 Chili’s units and 51 Maggiano’s locations.
Contact Ron Ruggless at [email protected]
Follow him on Twitter: @RonRuggless