Franchise News

Pizza Hut Shuts Down 15 Stores in Northwest Indiana After 'Fatal Error' Alert

Jun 21, 2024 12:18 AM EDT | By Jep Collins

Baked Pizza

(Photo : Pexesl/EneidaNieves)

Pizza Hut suddenly closed 15 of its stores last week in Northwest Indiana. Just before the stores shut down, a manager reported seeing a "fatal error" message on her computer.

This unexpected warning came shortly before the closures, shocking employees and customers.

Pizza Hut Shocks with Sudden Store Closures

A woman who wished to stay unnamed expressed to The NWI Times how shocked everyone \was by the sudden store closures. The U.S. Sun reports that she encountered difficulties logging into her computer that morning, hinting at broader issues.

Further complications arose when the area manager struggled to gather all employees together.

It later emerged that the area manager had been informed about the closures the previous night and had advised the staff to apply for unemployment benefits. Consequently, several Pizza Hut employees were jobless a day after the closures.

One of the employees mentioned that they had received absolutely no prior notice about the decision. The closed Pizza Hut locations displayed signs stating, "All Northwest Indiana Pizza Hut locations are temporarily closed until further notice."

The duration of these closures remains unclear. Reflecting on the situation, the manager expressed hope that the stores would reopen, though the exact timing was uncertain, adding, "But who knows when."

Taste of the Country revealed that there appears to be a significant conflict between Pizza Hut and one of its largest franchisees, EYM Group, which manages 142 locations across Illinois, Indiana, Georgia, South Carolina, and Wisconsin.

Also Read: Starbucks Shuts Down Another Sacramento Store, Leaving Only a Note Behind

According to Pizza Hut, EYM Group allegedly failed to make millions of dollars in payments due by a June deadline.

Pizza Hut, a major player in the fast-food industry, responded firmly to the missed payments by shutting down 15 restaurants operated by EYM Group.

The situation could be seen as a cautionary tale of challenging a major benefactor, precisely what EYM Group has done.

The franchisee has countered by criticizing Pizza Hut for not updating their menus and digital ordering systems, arguing that this has placed them at a competitive disadvantage.

Pizza Hut Aims to Reopen After Franchise Troubles

People eating pizza

(Photo : Pexels/DivaPlavalaguna)

In recent news from Franchise Herald, Pizza Hut has confirmed the closure of several of its stores in Indiana and Ohio.

In Ohio, particularly around Columbus, a number of locations have been shut down. Despite these closures, the company emphasized its continued dedication to delivering high-quality service and products in the area.

The spokesperson also noted that efforts are underway to modify the affected locations in Indiana, expressing optimism about possibly reopening many of them soon.

This move comes amid employee reports about a decrease in in-store visits, with some suggesting that Pizza Hut holds more sentimental value for customers than actual dining preferences.

Meanwhile, employees at Pizza Hut have noted that the brand often attracts customers nostalgic about their childhood experiences. A highlight for these visitors is the Book It program, initiated in 1984 to foster a love of reading among U.S. schoolchildren.

The initiative remains popular, blending corporate goals with personal missions to make reading enjoyable.

However, following recent store closures, a longtime manager is exploring managerial opportunities elsewhere, like Aldi Foods, while enjoying a break from the restaurant's demanding hours.

She regrets the disruption caused to her team, many of whom are anxious for the stores to reopen under new management.

Related Article: Pizza Hut's Abrupt Closure of 8 Stores in Two States Sparks Speculation and Disappointment

© 2024 Franchise Herald. All rights reserved.

Franchise News

Real Time Analytics