Hundreds of Friendly's workers jobless

WILBRAHAM, Mass. (WWLP) - CEO of Friendly's Harsha Agadi says the high price of food and high rents were factors in filing for Chapter 11 bankruptcy. “What we’re doing is using the Chapter 11 effectively to renegotiate with landlords on rents that are non market rents and we want them to be favorable to Friendly’s,” said Agadi.

As of right now they plan to keep the remaining 424 stores open and continue to pay employees and benefits while they restructure.

Still, of the 63 stores that were closed Tuesday night there were about 20 people employed at each store. That means a loss of around 1260 jobs.

Agadi said they encourage those employees to apply at other locations but that does not guarantee jobs for those hundreds without work in an already difficult economy.

Friendly's just recently launched a new advertising campaign: High Fives and five dollar meals. But it wasn't fast enough for the 76 year old company and now hundreds are out of a job.

For those estimated 12 hundred food service workers without a job, the future is unclear.

Maria Ligeiro of Chicopee said it’s risky for people to even try and find a new job in a restaurant, “If people don't have jobs their not going to go out and go to restaurants for dinners or lunches."

That's because of the difficult economy and food costs remain high. For those employees now looking for a job it's not going to be easy.

Career Point in Holyoke says the food service industry is static. "Our postings are remaining fairly steady, there's not a lot of movement there's some cooks, some line cooks, some wait staff, but there's not a great flow one way or another with the job openings," said Bud Delphin, Director of Programs and Services at Career Point.

Neighbors and patrons of Friendly's are concerned this could trickle down and hurt more than just those laid off.