It’s unclear how many restaurants the Arizona dough manufacturing plant may have served. | Photo courtesy of Panera Bread.
Panera Bread plans to close a dough manufacturing facility in Chandler, Arizona, this summer in a move that will result in the layoffs of 64 workers.
The fast-casual chain reportedly sent a letter to state officials last week saying it plans to stop operations at the Chandler facility on Aug. 15, according to the Phoenix Business Journal.
Panera on Thursday posted a Worker Adjustment and Retraining Notification, or WARNING, notice indicating that 64 workers would be affected.
Employers in Arizona with more than 100 workers must provide 60 days’ notice in the event of plant closings or mass layoffs.
The letter indicated that the laid-off workers would be divided into two groups, with some ending their jobs on August 12 and others on August 15. Panera told state officials that the company would offer a severance package, outplacement services and a job fair, allowing some to apply for other jobs in the market.
Panera officials declined to answer questions about the report. It is unclear how many units the facility supplied.
It is the second fast casual dough-making facility to close this year. Panera closed a Houston facility in February. Earlier this year, officials told sister publication Nation’s Restaurant News that the Houston facility was closed due to “poor performance.”
That report also cites Reddit posts indicating that Panera is moving from home-baked bread to fresh dough made on-site to a pre-baked product that is frozen and finished in restaurants.
Panera in February unveiled an overhaul of the menu that launched in April. The “New Era” menu included nine new dishes and updated another 12, although an unknown number of dishes were also cut, such as flatbreads, for example.
The goal was to streamline and simplify operations. Last year, the chain, owned by European investment firm JAB, began preparing for an initial public offering.
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Lisa Jennings is a veteran restaurant industry reporter and editor covering the fast-casual sector, independent restaurants and emerging chain concepts.
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