Bosses at the Coconut Tree restaurant chain have failed to pay their 200 staff this month after they were unable to increase the company’s overdraft balance.
An email sent to staff said the company was struggling with the high cost of goods and had ‘exhausted all UK borrowing options’ after ‘accruing losses’, according to the BBC.
Payments to workers are expected to be paid by 12 June after they were delayed due to ‘unforeseen costs to the business’.
The company is now working on new funding options after a ‘final battle with the bank to increase the overdraft ended in vain,’ the email said.
One employee told the BBC he is owed more than £1,500, which has made him ‘extremely stressed’.
Bosses at the Coconut Tree restaurant chain have failed to pay their 200 staff this month after they were unable to increase the company’s overdraft balance
He added that staff were not notified about the delay in wages until the day after pay day and he is worried it won’t be paid ‘for some time’.
The Coconut Tree is a Sri Lankan restaurant chain with nine restaurants around the UK in Reading, Oxford, Cheltenham, Cardiff, Bristol, Bournemouth, Bath and Birmingham.
Its restaurants have won a number of awards including Best Bar 2021/22 in the Bristol Life Awards and Best Restaurant and Bar in 2018 at the Cheltenham Business Awards.
Source: | This article originally belongs to Dailymail.co.uk