Fans of the Mexican casual food chain Guzman y Gomez were surprised to learn last week that the Australia-based competitor to Chipotle Mexican Grill had abruptly closed all of its U.S. locations.
And the chain’s customers weren’t the only ones surprised by the news. Now, some of its former employees are suing the company over the unexpected closures. Here’s what you need to know.
What’s happened?
On May 21, Guzman y Gomez, a chain of Mexican fast-casual restaurants based in Australia, abruptly announced that it was closing all of its U.S. locations.
According to the company’s Australian website, Guzman y Gomez was founded in Sydney in 2006 with the aim of bringing more authentic Mexican cuisine to Australia.
Since then, the company has expanded into other countries in the Asia-Pacific region, including Singapore and Japan. It now has over 260 restaurants globally.
Until recently, those restaurants included some in America. But as of May 22, the chain’s U.S. locations have now shuttered.
A visit to the company’s U.S. website states that “Effective from May 22nd, GYG USA restaurants will cease trading.”
