Papa John’s, the global pizza chain, has announced plans to reduce staff at its corporate headquarters in Louisville in the US by 6% due to the downturn.
The company said that it would cut 35 employees from its more than 600 HQ staff.
The chain said that the cuts were necessary during the harsh economic times and as a result of increasing labour and commodity costs.
Chris Sternberg, Papa John’s senior vice president of corporate, said: “We are operating in one of the worst economies in decades, and unfortunately the pizza business is not immune from this downturn.
“When the economy recovers, and the pizza category again turns positive, we believe Papa John’s will be well-positioned for success.”
The company last month reported an increase in second quarter profit to $14.2m (£8.6m) as it benefited from cost cutting measures.
Same store sales in the US beat analyst expectations by increasing 0.1% and the company revised it full-year outlook to a range of flat to down 1% from its previous forecast of flat to down 2%.
