MOD Pizza Closes 26 Locations Across Multiple States Amid Performance Evaluations

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MOD Pizza, a well-known national pizza chain, has recently closed 26 of its locations across 11 states and the District of Columbia. This decision, reported by PMO Pizza, includes closures in key areas such as California, Chicago, and the Washington, D.C. area, among others. According to MOD Pizza CEO Beth Scott, these specific restaurants had been underperforming for some time. Employees affected by the closures received severance packages, especially when transfer options were not feasible.

Details on MOD Pizza Closures

The recent shutdowns by MOD Pizza reflect a broader trend of reassessment within the company. The closures span multiple states including five in California, three each in Chicago and near Washington, D.C., and others scattered across states like Wisconsin, Seattle, Florida, Oklahoma, Virginia, and Oregon. Two additional locations near the Pennsylvania border in Cherry Hill and Marlton, New Jersey, were also closed. A franchised location in Atlanta was shut down earlier in March.

The decision to close these locations was not taken lightly. CEO Beth Scott emphasized that despite the hard work and dedication of the local management teams and staff members, the affected restaurants had not been performing well financially for a sustained period. This prompted the corporate decision to close the underperforming stores.

Impact on Employees and Future Plans

MOD Pizza has taken steps to mitigate the impact of the closures on its employees. According to Scott, the company offered severance packages to all employees at the closed locations, providing financial support to those who could not be relocated to other restaurants or who chose not to transfer. This move demonstrates MOD’s commitment to its workforce during challenging operational decisions.

Looking forward, MOD Pizza continues to evaluate the performance of its remaining locations. Scott noted that not every restaurant can succeed over time, acknowledging that various factors can affect the viability of specific locations. She also clarified that recent legislative changes, such as the $20/hour minimum wage law in California, did not influence the decision to close the locations in that state.

About MOD Pizza

Founded in 2008 in Seattle by Scott and Ally Svenson, MOD Pizza has grown to operate roughly 540 units across 29 states. Known for its artisan-style pizzas and a focus on community and employee welfare, MOD has established a strong presence, particularly in areas like York, Lancaster, and Lebanon counties in central Pennsylvania. The company’s approach to fast, artisan-style pizza served in a friendly and inviting atmosphere has garnered a loyal customer base.

The recent closures are part of MOD’s strategic adjustments as it navigates the competitive and ever-changing fast-food industry. By focusing on high-performing locations and maintaining a strong commitment to its employees and quality, MOD Pizza aims to continue its success in the fast-casual dining sector.

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