Hong Kong catering group King Parrot has informed staff members about its closure but has yet to sort out severance pay, according to trade unions.

The closed King Ludwig Beerhall in Stanley's Murray House in Hong Kong. File photo: HKFP.
The closed King Ludwig Beerhall in Stanley’s Murray House in Hong Kong. File photo: HKFP.

The 33-year-old King Parrot Group told its staff on Friday about the closure and said it would settle outstanding salaries for May and June, the Hotels, Food and Beverage Employees’ Association (HFBEA) said in a statement on Saturday.

The statement was also shared by the Eating Establishment Employees General Union (EEEGU).

The HFBEA said in the statement that the group had not provided employees with other entitlements, including severance pay and one month’s payment in lieu of notice.

The two trade unions said they “are very concerned about the welfare of King Parrot Group employees.”

They called on the company’s staff to keep a record of all employment-related documents and to reach out to the unions for assistance.

The EEEGU told local media that it had been contacted by over 100 staff members and that the catering company owed its employees over HK$1 million.

Photos shared by the Hong Kong Federation of Trade Unions, the parent organisation of the HFBEA and the EEEGU, showed restaurants belonging to the catering group were boarded up or closed with a notice claiming the premises were “under renovation.”

King Parrot Group was established in 1992. Its website has gone defunct, but a March archive of the site showed it had 14 restaurants.

King Parrot Group’s social media platforms, including Facebook and Instagram, were last updated on May 6 to promote Mother’s Day discounts at five of its restaurants.

The group’s most well-known restaurant, King Ludwig Beerhall at Stanley’s historic Murray House, put up its shutters in April last year.

HKFP Lens: Across Hong Kong, the streets bear the scars of a stubbornly weak retail sector – shuttered stores

Last month, the 33-year-old restaurant chain Ocean Empire said it would close all its branches.

The company failed to pay over 100 workers, with the Labour Department estimating that the total amount of claims reached around HK$15 million.

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Hans Tse is a reporter at Hong Kong Free Press with an interest in local politics, academia, and media transformation. He was previously a social science researcher, with writing published in the Social Movement Studies and Social Transformation of Chinese Societies journals. He holds an M.Phil in communication from the Chinese University of Hong Kong.

Before joining HKFP, he also worked as a freelance reporter for Initium between 2019 and 2021, where he covered the height - and aftermath - of the 2019 protests, as well as the sweeping national security law imposed by Beijing in 2020.