KUALA LUMPUR – QSR Brands (M) Holdings Bhd, the operator of the KFC franchise in Malaysia, has confirmed the temporary closure of some outlets due to “challenging economic conditions.”
The company, however, did not specify how many outlets were affected by the closure, nor did it reference supposed boycotts against the fast food chain due to perceived links to Israel amid its ongoing aggression in Palestine.
“In response to challenging economic conditions, QSR Brands and KFC Malaysia have taken proactive measures to temporarily close outlets as (a) means to manage increasing business costs and focus on high engagement trade zones,” QSR Brands said in a statement today.
“Contributing positively to the Malaysian community, preserving the brand love for KFC and protecting employees of the brand are all a priority to the organisation,” it added.
The company’s response follows a report by Chinese daily Nanyang Siang Pau alleging that as of April 27, about half a year after the boycott movement, over 100 KFC outlets nationwide had suspended operations.
The report, which cited information from Google Maps, claimed that Kelantan was the most affected by the move with up to 21 outlets said to be temporarily shuttered there. This is followed by 15 outlets in Johor.
Meanwhile, QSR Brands also said that employees of temporarily closed stores were offered the opportunity to relocate to operating stores as part of its tactical strategy to optimise resources in trade zones with higher customer engagement.
“Employees from affected outlets were offered the opportunity to relocate to busier operating stores as part of the company’s re-optimisation efforts.
“As a company that has been serving Malaysians for over 50 years, the focus remains on providing quality products and services to customers while contributing positively to the Malaysian economy through job security for over 18,000 team members in Malaysia, of which approximately 85% are Muslim.”.
It also highlighted its standing as one of the “largest taxpayers” in the nation, noting that it “takes pride” in being able to give back to the community through its KFC Add Hope initiative and the Wakalah Zakat Fund.
“We firmly believe our rakyat will acknowledge our Malaysian roots, sincerity, and hard work in contributing to the Malaysian ecosystem.”
Besides being the franchisee of over 850 KFC outlets in Malaysia, Singapore, Brunei and Cambodia, QSR Brands is also the operator of Pizza Hut in Malaysia and Singapore, with a network of over 500 restaurants and delivery concepts in both nations. – April 29, 2024