Hong Kong’s King Parrot Group closes 9 restaurants amid claims of nearly $130K in unpaid wages

The 33-year-old company, which operated over 20 restaurant brands at its peak, has notified staff of the immediate closure of the nine locations and paid outstanding wages on the spot, said Nerine Yip Lau-ching, general secretary of the Hotels, Food and Beverage Employees Association.

However, the association claimed that King Parrot Group still owes its 100 employees over HKD1 million in unpaid wages.

Inside Shinsa Dong, a restaurant operated by King Parrot Group in Hong Kong. Photo courtesy of the company

"The employer only settled their outstanding wages for May and June without mentioning their other entitlements, such as one month pay in lieu of notice, the severance payment and their holiday pay," Nerine said, as reported by South China Morning Post.

The Labour Department expressed it was "very concerned" about King Parrot Group’s closures and urged affected workers to seek its support, noting they could visit the Labour Relations Division’s branch office for inquiries, according to The Standard.

Nerine noted that the affected staff would approach the department on Monday to file claims for unpaid wages and urged the employer to sign a letter of incapacity to pay to speed up employees’ applications to the insolvency fund.

The closed outlets included China House in Mei Foo, King Ludwig am Meer in Cheung Sha Wan, Coast Seafood and Grill in Causeway Bay, and Dirty Skillet in Shau Kei Wan.

Founded in 1992, King Parrot Group was a major player in Hong Kong’s food and beverage industry, having opened more than 28 themed restaurants.

By June last year, only 11 of its restaurants remained operational. Notable closures included King Ludwig Beerhall and Ocean Rock Seafood & Tapas at Stanley’s Murray House, both shuttered in April last year, and the Yakiniku Otoko chain, which ceased operations in February.

Local media reports that King Parrot has recently sold its headquarters office on the entire floor of Chinaweal Centre in Wan Chai, a commercial district in Hong Kong.