Coronavirus: Hong Kong snack chain Aji Ichiban shuts all 20 retail outlets amid losses from lack of tourists during pandemic
- Company once operated over 100 shops at its peak in 2007, but pandemic forced it to reduce stable of stores to about 20 this year as number of tourists dwindled
- Hong Kong Department Stores and Commercial Staff General Union calls on government to take steps to revive tourism in city
Hong Kong snack shop brand Aji Ichiban has closed all of its 20 retail outlets and laid off some 100 workers after suffering losses amid a lack of tourists in the city due to the Covid-19 pandemic, according to a union.
Hong Kong Department Stores and Commercial Staff General Union general officer Lam Chi-chung told the Post on Tuesday that Aji Ichiban had informed employees about two days ago that it had decided to close down all its outlets in Hong Kong at short notice.
The Post has contacted the chain for comment.
The Labour Department said it was concerned about the case and had contacted the employer to follow up on the situation. It called on the affected employees to contact the department for assistance about their rights and benefits.
“The Labour Department has reminded the employer to pay the termination compensation to the employees affected in accordance with the Employment Ordinance and the terms of the employment contract,” it said.
The news sent shock waves through the city’s retail industry as members expressed fears over more closures and lay-offs, with the tourism sector crippled by strict pandemic measures.
Lam said the retail chain once operated over 100 shops at its peak in 2007, hiring more than 700 staff, but under the pandemic, its stable of stores had dwindled to about 20 this year, with 100 workers each earning an average of HK$13,000 (US$1,660) monthly.