This Restaurant Chain Will Now Be Open On Sundays (But Some Employees Are Not Happy)

The first half of the 2020s has not proven kind to restaurant chains and franchises. We've seen Subway disputes over what some say are ridiculously strict rules, we've seen steakhouse chains struggle, and we've seen Boston Market desperately loosen up its requirements for franchise owners. Now, we're seeing Nothing Bundt Cakes get into fights over Sunday openings. 

The chain opened in 1997 and was proud to be family-owned. One of its distinctive features was that it closed on Sundays, which to many made it feel all the more homely. Once the company began offering franchising opportunities in 2006, it had a policy of allowing (though not requiring) its franchised stores to close on the last day of the week. This was one of the main appeals to some store owners, many of whom wanted more time with their families or who wished to observe religious rules about working on Sundays.

However, the policy is changing after Roark Capital acquired the company in 2021. Starting February 2nd, all stores have to open at least 62 hours a week, with at least five of those hours being on Sunday. While customers might enjoy being able to stop for a delicious Bundt cake any day of the week, many owners are not happy. Some feel like they've been put in a catch-22 position — either comply with the rule or sell the franchise.

The problem with opening on Sundays

While Nothing Bundt Cakes claims that around 500 of its almost 650 stores open on Sundays, the new policy has certainly sparked backlash. The rule is particularly a problem in Utah, where roughly 42% of the population is part of the Church of Jesus Christ of Latter-day Saints (commonly referred to as Mormonism). Sunday is the day of sabbath for Mormons, so those who follow this religion are required to reserve it for rest and worship. Some Mormon franchise owners are protesting the company's new rule, arguing that it infringes on their religious freedom.

Even non-Mormon owners in Utah may be affected by the policy. Those living in areas with large Mormon populations are unlikely to see many customers on a Sunday, yet they'll be forced to keep their store open. Of course, this translates to high costs with little return on investment. But the problem isn't present only in Utah. Sundays are slow days in rural areas all over the country, so the rule would also affect franchise owners in smaller towns. The initial cost of investing in a Nothing Bundt Cakes franchise is more than $500,000 — not many would find it easy to walk away from such a large investment. Whether the company will give exceptions to the new rule or double down in this feud is yet to be seen.

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