Bishop’s Stortford’s Empire Cinema: A Tale of Closure and Displaced Staff

Bishop’s Stortford’s Empire Cinema Shuts as Company Makes Workers Redundant Across the Country

Background

The Empire Cinema in Bishop’s Stortford, a town in England, has permanently closed its doors, causing the displacement of its workers. The closure is part of a wider company crash that has affected multiple locations across England and Scotland. The news was delivered to the staff in a meeting, where they were informed that they would not be paid wages owed automatically and would need to make a claim. Aeden Rooney, one of the employees, expressed his devastation over losing not just a job but a close-knit work family. The closure has affected a total of 150 staff members, with 17 team members, three supervisors, two operations assistants, and the general manager of 19 years being made redundant immediately.

Company Restructuring and Closure

Empire Cinemas, the company behind the Bishop’s Stortford location, has confirmed that it is undergoing a restructuring process for its portfolio of cinemas. Administrators have been appointed to six of its trading arms, leading to the immediate closure of several facilities, including Bishop’s Stortford, Catterick Garrison, Sunderland, Swindon, Walthamstow, and Wigan. Additionally, a currently closed site at Sutton Coldfield is up for sale. The company operated 12 cinema sites under the Empire brand and two boutique cinemas under the Tivoli name across England and Scotland. The remaining Empire sites and the two Tivoli sites will continue to trade as the joint administrators at BDO seek a buyer.

Causes of Closure

The decision to shut down the cinemas and make workers redundant is attributed to the impact of the ongoing Covid-19 pandemic. As a result of government mandates to close down cinemas for extended periods in 2020 and 2021, Empire Cinemas faced a significant loss of income and high fixed costs. Despite the reopening of cinemas, attendance levels have not fully recovered to pre-pandemic levels. The challenging operating environment, combined with rising utility costs, rates, inflation, and reduced discretionary spending by consumers, has created profitability issues for the group.

Future Outlook and Impact

The closure of Bishop’s Stortford’s Empire Cinema and the redundancies at other locations highlight the continued difficulties faced by businesses in the entertainment industry due to the pandemic. Empire Cinemas’ CEO, Justin Ribbons, stated that the appointment of administrators was a difficult decision and aimed to protect the viable parts of the business while preserving as many jobs as possible. The company is hopeful that the restructuring process will provide a platform to rebuild the business and secure a buyer for the remaining sites.

Editorial and Advice

The closure of Bishop’s Stortford’s Empire Cinema raises concerns about the long-term viability of independent cinemas and the broader challenges faced by the entertainment industry. The impact of the pandemic on movie theaters has been severe, and the road to recovery remains uncertain. As government restrictions ease and audiences gradually return to cinemas, it is crucial for industry players to adapt to changing consumer preferences and explore novel ways to attract audiences. Collaborations, creative programming, and enhanced safety measures can help regain consumer confidence and ensure the survival of cinemas.

For the affected employees, the sudden loss of jobs is distressing and demands immediate attention. It is essential for the company and relevant authorities to ensure that employees receive the wages owed to them promptly and that support is provided to aid them in finding new employment opportunities. Government initiatives, such as job placement programs and financial assistance, may be necessary to alleviate the financial burden experienced by the displaced workers. Additionally, efforts from local communities and organizations can play a vital role in supporting affected employees and promoting the revival of the entertainment sector.

Ultimately, the challenges faced by Empire Cinemas and its employees should serve as a reminder of the fragilities within our current economic landscape. The pandemic has exposed vulnerabilities in various industries, and concerted efforts are required to rebuild and strengthen these sectors for a more resilient future.