Staff locked out of cafés at five Tesco stores as chain takes ‘unexpected decision to terminate operations’

On Wednesday, staff at Brentwood Cafés in Tesco Wexford Town, Tullamore Co Offaly, Ardkeen Co Waterford, Clonmel Co Tipperary and Youghal Co Cork turned up for work as normal, only to find out that the coffee shops were closed up and they were being refused entry.

“The staff worked as normal on Monday and Tuesday,” Brentwood Coffee owner and manager Anna Kurcon said.

“However, on Wednesday morning, when the staff arrived, they noticed that security barriers had been put in place, and they were informed by security personnel that they were not permitted entry into the store.

"Furthermore, it was communicated to us that unless all fixtures and fittings were removed from the five locations by Tuesday, April 22, they would be disposed of.”

In a statement issued to the Irish Independent, Tesco said that the relationship with CBTL Ireland Limited (CBTL), operators of the Brentwood chain of cafes in five Tesco Ireland stores, ended due to what they say is a “breach of contract” and that despite ongoing conversations between the two parties, “significant arrears” had been accrued.

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Ms Kurkov claims that Tesco’s actions have placed the employment of 35 staff members “at significant risk”. She believes that the decision was taken over issues with Brentwood’s rental agreement, but claims that the supermarket chain was unwilling to engage.

"Since our establishment in Tesco stores in November 2021, we have provided valuable services to Tesco's customers and have cultivated a positive partnership with the organisation,” she said.

“The abrupt nature of this decision is particularly troubling. We were not afforded prior notice or an opportunity to discuss the issues pertaining to our rental agreement, which we believed had been mutually understood.

“Had Tesco engaged with us amicably and responded to our concerns, we believe the employment of our staff could have been preserved. Multiple attempts were made to reach senior leadership, but they went unanswered.

In a letter shared by Ms Kurkov, she says that Brentwood had agreed and paid a “reduced rent” up to June 2025, but she believes Tesco’s position is that no rent reductions were signed off on.

In the letter, she stated that she would vacate the Tesco stores if that was the decision taken, but she asked for “a reasonable time to allow me to make proper provisions to communicate to my staff and find alternative locations”.

She also asked that Brentwood be allowed continue to trade until at least June, a period which Ms Kurkov feels she has already paid rent for.

She goes on to state that she was available to meet at short notice to discuss an “amicable resolution” in a bid to save her business.

The letter received no response and on Wednesday, the cafés were barriered off and closed to the public and staff.

"There were ongoing correspondences between Tesco and my solicitor for over nine months,” Ms Kurkov said. “I reached out to Tesco management in March to meet and resolve the issue, but I was told that they did not wish to communicate with me directly.”

When contacted for comment by the Irish Independent, Tesco Ireland stated: “Tesco’s relationship with CBTL Ireland Limited (CBTL), operators of the Brentwood chain of cafes in five Tesco Ireland stores, has ended. This is due to CBTL’s breach of contract in relation to its licence fee over an extended period, which has resulted in significant arrears owing to Tesco.

“After a lengthy engagement, notice was provided to CBTL for the ending of our licencing agreement. Despite ongoing conversations involving Tesco and CBTL management, the company regrettably continued to instruct their employees to report for work after the licencing agreement had ended, which ultimately led to Tesco having to take action to securely close each café this week.

"We regret any inconvenience or confusion this situation may have caused.”