K&W Cafeterias' Closure Sparks Nostalgia, 300 Jobs Lost, 'Southern Culture Is Dying'

K&W Cafeterias, an 88-year-old Southern comfort food institution, has permanently closed all nine of its remaining locations without warning. The move has left hundreds of employees jobless and triggered an emotional response from generations of loyal patrons.

The Winston-Salem-based chain announced its immediate shutdown on 1 December via social media, offering no explanation for the abrupt decision that ended nearly nine decades of serving fried chicken, lima beans, and chocolate cream pie to families across North Carolina and Virginia.

A Community's Farewell

'K&W has always been more than a restaurant — it has been a gathering place, a home for Sunday traditions, and a warm table for millions of families across generations,' the company stated in its farewell message on Facebook.

The closure comes despite K&W having received a financial lifeline in August 2022, when Louisiana-based Piccadilly Restaurants, owned by Texas-based Falcon Holdings, acquired the struggling chain for an undisclosed sum. At the time, executives promised to maintain all locations and retain staff.

Financial Troubles and Decline

According to industry data from Technomic, K&W started the year with 10 locations and approximately £20 million ($27 million) in annual system sales. Sales declined by 10% last year, with analysts forecasting an 11.5% drop for 2025.

The chain was already battered by the COVID-19 pandemic. Before the pandemic, K&W operated 28 locations, but it closed nine during that period and filed for Chapter 11 bankruptcy on 6 September 2020, citing pandemic-related challenges. The company emerged from bankruptcy in September 2021 following a reduction to 14 locations and a workforce cut from 1,035 to 834.

An Unexpected and Devastating Blow to Employees

For staff, the announcement was a shock. WFMY News reported that over 300 employees lost their jobs suddenly on Monday.

Marthia Liggins, who had worked at the Friendly Center location for four years, believed her job was secure until she received a call that morning instructing her to collect her belongings. She and colleague Faith Adkins described making difficult calls to inform co-workers of their sudden unemployment.

'I made a few phone calls and told a few people that they don't have a job, and they said, 'Stop joking',' Liggins recounted. 'A lot of them didn't even get phone calls.'

A general manager at one Winston-Salem location expressed particular anguish, revealing he had recently assured his team the restaurant was performing well. 'I looked them dead in the face and said we were doing good and we were going to be great,' he said. 'My last words were a lie.'

Community Mourning the Loss of a Tradition

The closure prompted an immediate wave of nostalgia from patrons who made K&W part of their weekly routines for decades. Longtime Greensboro resident Susanna Albright rushed to the Friendly Center location after hearing the news, saying, 'I stopped what I was doing, and I drove to my beloved,' while lamenting the loss of her favourite lima beans and chocolate cream pie.

Facebook was flooded with heartfelt memories under K&W's farewell post. Jaylan Conell commented: 'I ate there a lot as a kid in the 60s and 70s. Remember the long line, the jello, and the best chicken and dumplings ever.' Shamy Holloway lamented: 'Not these people got on the internet to break-up with us!! I need one more plate of steak n gravy, mashed potatoes, cabbage and a roll for old times' sake.'

Dax Allred, grandson of the company's patriarch Grady Allred Sr., expressed bittersweet gratitude: 'The Allred family is forever grateful to the generations of dedicated team members and loyal customers who made K&W an iconic brand for over 80 years.'

Cafeteria Industry Faces a Broader Crisis

K&W's demise reflects a wider decline within the cafeteria-style dining segment. Houston-based Luby's has contracted by 53% since 2019, and Piccadilly's sales declined 5% last year and are down 42% since 2019. Several buffet chains, including Old Country Buffet, have completely shut down.

The sector struggles against shifting consumer preferences favouring fast-casual concepts, delivery, and self-service kiosks. Industry data indicates approximately 75% of restaurant orders now come from drive-through, takeout, or pickup rather than dine-in.

Rising operational costs have compounded these challenges. Industry surveys report that 88% of restaurant operators faced increased labour expenses in 2024, while 78% reported higher food costs.

A Cultural Loss for Local Communities

Greensboro mayor-elect Marikay Abuzuaiter acknowledged the impact: 'It is always sad to see any business close, as it always affects those who work there the most.'

For the communities served by K&W, the closure is about more than jobs — it signifies the end of a cultural institution. For nearly a century, families gathered at K&W for Sunday dinners, after-church celebrations, and milestones, creating memories that will now fade with the shuttering of its doors.