53-Yeard Old Le Perigord Shutters to Displace Union Labor

The costs involved with running a restaurant in New York City have never been more daunting.  Even for a stalwart of the fine-dining breed, labor costs can undue profitability.  And when a union is involved, the costs can become insurmountable.

Georges Briguer, who has owned the old-school French institution since 1966, has closed Le Perigord as he has not been able to reach terms with the restaurant union, Local 100.  The owner and the union had negotiated for four months to no avail.  Now, legally, closing and reopening as a new business is Mr. Briguer’s path forward.  According to the owner, “We would have to increase the price of the dinner too much…we have no choice,” in order to meet the new deal that would have required an additional $80 per day, per employee–about $12,000 per week–to cover the additional healthcare and pension requests.

In six months, the restaurant at 405 East 52nd will turn the lights back on under a new name: Restaurant 405.  Le Perigord, which once served neighborhood regulars and celebrities such as Truman Capote and Donald Trump alike, will be a memory.  The revised restaurant will have a new menu, but the owner hopes to rehire his staff, sans union.

To read more, click here.

 

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: