Hungry Jacks, McDonald’s, Red Rooster and Oporto struggling with Omicron surge

The likes of KFC, McDonald’s and Red Rooster are dealing with “pressures” unlike anything they “have experienced before” as a crisis bites.

A crucial supplier of chicken to McDonald's and KFC has revealed severe staff shortages are resulting in the production of some items being paused and a decrease in manufacturing goods overall.

Poultry producer Ingham’s revealed how the record level of Omicron cases across Australia had severely impacted its operations with a large number of its staff being forced to isolate.

“The rapid spread of the Omicron variant across eastern Australian states from December 2021 and the resulting staff shortages, are now also having a significant impact on the Australian supply chain, operations, logistics and sales performance of Ingham’s, and some of its suppliers and customers,” the company warned in a statement to the Australian Stock Exchange.

As a result KFC has been forced to offer a smaller menu at some restaurants as it faces supply shortages on chicken.

Signs have popped up in some stores declaring that “no original chicken, zingers, fillets or wings” were available, adding that customers should refer to sold-out stickers for available items.

KFC has been forced to offer a smaller menu.

Ingham’s said that the staff shortage meant lower production volumes and it could not predict how long the disruption would continue.

“The operational and trading difficulties have resulted in significant operational inefficiency, additional costs and the temporary suspension of a number of Ingham’s products,” said Ingham’s chief executive Andrew Reeves.

It's not the only company experiencing critical staff shortages, with supermarket giants Coles and Woolies, reporting up to 35 per cent of employees aren’t working in distribution centres, causing shelves to be left empty.

Meat fridges left empty in Woolworths.

MACCA’S

McDonald’s also told news.com.au some restaurants across Australia had to cut their operating hours “due to staff isolation requirements” but their menu had not been impacted.

“Like many businesses, McDonald’s Australia has been carefully managing our supply chain – the bulk of which is based right here in Australia,” they said.

“We continue to work closely with our strong network of long term suppliers, farmers and producers throughout the pandemic, to ensure our customers can continue to enjoy our great tasting food.”

McDonald's new chicken range released in 2020. Picture: McDonald's

RED ROOSTER AND OPORTO

Meanwhile, the owner of Red Rooster and Oporto told news.com.au that their supply chain was “currently experiencing pressures unlike anything we have experienced before” but are still offering a full menu.

“We are fortunate to have established, robust and long term partnerships with our supply partners who are enabling us to continue to provide our restaurants with the supplies they need,” said the spokeswoman for Craveable Brands, which owns the two fast food chains.

“Our supply partners have gone above and beyond to assist us in achieving relatively uninterrupted supply to date, but we are forever mindful that the situation is not easy and that it can change at any time.

“We work closely with our supply and franchise partners on a daily basis so we can continue to provide customers with the products they desire.”

Oporto and Red Rooster owner said they were experiencing unprecedented pressures on the supply chain.

DOMINO’S AND HUNGRY JACK’S

Pizza giant Domino’s also revealed that it was experiencing some delays and challenges within its supply chain, but it was not impacting its menu or customers at this point in time, a spokeperson said.

Hungry Jack’s was one fast food establishment that did not report any supply chain issues but said it was monitoring the situation.

“Protocols established over the past two years have ensured Hungry Jack’s has been able to sustain restaurant operations and delivery,” a spokesperson said.