Black Star Pastry – the high-end Sydney-based cake shop best known for its layered strawberry-watermelon cake – has announced that its three Melbourne stores will close this weekend. The final day of service will be Sunday, August 18.

The Black Star team shared the news on Instagram and in a statement to the media on Tuesday.

“After entering the Melbourne food scene in 2019 ... Black Star Pastry has made the difficult decision to cease its Melbourne operations,” the statement reads.

“The tough post-COVID trading conditions and economic climate have made it difficult to manage rising costs, and coupled with the industry-wide staffing shortage, the business will revert to operating in its original form, with one cohesive team in NSW.

“The decision will see Black Star Pastry downsize the business and focus its attention on Sydney’s operations, its original home, which continues to go from strength to strength.”

The three Melbourne stores – in Acland Street, St Kilda, Driver Lane in Melbourne’s CBD, and inside Chadstone Shopping Centre – will cease operating as of next week.

But it will be business as usual at the Sydney stores in Newtown, the CBD, Rosebery and Chatswood, as well as at pop-ups in Sydney’s Burwood and Broadway.

The impending closures come after two workers at Black Star’s Chadstone store were sacked for wearing keffiyehs to workto protest against the war in Gaza.

They reached a confidential settlement with Black Star, the parties releasing a joint statement saying they were “grateful to have been able to achieve a resolution”.

The statement continued: “Black Star Pastry reiterates that it takes no issue with employees expressing personal views when not representing the business.”