The well-known local seafood restaurant, Super Star Seafood Restaurant, has announced its closure, resulting in approximately 50 employees left unpaid for nearly two months.
In a public statement released on Wednesday (July 2), the Super Star Group attributed the closure of the last branch at the MOKO shopping center to the challenging business environment and the high rents.
The group explained the weak local consumer market and the shifts in tourist consumption patterns also harmed its business.
Futile negotiations with landlords
Despite efforts to negotiate rent adjustments with landlords, the inability to reach a consensus has strained the restaurant's operations, ultimately leading to its closure, which has been described as a regrettable decision.
Following the restaurant closure, the Eating Establishment Employees General Union and the Federation of Hong Kong and Kowloon Labour Unions are currently assisting 50 affected workers from the Mong Kok branch. The Labour Department stated that the involved payments totaled approximately HK$6 million.
It is reported that the affected workers were only notified of the closure around 11 pm last night, anticipating that the number of affected employees may continue to rise.
Among the workers facing one and a half months of unpaid salary from two months ago as well as unused annual leaves and payment in lieu of notice, the union noted that 15 have sufficient tenure to qualify for severance payments.
Previous MPF defaults
While the employees are unsure if the company has been making Mandatory Provident Fund (MPF) contributions, they filed a report at the Labour Relations Division office in Mong Kok today to assess the company's ability to make payments.
If the company is unable to pay, the employees may need to apply to the Protection of Wages on Insolvency Fund.
Prior to the closure, there were reports surfaced regarding the group's failure to make MPF contributions for its employees.
The Mandatory Provident Fund Schemes Authority (MPFA) confirmed that the group had defaulted on MPF contributions, prompting the payment of approximately HK$500,000 in outstanding MPF contributions and surcharges for 220 employees for February 2025 on May 12.
The Authority added that the Super Star Group failed to make the MPF contributions and surcharge — about HK$470,000 — for May this year, affecting 190 employees.
Founded in 1989, the Super Star Group once reached a peak of 16 branches across the city, but the branch at MOKO was the last remaining location.
A wave of restaurant closures
However, the wave of restaurant closures seems to continue amid high rents and shifting consumer habits as another Chinese restaurant in Tseung Kwan O, Four Point Gold Restaurant, also announced a sudden closure on Tuesday (July 1).
"Can't stand up to times, can't stand up to the current market", the restaurant wrote in their announcement.
Known for its affordable Chaozhou cuisine, many residents expressed sadness over the loss of their beloved dining spot.
According to reports, the restaurant is only left with the last branch in To Kwa Wan.
(Phoebe Poon and Khan Heeba Lazmi)
(Updated at 6.40pm)