KFC Announces 7,000 New UK & Ireland Jobs in £1.5Bn Expansion

KFC Plans Major Expansion, Creating 7,000 Jobs in UK & Ireland

KFC, the global fried chicken giant, is set to embark on a significant growth drive across the UK and Ireland, backed by a substantial £1.5 billion investment over the next five years. This ambitious plan aims to create 7,000 new jobs in the region as the company fortifies its position in a competitive and rapidly expanding fast-food market.

The move signals a strong commitment to increasing KFC’s footprint and upgrading its existing network. The investment will be strategically allocated, with nearly £500 million specifically earmarked for developing around 500 new restaurant sites. These new locations will target “key areas,” including Ireland and North West England, a region holding historical significance for the brand as the site of its first-ever British restaurant opened in Preston 60 years ago. The remaining investment will focus on enhancing the customer experience through upgrades to existing restaurants, adding to KFC’s current base of over 1,000 sites across the UK and Ireland, most of which are operated by franchisees.

Boosting the Workforce: Roles and Recruitment

The 7,000 new employment opportunities will span a variety of roles crucial to KFC’s operations. These positions will include servers, kitchen team members, and managers, offering diverse entry points into the fast-food industry.

KFC UK & Ireland general manager, Rob Swain, expressed confidence in finding the necessary staff despite acknowledging rising employment costs. Fast-food restaurants are popular choices for entry-level jobs, particularly among younger people. Swain noted that KFC receives approximately half a million job applications annually and promotes around 2,000 staff internally into management roles each year, highlighting clear pathways for career progression within the company. Furthermore, a notable third of KFC’s new hires are disadvantaged youth, underscoring the brand’s role in providing opportunities.

While recent Office for National Statistics data indicated that 923,000 16-24 year-olds were not in education, employment, or training (NEETs) between January and March, KFC’s high volume of applications suggests continued interest in the sector.

Navigating Rising Employment Costs

The expansion comes amidst a challenging environment of increasing employment costs in the UK. Mr. Swain admitted that recent rises have been “challenging,” specifically referencing the April increases in the National Minimum Wage (for workers aged 16-20), the National Living Wage (for over-21s), and employer National Insurance Contributions. While KFC has experienced rising labour costs annually for some time, Swain stated that the latest increase was “bigger than we were expecting.” The company has reportedly discussed these cost pressures extensively internally.

Strengthening the Supply Chain

Beyond restaurant expansion and staffing, the investment will also focus on reinforcing crucial aspects of KFC’s operations, including its supply chain. Plans include investing to strengthen long-standing relationships with key partners such as Pilgrim’s Europe, based in Warwick, and McCormick in Buckinghamshire, the company responsible for producing KFC’s signature gravy.

Competing in a Growing Market

This significant investment and job creation drive arrives as KFC faces intensified competition from rival fried chicken chains rapidly expanding their presence in the UK and Irish markets. While KFC remains by far the largest fried chicken chain in Britain, newer and growing players are vying for market share.

The UK fast-food fried chicken market is substantial, with consumers spending approximately £2.8 billion in the year leading up to April 20, according to market research firm Kantar.

Key competitors making significant inroads include:

Popeyes UK: Known for catering celebrity events, Popeyes has seen rapid growth, reaching 65 restaurants across the UK and Ireland after opening 33 new shops last year.
Wingstop: This US brand saw its UK arm sold for £400 million last December. It currently operates around 57 franchised sites in the UK and has plans to open a further 20.

Dave’s Hot Chicken: Backed by prominent figures like rapper Drake and actor Samuel L Jackson, Dave’s Hot Chicken entered the UK market last year with its first restaurant in London and aims to launch an additional 60 sites across the UK and Ireland.

KFC’s £1.5 billion investment and plan to add 7,000 jobs represent a strategic effort to consolidate its leading position, fend off rivals, and capitalize on the continued growth of the UK and Irish fast-food fried chicken sector.