The Cheesecake Factory is reportedly furloughing nearly 41,000 restaurant workers

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Cheesecake Factory is one of many US restaurant chains to have been severely impacted by the coronavirus crisis.

• Cheesecake Factory is reportedly furloughing nearly 41,000 hourly restaurant workers, according to MarketWatch.
• A company spokesperson was not immediately available to comment when contacted by Business Insider.
• According to MarketWatch, impacted workers will still be eligible to receive benefits and insurance until June 1.
• Visit Business Insider's homepage for more stories.

The Cheesecake Factory will temporarily lay-off nearly 41,000 hourly restaurant workers as its business continues to be squeezed by the coronavirus outbreak, according to a MarketWatch report on Friday.

The company told MarketWatch that impacted workers will still be eligible to receive benefits and insurance until June 1 and will give offered a daily free meal. A spokesperson for the company was not immediately available to comment when contacted by Business Insider.

The news of these temporary layoffs come after reports surfaced the US chain had informed its landlords that it would not be able to make its rent payments from April 1.

In a letter to its landlords, which was published by Eater, company CEO David Overton wrote:

"Due to these extraordinary events, I am asking for your patience and, frankly, your help. Unfortunately, I must let you know that The Cheesecake Factory and its affiliated restaurant concepts will not make any of their rent payments for the month of April 2020.

"Please understand that we do not take this action or make this decision lightly, and while we hope to resume our rent payments as soon as reasonably possible, we simply cannot predict the extent or the duration of the current crisis."

According to MarketWatch, Overton and other executives have agreed to cut their base salaries by 20% from April 1.

Get the latest coronavirus analysis and research from Business Insider Intelligence on how COVID-19 is impacting businesses.

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