At a Glance
- Sprinkles closes all company-owned bakeries nationwide.
- Employees report one-day notice and no severance.
- The move follows a prior store shutdown, raising questions about the cupcake trend.
- Why it matters: Workers face sudden unemployment, and the brand’s future is uncertain.
Sprinkles, the cupcake chain that once sparked a nationwide craze, has announced the closure of every company-owned bakery shop, sparking an emotional backlash from employees who say they received only a one-day notice.
Company Decision
A Sprinkles representative said the company has decided to stop operating its own bakery shops. The announcement was made in a statement shared with KTLA. The company has not clarified whether its cupcake ATMs will also close or what support will be offered to displaced workers.
- All company-owned locations will close.
- No details on ATMs.
- Unclear support for workers.
Employee Reactions
Employees across the country reacted on Instagram, describing a sudden shutdown. Some said they were told they would lose their jobs with just one day’s notice and no severance. Others accused the company of keeping staff through the holiday season before laying them off.
Instagram commenter said:
> “One day notice of losing my job – how will I take care of my 5 kids now”
Another commenter said:
> “Employees were notified they no longer had jobs with just one day’s notice and no severance, adding that locations were closing at the end of the year.”
Commenter said:
> “We were kept through the busy holiday season before being let go.”
Founder’s Reaction
Candace Nelson, who founded Sprinkles in 2005, reacted emotionally to the news. She called the situation “completely surreal.” She added that even though she sold the company over a decade ago, she still has a personal connection to it.
Context & History
Sprinkles first opened in Beverly Hills and later launched the world’s first cupcake ATM in 2012, which helped fuel the cupcake craze. That same year the company was sold to a private equity firm. The most recent closure followed the shutdown of a Sprinkles location at the Americana at Brand in Glendale earlier this year, which featured an iconic cupcake ATM.
Key Takeaways
- All company-owned stores are now closed.
- Workers received minimal notice and no severance.
- The brand’s future remains uncertain amid shifting consumer tastes.
With all company-owned stores shuttered, Sprinkles’ future remains uncertain as it navigates a shifting market and a wave of employee discontent.
