Hundreds Of Subway Sandwich Shops Are Closing, And People Are Pointing Blame At One Person

In recent years, Subway, once a giant in the fast-food industry, has faced a series of challenges that have left the company struggling. From the scandal involving their long-time spokesperson, Jared Fogel, to the business’s declining profitability, it seems Subway has been hit from all sides. Fogel, who once symbolized Subway’s commitment to healthier living, was convicted of child exploitation charges and has been in prison since. Despite the controversy surrounding him, Subway continued to be known for offering a healthier alternative to traditional fast food. But that reputation alone wasn’t enough to keep the company thriving.

Subway, with its customizable sandwiches and emphasis on fresh vegetables, seemed like a healthier option when compared to fast food rivals like McDonald’s or Burger King. Customers appreciated being able to choose whole wheat bread or load their sandwiches with as many vegetables as they wanted. But even with this health-conscious appeal, Subway has been forced to close hundreds of its locations. In 2017, about 900 stores shut their doors, and by 2018, another 500 closures were announced. The chain, once the face of fast and fresh eating, is in trouble.

A significant part of this turmoil is linked to the leadership transition that occurred after the death of Subway’s co-founder, Fred DeLuca, in 2015. DeLuca, who was instrumental in building Subway into a fast-food empire, passed the reins to his sister, Suzanne Greco, as he battled leukemia. Greco had worked for Subway since her teenage years, but her time as CEO has been riddled with criticism.

Franchise owners, who are a crucial part of Subway’s business model, have voiced their frustration with Greco’s leadership. They claim that she failed to provide the support they needed and didn’t put the company on a path toward growth. Business Insider reported that nearly one-third of Subway’s 25,800 U.S. locations are no longer profitable. This is a devastating statistic for a company that once prided itself on having the most locations of any fast-food chain in the world.

One franchisee told Business Insider, “A lot of people in the industry feel that Suzanne is not qualified to be the CEO of the company. She tells us she is doing us a favor while franchisees are losing everything they own.” This sentiment highlights the disconnect between the corporate office and the small business owners running Subway locations. Franchisees, who rely on the company’s success for their livelihood, were losing faith in the leadership.

Facing mounting pressure, Suzanne Greco announced her retirement in 2018, stepping down from her role as CEO. Instead of trying to turn Subway’s fortunes around, she chose to leave the company after more than three decades. Greco expressed her love for the brand, saying, “Subway has been part of my life since I was seven years old. I love the brand and the company, and I always will, but it’s time for me to have more balance in my life.” Despite this, her departure left many wondering if it was too little, too late.

Taking over for Greco is Trevor Haynes, Subway’s chief business development officer, who stepped in as the interim CEO. For the first time in the company’s 53-year history, Subway is now being led by someone outside the DeLuca family. Greco’s departure marks the end of an era, and it’s unclear if this leadership change will be enough to turn the struggling company around.

Franchisees, while hopeful, remain “cautiously optimistic” about the company’s future. One former franchise manager told The New York Post, “Her [stepping aside] was long overdue.” It seems that many within the company felt Greco’s leadership wasn’t up to the task, and they hope Haynes will provide the turnaround Subway so desperately needs.

Running a global fast-food company is no easy task, and Greco, by many accounts, was never fully prepared for the role. Her brother chose her to take over as he was dying, but that transition may not have been the right move for Subway’s future.

Now, as Subway faces more closures and questions about its viability, many wonder: Will Subway disappear from neighborhoods across the country? And what will happen next as the company tries to regain its footing under new leadership? Only time will tell if Subway can rise again, but for now, the company’s future hangs in the balance.

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