As Pandemic Takes Hold, NJ Restaurateur Lays Off Nearly 1,000

LITTLE SILVER, NJ — Tim McLoone is just about as well known in Monmouth County as his dozen restaurants are, from Rum Runner in Sea Bright to Asbury Park's Supper Club. He's a man known for crafting a welcoming ambiance, a stiff drink and — most importantly — he's a job creator.

And on Monday afternoon McLoone had to pick up the phone and tell anywhere from 700 to 1,000 employees they are now out of a job.

"It was a terrible day; it was heartbreaking," said McLoone.

As life as we know it grinds to a halt, and New Jersey restaurants were order by the state to only serve takeout, the economic effects of the coronavirus shutdown will now begin to be felt.

"They told us we can do takeout, but most places have decided against doing takeout," explained McLoone. "It's really inefficient for us, and restaurants in suburban New Jersey towns don't do delivery. Takeout doesn't make nearly enough money for what it costs us to do it."

There are a dozen restaurants in McLoone's restaurant empire, and he has closed all but two: C.J. McLoone's in Tinton Falls and Robinson Ale House in Red Bank will both remain open for takeout services.

McLoone's also owns the Iron Whale in Asbury Park, McLoone's Boathouse in West Orange, Pier House in Long Branch and restaurants in Woodbridge and Hillsborough Township.

McLoone, who is in his 70s and lives in Little Silver, said he first learned of Gov. Murphy's restaurant shutdown order Monday.

"I know Gov. Murphy and his wife personally, and they are very smart people; they are trying to do the best they can do," he said. "When they say you have to close your industry, I am right there with them. In essence they are saying we know more than you do, and why wouldn't they? We have to trust that we are getting the right info."

Who was laid off Monday afternoon? Nearly all his employees, McLoone said, "starting with the people who clean the buildings in the morning, to the prep cooks, to the chefs to managers to bartenders and wait staff and even musicians. There are about 12 of us left, and that's because I need to keep a body in each building answering the phones."

Restaurants already operate on particularly thin margins.

"We have no cash reserves. Nothing," said McLoone. "As an industry we are probably the worst in the world as far as having cash reserves of any kind. And this is the worst time of year for us. We lose money every winter and we've already gone through five to six months of a downturn in the winter. I already vowed to keep my staff on through the winter."

As of today, it's all lost.

Some speculated that McLoone did this so his employees could collect unemployment, which he addressed.

"That's neither here nor there," he told Patch. "The reality is that we have no money coming in."

McLoone said he's lived through U.S. presidential assassinations, 9/11 and Superstorm Sandy, and places the coronavirus panic right up there with them in terms of devastation to the U.S. economy and national morale.

"I can only imagine," he mused. "We have 12 restaurants but there are a lot of smaller places, mom- and pop-stores and restaurants. They are going to lose everything."

McLoone said he has a lot of food that is going to go bad, so he's had his staff prepare meals and has been donating it to Fulfill, the food bank of Monmouth and Ocean County.