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03 February 2026

Cracker Barrel Orders Staff To Eat In-House Amid Backlash

A new internal policy restricting employee meal choices comes as Cracker Barrel struggles with the fallout from a failed rebrand, menu changes, and industry-wide store closures.

Cracker Barrel, the iconic American restaurant chain known for its Southern comfort food and nostalgia-filled dining rooms, has found itself at the center of yet another controversy—this time over a new internal travel policy that is raising eyebrows among employees and customers alike. According to reports from The Independent and The US Sun, Cracker Barrel recently issued a memo instructing its employees to dine exclusively at company restaurants during business trips whenever practical, based on their location and schedule. The policy, which also restricts reimbursement for alcohol purchases, comes as the company faces mounting pressure to cut costs amid declining customer traffic and the lingering fallout from a disastrous rebranding attempt in 2025.

The internal message, obtained by the Wall Street Journal and cited by both publications, states plainly: "Employees are expected to dine at a Cracker Barrel store for all or the majority of meals while traveling, whenever practical, based on location and schedule." In other words, when employees hit the road for work, the company wants them to stick with the home team for their meals. The guidance further clarifies that alcohol will not be reimbursed on business trips unless workers pay out of pocket or receive special pre-approval from senior leadership.

This move, while perhaps unsurprising to those familiar with the current economic climate, has nonetheless sparked debate about employee autonomy and corporate penny-pinching. Traditionally, business travelers have enjoyed a degree of freedom in choosing where to eat and drink, with expenses covered by company credit cards. Now, Cracker Barrel employees will have to pay for any non-Cracker Barrel meals themselves—and alcohol is off the table unless they jump through additional hoops.

According to The US Sun, a spokesperson for Cracker Barrel confirmed the policy, emphasizing that employees are only "requested to dine at Cracker Barrel locations whenever it is practical, based on their location and schedule." The company also reiterated that alcohol is not covered as a corporate expense, underscoring a new era of fiscal restraint.

Why now? The answer lies in a confluence of factors—most notably, Cracker Barrel's ongoing struggle to recover from a series of missteps that have left its brand battered and its bottom line bruised. As The Independent reported, the chain is still reeling from a botched rebrand in August 2025 that saw the company abandon its beloved mascot, Uncle Herschel, and attempt a minimalist makeover of its logo and restaurant interiors. The goal, according to CEO Julie Felss Masino, was to modernize the brand and make it more visible on highways. But the move backfired spectacularly, with critics accusing the company of erasing its Southern charm and giving in to so-called "woke" trends.

The backlash was swift and severe. MAGA influencers and conservative commentators lambasted the redesign, and even former President Donald Trump chimed in, urging Cracker Barrel to return to its roots. The market responded just as harshly: the company lost an estimated $94 million in market value in a single day after unveiling the new look. Customers, too, voiced their displeasure, with many taking to social media to express dismay over the loss of Uncle Herschel and the chain's signature nostalgic décor.

Compounding the brand crisis, Cracker Barrel also rolled out a series of menu changes that proved deeply unpopular with its loyal fanbase. In December 2025, diners complained about the switch to batch-made cookies instead of freshly rolled dough and sides prepared in ovens rather than on stovetops. Some customers were so disenchanted that they began bringing their own maple syrup to the restaurant, signaling a level of dissatisfaction that went beyond mere nostalgia.

Recognizing the depth of the backlash, Cracker Barrel quickly reversed course on many of its rebranding efforts. In a statement, the company acknowledged, "If the last few days have shown us anything, it’s how deeply people care about Cracker Barrel. We’re truly grateful for your heartfelt voices. You’ve also shown us that we could’ve done a better job sharing who we are and who we’ll always be." The statement went on to assure customers that the beloved hallmarks of the Cracker Barrel experience—rocking chairs on the porch, fires in the hearth, peg games on the table, and vintage Americana décor—would remain untouched.

CEO Julie Felss Masino, who bore the brunt of the criticism, candidly admitted to feeling "fired by America" in the wake of the controversy. In a call with investors shortly after the rebrand debacle, Masino explained, "We have already taken steps to get back on track. That’s why our team pivoted quickly to switch back to our old-timer logo, and has already begun executing new marketing, advertising, and social media initiatives, leaning into Uncle Herschel, and the nostalgia around the brand with more to come." The company has since announced plans for internal restructuring and a menu revamp in 2026, signaling an effort to win back disaffected customers and stabilize its finances.

The timing of Cracker Barrel's new travel policy is also significant in the context of the broader retail landscape. As The US Sun points out, the so-called "retail apocalypse" has been accelerating, with the pandemic and the rise of e-commerce driving a wave of store closures across the United States. In 2025 alone, experts estimated that 15,000 stores would shutter their doors—more than double the number from 2024 and the highest since the pandemic began. Retail giants like Macy’s, JCPenney, Walgreens, and Best Buy have all closed multiple locations, and the trend is expected to continue into 2026 as companies adapt to shifting consumer habits and economic headwinds.

Against this backdrop, Cracker Barrel's cost-cutting measures can be seen as an attempt to weather the storm and avoid the fate of so many other brick-and-mortar businesses. By tightening its belt on employee travel expenses, the company hopes to shore up its finances and position itself for long-term survival. Still, the move is not without its critics, who argue that such policies risk alienating employees and undermining morale at a time when the company can ill afford further internal discord.

Looking ahead, Cracker Barrel faces a delicate balancing act: preserving the traditions and atmosphere that made it a beloved American institution while adapting to the harsh realities of the modern retail environment. The company's leadership has made it clear that they are listening to their customers and are willing to course-correct when necessary. Whether these efforts will be enough to restore Cracker Barrel’s fortunes remains to be seen, but one thing is certain—the road ahead will require both innovation and a healthy respect for the past.

For now, as Cracker Barrel employees adjust to new travel rules and customers keep a watchful eye on their favorite comfort food chain, the company’s next moves will be closely scrutinized by fans and critics alike. The stakes, both cultural and financial, have rarely been higher.