KFC, the fast-food giant originally known as Kentucky Fried Chicken, is relocating its corporate headquarters from Louisville, Kentucky, to Plano, Texas, reports BBC news.
Parent company Yum! Brands announced the move, which will require around 100 corporate employees and 90 remote workers to relocate in the coming months.
The decision is part of Yum! Brands’ broader restructuring, aiming to create two main headquarters for its key restaurant chains. KFC and Pizza Hut will now operate from Plano, while Taco Bell and Habit Burger & Grill will remain based in Irvine, California.
Business-friendly Texas
Texas has become a popular destination for corporate relocations, attracting companies like Tesla, Oracle, and Chevron due to its lack of corporate and personal income taxes. Kentucky, in contrast, imposes a 5% corporate tax, which some analysts believe may have influenced Yum’s decision.
“These changes position us for sustainable growth and will help us better serve our customers, employees, franchisees, and shareholders,” said Yum! Brands CEO David Gibbs. He also emphasised that the move would strengthen collaboration and company culture.
Kentucky leaders criticise the decision
Kentucky governor Andy Beshear expressed disappointment over the relocation, saying, “I believe the company’s founder would be, too. This company’s name starts with Kentucky, and it has marketed our state’s heritage and culture in the sale of its product.”
Louisville mayor Craig Greenberg shared similar sentiments, calling KFC “synonymous with Kentucky.”
Despite the headquarters shift, Yum! Brands has pledged to maintain a corporate presence in Louisville. The KFC Foundation, which supports employee education, will remain in the city. Additionally, the company is providing a $1 million endowment to the University of Louisville’s College of Business for scholarships.
Yum! Brands also hinted at plans to establish a flagship KFC restaurant in Louisville as a nod to its historic roots.
KFC’s legacy
KFC’s origins date back to the 1930s, when Colonel Harland Sanders started selling fried chicken at a service station in Corbin, Kentucky. The brand expanded rapidly, with the first franchise opening in Salt Lake City, Utah, in 1952. By 1991, the company rebranded as KFC to move away from associations with unhealthy fried food.
Today, KFC operates more than 30,000 restaurants across 145 countries, with Colonel Sanders’ image still an iconic part of its branding.
Yum! Brands, which spun off from PepsiCo in 1997 and later merged with Tricon Global Restaurants in 2002, has seen strong financial performance this year. Shares have risen over 10%, driven by successful earnings from Taco Bell and KFC’s international locations.
