Sprinkles Cupcakes, a once-celebrated name in the dessert industry, is closing the doors of all its company-owned bakery locations across the nation. This surprising move has stirred significant emotion and criticism, especially from employees who claim they were blindsided by the news and left scrambling without adequate notice.

The announcement came through a statement shared with Nexstar’s KTLA, where a company representative expressed that the decision followed a period of careful consideration. “After thoughtful consideration, we’ve made the very difficult decision to transition away from operating company-owned Sprinkles bakeries,” the statement read, signaling the end of an era for the brand.

While the fate of Sprinkles’ iconic cupcake ATMs remains unclear, the company’s silence on potential support for the affected workers has fueled frustrations. Displaced employees are uncertain about what comes next, as no details have been provided regarding severance or job placement assistance.

The emotional impact of the closures has spilled onto social media, where many self-identified current and former Sprinkles employees shared their shock and dismay. Numerous comments on Instagram paint a picture of a sudden and widespread shutdown, leaving staff in a precarious position.

“One day notice of losing my job — how will I take care of my 5 kids now,” lamented one commenter, highlighting the personal toll of the abrupt closures.

Another claimed 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. Others echoed similar frustrations, accusing the company of keeping staff on through the busy holiday season before laying them off.

KTLA has not independently verified the claims made on social media. Sprinkles had not responded to follow-up questions about notice periods, severance or employee support as of Wednesday morning.

Sprinkles was founded in 2005 by Candace Nelson, opening its first location in Beverly Hills. The brand later made headlines in 2012 when it launched what it billed as the world’s first cupcake ATM — a novelty that helped fuel the cupcake craze nationwide. That same year, the company was sold to a private equity firm.

Nelson reacted emotionally to news of the closures, calling the situation “completely surreal.”

“Even though I sold the company over a decade ago, I still have such a personal connection to it,” she said. “This isn’t how I thought the story would go. I thought Sprinkles would keep growing and be around forever.”

The move follows the closure earlier this year of Sprinkles’ location at the Americana at Brand in Glendale, California, which featured the chain’s iconic cupcake ATM and colorful storefront. That shutdown raised questions about whether the once-booming cupcake craze is continuing to cool.

Consumer Confidential’s David Lazarus previously told KTLA that evolving preferences could spell trouble for retailers built around indulgent treats.

“The simple fact is that cupcakes, while yummy, aren’t addressing the needs of younger consumers seeking healthier foods and snacks,” Lazarus said.

Sprinkles has not said whether franchise locations will remain open, whether additional closures are planned, or what comes next for affected workers.

As of Friday, the “locations” webpage at the company’s official site was broken.

Angeli Kakade, Nidia Becerra and Peter Wilgoren contributed to this report.