The Homestead Family Restaurant in Masterton closed on Wednesday, says Trust House chief executive Allan Pollard.
The Wairarapa Times-Age earlier this week reported the prospect of closure, which leaves jobless nine of the eleven mostly part-time restaurant workers.
Two workers from the closed business will start jobs in other Trust House operations in Masterton, Mr Pollard said.
"The remaining jobs, which are equivalent to five full-time positions, will be disestablished. We are continuing to look at other job opportunities for those staff in other parts of Trust House," Mr Pollard said.
Mr Pollard said staff feedback had been sought and he had been reluctant but compelled to weigh the possibility of closure.