McDonald’s ‘Salary Rise’ Won’t Affect 95% of Its Franchised Employees

McDonald’s announced Thursday that it would increase the salaries of its restaurant workers. But the ad comes with several caveats in the fine print.

The fast food giant has said it will increase employee wages by 10% per hour and that employee pay at all of its company-owned restaurants will average $ 15 an hour over several years. The company said that he increases his wages in the hope of attracting more employees as restaurants struggle to find workers willing to work for low wages during the pandemic.

But a lot new electrical outlets ran with with headlines simply touting increased wages, the reality of the story is less appealing. First, the company only owns 5% of its restaurants, which means 95% of the employees working for the franchise will not be affected by the increases.

In addition, an average wage is not the same as a minimum wage. McDonald’s says that with increases of 10%, the average salary at its corporate restaurants will rise to $ 13 an hour and $ 15 an hour by 2024.

But the company touting the average wage instead of the minimum wage means the fast food chain could still pay some employees $ 11 an hour and pay others more to balance the average – all the while bragging about the flashy figure and much-vaunted $ 15 an hour. .

The company is full of praise for his pay rise; he posted the announcement on social media, along with a statement from their multimillionaire US President Joe Erlinger said: “Our first value takes care of our employees. “

Boasting that McDonald’s will increase its average hourly wage to $ 15 in several years is not a statement from the company whose executives admitted in meetings with shareholders that a federal minimum wage of $ 15 would not hurt their bottom line.

The new ad shows, on the contrary, the reluctance of the company to pay all its employees a living wage at least $ 15 an hour, which according to reports is the minimum required to survive in many parts of the country. And the timing of the announcement is likely a PR ploy for the company.

Indeed, the announcement comes just as McDonald’s employees in 15 cities plan to strike May 19 to demand a minimum wage of $ 15 an hour. McDonald’s workers demand $ 15 minimum wage since 2012, when fast food workers across the country went on strike to start the Fight for $ 15 movement.

In retaliation, the company has spied on its workers associated with the movement for years, Motherboard reported. The company used social media monitoring tools to keep tabs on employee organization and track any strikes, protests or organizing activity.

As the company gathers its shareholders to discuss spending, “The only thing missing is our voice,” said Terrance Wise, director of the McDonald’s department in Kansas City, Missouri. Vice. Kansas City McDonald’s workers plan to strike on the 19th. $ 5 billion in profits Last year. There wouldn’t be any shares to divide if we didn’t make burgers and McFlurries. Our message to shareholders on May 19 is that you don’t have to wait for legislation. You can pay us $ 15 an hour now. “

Employees say the company would have an easier time retaining employees if they were paid a minimum of $ 15 an hour. Fast food workers and other frontline workers struggled during the pandemic, like many businesses illegally denied them paid leave and forced them to risk contracting COVID-19 at work while paying them low wages.

“We showed up for work day in and day out in the midst of a global pandemic, risking our lives without [personal protective equipment] or paid time off to keep your stores open and grow the company’s bottom line, ” mentionned Doneshia Babbitt, a St. Louis McDonald worker and wrestling for $ 15, in a statement in response to Thursday’s announcement from McDonald’s. “You’ve been calling us essential for over a year, but your announcement today proves that you saw us as disposable from the start.”

Employees have once been frustrated with the company for breaking its promise to pay employees $ 1 above minimum wage. In 2018, Bloomberg reported that despite the company’s commitment years earlier, the the company was not following with local minimum wage increases and many employees not receiving what the company promised in 2015.

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