Agreement is Struck on Fast Act - Restaurant Business
BAD DEAL FOR FRANCHISEES. The deal protects the Franchisor (MCD) from any joint liability claims in perpetuity, and exposes Franchisees to a $20 per hour minimum starting wage with a 3.5% annual escalation clause on the pay rate. Bend over, you have just been screwed by the Franchisors. Wanna bet that the feckless NFLA is silent on this,or even supports it?!!!
MCD claims they will "support" the California owners with millions of relief dollars. Problem is, they refuse to commit to needed RENT relief, and will ONLY donate funds to amplify the app usage! That will only increase promo costs, and boost top line sales for MCD, while further eroding cash flow for operators. Good Grief! The "partnership" is DEAD.#FIREchrisK&JoeNFLA response?...crickets
SEIU WINSMCD WINSOPERATORS LOSE (again)
Now that MCD has sacrificed the California owners profits and betrayed the owners nationwide, look for many McOpCo stores in California to be sold to avoid the $20+ wages (dont forget wage compression, boosting average wages up even more!). Whats next, rent and service fee increases?The owners who sold out 2-3 years ago at eight to ten times cash flow look like geniuses now, while those of us left continue to look like chumps. The system is being DESTROYED by a MCD senior management team only concerned with the short term stock price to boost their own "golden parachutes" (remember Easterbrooks $50mm+ settlement?), leaving the long term forecast for the system in shambles.
BAD DEAL FOR FRANCHISEES. The deal protects the Franchisor (MCD) from any joint liability claims in perpetuity and exposes Franchisees to a $20 per hour minimum starting wage with a 3.5% annual escalation clause on the pay rate. Bend over, you have just been screwed by the Franchisors. Wanna bet that the feckless NFLA is silent on this, or even supports it?!!!
“We’ll help with15M”15M/1200 ca stores = 16k per. That’s an ice machine. Thanks Joe
$15m will be spent on the MOBILE APP ONLY. This will only benefit MCD with higher sales. The added promo borne by the operator will negatively impact cash flow. We would be better off with no help rather than this self serving MCD "help"
The "deal" claims that it had the support of franchise "owners" in CA. McDonalds operators.Now we are truly just operators and can forget putting the owner tag on that O/O.If your franchisor gets to set your wages without your consent, or even your knowledge, and you are compelled to comply, do you really "own" any business?Is McDonalds corporate the real owner of our business? Sure seems like it. That's even worse than a joint employer. That's the true owner of the business.What actual MCD franchsiisees supported this?!
If your franchisor gets to set your wages without your consent, or even your knowledge, and you are compelled to comply, then they ARE a JOINT EMPLOYER.The SEIU saw the Franchisors coming on this one and played the Franchisors like a fiddle. Now the SEIU will use this in court as "collective bargaining" to force joint employer status and unionization. The dimwits in Chicago have been had. And we pay the price
Congratulations SEIU. You have effectively and successfully hoodwinked a $195,000,000,000.00 corporation ($195 BILLION)
One of the worst parts of this legislation is that these “negotiations” were lead by the leadership of the Franchisors and industry groups, without Franchisee participation, who were selfishly able to protect their own interests (and even carve out an exception for Panera and other similar quick service chains who bake bread). It’s a travesty and another example of self serving and unfair dealings by these large corporations including McDonalds Corp.
It sounds like McDOnalds corporate is the ACTUAL employer, not just even a joint employer.It just told its franchisees what they must pay their employees.Nest up, MCDOnalds will be telling its franchisees how much paid sick leave, paid vacation time, paid breaks and work rules it must set for their employees. After SEIU tells Chris K what to do, of course.One plus--they aren't our employees anymore. When they sue or file phony claims they can go straight to Chris K for damages and ambulance chaser fees.
This revised bill including the "Committee" is Communism, pure and simple. A Central Committee administered and governed by a one-party state. Welcome to Commiefornia!
The SEIU lawyers are salivating over this!
We should start baking our own buns in store. Hardees used to do it!
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