This Imminent Labor Law Ruling Could Change the Fabric of McDonalds Forever

by Evil HR Lady on March 20, 2018

Did you start your career at McDonald’s? Chances are more than a few of you did, and those that didn’t may have worked for another business that operated on the franchise model.

How the franchise model works is that a person or group buys the rights to open a restaurant (or other franchised business). The business gets the benefits of the global branding and is bound by numerous corporate rules, but the employees report to the local owner.

That limits corporate liability. If Jane, who owns a McDonald’s Franchise, doesn’t pay overtime, it’s Jane that’s liable, not McDonald’s Corporate office. Jane, you might have guessed, doesn’t have the deep pockets that the corporate office has.

All of that might change.

To keep reading, click here: This Imminent Labor Law Ruling Could Change the Fabric of McDonalds Forever

{ 1 comment… read it below or add one }

Maria Rose March 20, 2018 at 6:16 pm

If anyone has a complaint about this change in corporate-franchise operation, please blame those franchise owners who didn’t follow labor laws properly who made it problematic for everyone. All corporations have a business model which they instruct potential franchise owners on all aspects of running the business, the only leeway is given to pricing, product available,etc. based on geographic location.
Never is given the okay to abuse payment of workers to achieve the profit lines. It is just common sense business operation that labor costs are a necessary part of the business. If cost control is the end gain, it should not be by withholding pay for work performed. There are much better effective ways to increase productivity. Again,too bad that some franchise owners do this, thinking their money will protect their status.


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