Last week, McDonald’s shareholders formally backed the company’s decision to leave the National Restaurant Association after clashing with Chili’s over wage practices.
“If you are a restaurant that allows tips or has tips as part of your equation, you’re essentially getting the customer to pay for your labor,” CEO Chris Kempczinski said.
The two chains have been locked in a public spat for months, with Chili’s rolling out menu items priced to compete directly with McDonald’s. Labor advocates say Chili’s use of tipped workers, who earn less per hour than fast-food employees, gives it a built-in advantage.
It’s a notable turn for McDonald’s, which has historically fought California’s minimum wage rules. Advocates for raising the wage floor are welcoming the pivot.
I don't know why I assumed McDonalds would be the bad guy in this. Maybe clawing people back to work post covid has finally helped them see the light on higher minimum wages. Will this titan of...
I don't know why I assumed McDonalds would be the bad guy in this. Maybe clawing people back to work post covid has finally helped them see the light on higher minimum wages.
Will this titan of the food industry be what finally kills tipping in the US? I can only hope.
I mean, McDonalds doesn’t have tipped workers, so even from the most cynical point of view it makes sense for them to be against tipped minimum wage, since they cannot benefit from it.
I mean, McDonalds doesn’t have tipped workers, so even from the most cynical point of view it makes sense for them to be against tipped minimum wage, since they cannot benefit from it.
Afaik, the food industry is only a fraction of McDonalds actual business which is real-estate holdings of the land of which their restaurants sit on. So they're able to not be as egregiously...
Afaik, the food industry is only a fraction of McDonalds actual business which is real-estate holdings of the land of which their restaurants sit on. So they're able to not be as egregiously greedy as other industry players
Well when you have a title that mentions a massive corporation, "battle", and a government regulation, I think some things are natural to infer. I assumed the "battle line" was going to be...
Well when you have a title that mentions a massive corporation, "battle", and a government regulation, I think some things are natural to infer. I assumed the "battle line" was going to be McDonald's trying to pay subminimum by classifying their employees as "tipped" or some such.
I don't know if this makes them not the bad guy, because they are just complaining that they can't pay their workers less like a Chili's can. McDonalds even has an ongoing ad campaign on lowering...
I don't know if this makes them not the bad guy, because they are just complaining that they can't pay their workers less like a Chili's can. McDonalds even has an ongoing ad campaign on lowering their prices and they still are upset that their fast food menu is outvalued by a Chili's.
I think the idea is that Chile's is saving massively on labor costs since they only have to pay as low as $2.13 per hour in some states, which McDonald's feels is unfair (and, well, I kind of...
I think the idea is that Chile's is saving massively on labor costs since they only have to pay as low as $2.13 per hour in some states, which McDonald's feels is unfair (and, well, I kind of agree with them). I'm just glad that McDonald's isn't pushing to consider their employees tipped as well.
McDonald’s has a bit more flexibility in pursuing its lobbying (adjusting its spending, doesn’t need to toe the association’s line). The Association loses a prominent member, ever so slightly...
McDonald’s has a bit more flexibility in pursuing its lobbying (adjusting its spending, doesn’t need to toe the association’s line). The Association loses a prominent member, ever so slightly weakening its influence.
It’s symbolic of McDonald’s stance, and also a bargaining move. The NRA (not that one) is a lobbying group - McDonalds and their resources leaving is a blow to their abilities to, well, lobby.
It’s symbolic of McDonald’s stance, and also a bargaining move. The NRA (not that one) is a lobbying group - McDonalds and their resources leaving is a blow to their abilities to, well, lobby.
...mcdonald's doesn't offer table service, so none of its employees qualify for subminimum wage; chili's servers are paid subminimum wage and tipped accordingly, but their back-of-house...
...mcdonald's doesn't offer table service, so none of its employees qualify for subminimum wage; chili's servers are paid subminimum wage and tipped accordingly, but their back-of-house operations, which perform the same duties as mcdonald's employees, start from the same minimum wage...
...i don't tip for takeout nor pay extra gratuity anywhere i don't take advantage of table service; i think the disparity here is mcdonald's grossly-inflated pricing...
From the article:
I don't know why I assumed McDonalds would be the bad guy in this. Maybe clawing people back to work post covid has finally helped them see the light on higher minimum wages.
Will this titan of the food industry be what finally kills tipping in the US? I can only hope.
I mean, McDonalds doesn’t have tipped workers, so even from the most cynical point of view it makes sense for them to be against tipped minimum wage, since they cannot benefit from it.
Afaik, the food industry is only a fraction of McDonalds actual business which is real-estate holdings of the land of which their restaurants sit on. So they're able to not be as egregiously greedy as other industry players
Well when you have a title that mentions a massive corporation, "battle", and a government regulation, I think some things are natural to infer. I assumed the "battle line" was going to be McDonald's trying to pay subminimum by classifying their employees as "tipped" or some such.
I don't know if this makes them not the bad guy, because they are just complaining that they can't pay their workers less like a Chili's can. McDonalds even has an ongoing ad campaign on lowering their prices and they still are upset that their fast food menu is outvalued by a Chili's.
How does leaving the association benefit Mcdonalds? Are there some restrictions that it doesn’t have to follow now that its out?
I think the idea is that Chile's is saving massively on labor costs since they only have to pay as low as $2.13 per hour in some states, which McDonald's feels is unfair (and, well, I kind of agree with them). I'm just glad that McDonald's isn't pushing to consider their employees tipped as well.
But like isnt that true regardless of if Mcdonalds leaves the group?
McDonald’s has a bit more flexibility in pursuing its lobbying (adjusting its spending, doesn’t need to toe the association’s line). The Association loses a prominent member, ever so slightly weakening its influence.
It’s symbolic of McDonald’s stance, and also a bargaining move. The NRA (not that one) is a lobbying group - McDonalds and their resources leaving is a blow to their abilities to, well, lobby.
...mcdonald's doesn't offer table service, so none of its employees qualify for subminimum wage; chili's servers are paid subminimum wage and tipped accordingly, but their back-of-house operations, which perform the same duties as mcdonald's employees, start from the same minimum wage...
...i don't tip for takeout nor pay extra gratuity anywhere i don't take advantage of table service; i think the disparity here is mcdonald's grossly-inflated pricing...