Note: McDonald’s plans to raise the average pay of about 90,000 of the 750,000 McDonald’s US workers to around $10 an hour, but the increase will not benefit workers at the vast majority of the restaurants, because they are operated by franchisees, who make their own wage decisions. The pay increase, for workers at roughly 1,500 company-owned U.S. restaurants, will take effect on July 1. Starting wages at the restaurants will move to $1 above the locally mandated minimum wage. The increase will take the average hourly rate for those workers to $9.90 on July 1, up from $9.01 currently, McDonald’s said. By the end of 2016, McDonald’s said, the average hourly wage rate for McDonald’s employees at those restaurants will exceed $10.
McDonald’s also said that full- and part-time crew employees at company-operated restaurants, with at least one year of service, will begin to accrue personal paid time-off. Workers said the company does not currently offer paid time-off. Full- and part-time employees at company-owned locations will be able to accrue paid time off. Workers for company-owned and franchised stores will have access to education programs that include tuition assistance for high school equivalency, college credits and English as a second language classes.
Workers groups said the move by McDonald’s, which is also adding benefits such as paid vacations, fell short of their goals. The raise is only at “company-owned restaurants,” only about 10% of its 14,350 stores nationwide. The rest are owned by franchisees, who “operate their individual businesses and make their own decisions on pay and benefits for their employees.” The National Labor Relations Board issued complaints saying that McDonald’s was a joint employer with its franchises because the company “engages in sufficient control over its franchisees’ operations…to make it a putative joint employer with its franchisees, sharing liability for violations of our Act.”
Family Values @ Work Applauds McDonald’s Workers’ Victory
Calls on McDonald’s to Make Paid Sick Days and Paid Family Leave Accessible to All Workers
Washington, DC – Family Values @ Work, a network of coalitions in 21 states working to pass family-friendly workplace policies, applauded today’s pay announcement and the addition of a paid sick days policy for nearly 90,000 McDonald’s workers.
“Family Values @ Work salutes the McDonald’s workers who have been a part of the growing fast food movement, striking and risking retaliation from their employer for demanding a decent wage and workplace policies that allow them to provide and care for their families,” said Ellen Bravo, Executive Director of Family Values @ Work. “Today’s wage announcement and the addition of paid sick days for nearly 90,000 workers by McDonald’s is a direct result of their courage and determination.
“However, the paid time off applies only to employees at company-owned restaurants, which make up only 10% of McDonald’s employees. It also falls short of what McDonald’s workers have called for, which is a living wage of $15 an hour. The company needs to raise wages for all of its employees to $15 an hour and ensure paid time off for sickness and family needs is accessible to all of their workers.
“The inclusion of a policy that enables workers to accrue up to five days of paid time off annually after a year of employment adds to the momentum around paid sick days that’s sweeping the country. McDonald’s has undoubtedly felt the pressure from its own employees as well as our activists who have been pushing for paid sick days and paid family leave for all working Americans for years. We are heartened by this step and encourage McDonald’s to extend a pay increase and paid time off to all of its employees.”
Family Values @ Work is a network of coalitions in 21 states working to pass policies that value families at work such as paid sick days and affordable family leave. More information athttp://familyvaluesatwork.org.