McDonald’s is increasing pay in 650 U.S. companies to hire thousands of new employees on a tight labour market.
The fast-food giant also encourages its franchisees – 95% of their restaurant base – to boost pay.
McDonald’s followed other chains, including Chipotle, saying that it will increase workers’ salaries by the end of June to an average of $15 per hour. Darden Restaurants, the Olive Garden owner and other chain owners, said it’s going to guarantee workers $12 per hour by 2023, including tips.
In recent weeks, Amazon, Costco and other large companies have all announced increases in pay.
McDonald’s Increasing Staff
Wages and benefits for U.S. workers are increasing rapidly as the number of vaccinations increases and the number of employers in restaurants and other companies is increasing. In the first three months of this year, total compensation for US workers rose by 0.9 percent, the largest gain in over 13 years, according to the Labor Department.
McDonald’s from Chicago said on Thursday his average hourly wages are expected to increase by 10 percent to $13 per hour over the next few months and to $15 per hour by 2024. Employees at entry levels will earn at least $11 per hour; shift managers will earn at least $15 per hour.
Fight for 15 dollars and a Union, a labour group which is trying to trade quick-food workers into unions, said increases are not enough and that the start-up salary for all McDonald’s employees will continue to be $15 an hour.
“Clearly McDonald’s understands that something needs to change to hire and retain talented workers,” union organiser Doneshia Babbitt and McDonald’s employee and syndicate organiser said in a statement. “Now they raise pay for some of us and use sophisticated mathematical tricks to glimpse the fact that most of us sell short.”
The fight for $15 is scheduled for strikes in 15 towns next Wednesday before the annual meeting of the shareholders of McDonald.
The vast majority of McDonald’s almost 14,000 U.S. stores, however, are owned by franchisees who pay in their own restaurants.
McDonald’s said that he did not have wage data in franchised restaurants, but said that he was asking them to do so.
“We encourage all our owner/operators to work with their restaurant teams to make their community, their people and their long-term growth the most meaningful,” wrote Joe Erlinger, President of the United States, McDonald, in a letter to employees.
The U.S. National Franchisees Leadership Alliance — which negotiates with the firm on behalf of franchisees — supported wage increases and urged restaurants to remain competitive in their local markets in a prepared statement.
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