{"id":21351,"date":"2016-11-07T01:32:55","date_gmt":"2016-11-07T01:32:55","guid":{"rendered":"https:\/\/www.thefranchiseking.com\/?p=21351"},"modified":"2016-11-07T01:32:55","modified_gmt":"2016-11-07T01:32:55","slug":"the-latest-news-from-mcdonalds-is-a-big-deal","status":"publish","type":"post","link":"https:\/\/www.thefranchiseking.com\/the-latest-news-from-mcdonalds-is-a-big-deal","title":{"rendered":"The Latest News From McDonald&#8217;s Is A Big Deal"},"content":{"rendered":"<p><a href=\"https:\/\/www.thefranchiseking.com\/?s=mcdonald%27s\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-21354 size-full\" src=\"https:\/\/www.thefranchiseking.com\/wp-content\/uploads\/mcdonalds-450433_640.jpg\" alt=\"McDonald's news is a big deal\" width=\"640\" height=\"480\" srcset=\"https:\/\/www.thefranchiseking.com\/wp-content\/uploads\/mcdonalds-450433_640.jpg 640w, https:\/\/www.thefranchiseking.com\/wp-content\/uploads\/mcdonalds-450433_640-320x240.jpg 320w, https:\/\/www.thefranchiseking.com\/wp-content\/uploads\/mcdonalds-450433_640-620x465.jpg 620w\" sizes=\"auto, (max-width: 640px) 100vw, 640px\" \/><\/a><\/p>\n<p>I&#8217;m talking <strong>big<\/strong>.<\/p>\n<p>Especially if you&#8217;ve been keeping up on what the <a title=\"the nlrb\" href=\"https:\/\/www.nlrb.gov\/\" target=\"_blank\">NLRB<\/a> is attempting to do to the franchise business.<\/p>\n<p>Keep reading.<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<h2>The Latest McDonald&#8217;s News<\/h2>\n<p>From Buzzfeed.com:<\/p>\n<blockquote><p>&#8220;<em>McDonald\u2019s Corp. agreed on Friday to pay $3.75 million to settle a lawsuit with about 800 Bay Area-based franchise workers, who claimed they were owed overtime pay due to flaws in payroll systems and denied state mandated breaks, among other complaints. The settlement is the first time that McDonald\u2019s corporate is paying franchise workers to settle a suit, lawyers said. It must now be approved by a district judge<\/em>.&#8221;<\/p><\/blockquote>\n<p>That&#8217;s a lot of money-even for a huge franchisor like <a title=\"mcdonald's breakfast\" href=\"https:\/\/www.thefranchiseking.com\/mcdonalds-happy-meals-for-breakfast-could-become-a-thing\">McDonald&#8217;s<\/a>.<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<h2>Why This Is A Big Deal<\/h2>\n<p>The National Labor Relations Board (<em>NLRB<\/em>) announced (<em>a while ago<\/em>) that its Office of the General Counsel is going to name McDonald\u2019s as a \u201c<em>joint employer<\/em>\u201d in upcoming court cases. Do you know what a joint employer is?<\/p>\n<p>A joint employer means that the McDonald\u2019s corporation <em>and<\/em> the McDonald\u2019s <em>franchisees<\/em> are both considered employers. So, if you&#8217;re cooking burgers at a franchise-owned McDonald&#8217;s, you have two employers: Your boss <em>and<\/em> the big boss at McDonald&#8217;s <a title=\"mcdonalds corporation headquarters\" href=\"https:\/\/www.chicagotribune.com\/business\/ct-mcdonalds-chicago-headquarters-0614-biz-20160609-story.html\" target=\"_blank\">corporation<\/a> in Illinois. That&#8217;s a problem.<\/p>\n<p>If you&#8217;re <a title=\"fired from a job\" href=\"https:\/\/www.thefranchiseking.com\/the-5-top-reasons-for-buying-a-franchise\">fired<\/a>, who approves your unemployment claim?<\/p>\n<p>If you get hurt, your workman&#8217;s comp lawyer can go after&#8230;who?<\/p>\n<p><a href=\"https:\/\/www.thefranchiseking.com\/wp-content\/uploads\/icebergs-932963_640.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-21353\" src=\"https:\/\/www.thefranchiseking.com\/wp-content\/uploads\/icebergs-932963_640.jpg\" alt=\"image of an iceburg\" width=\"640\" height=\"395\" srcset=\"https:\/\/www.thefranchiseking.com\/wp-content\/uploads\/icebergs-932963_640.jpg 640w, https:\/\/www.thefranchiseking.com\/wp-content\/uploads\/icebergs-932963_640-320x198.jpg 320w, https:\/\/www.thefranchiseking.com\/wp-content\/uploads\/icebergs-932963_640-620x383.jpg 620w\" sizes=\"auto, (max-width: 640px) 100vw, 640px\" \/><\/a><\/p>\n<p>Those two examples are the tip of the iceberg in what&#8217;s shaping up to be a <em>very<\/em> confusing potential ruling by the NLRB. There&#8217;s more on joint employment from the U.S. Department of Labor. It&#8217;s worth a <a title=\"joint employment\" href=\"https:\/\/www.dol.gov\/whd\/regs\/compliance\/whdfs35.htm\" target=\"_blank\">read<\/a>.<\/p>\n<p>The part that&#8217;s the big deal here: McDonald&#8217;s just wrote a large check to 800 workers. They&#8217;ve never done anything like it before. <strong>Their decision to do this is a big deal.<\/strong><\/p>\n<p>From <a title=\"buzzfeed franchise articles\" href=\"https:\/\/www.buzzfeed.com\/coralewis\/mcdonalds-settles-labor-lawsuit-with-800-franchise-workers?utm_term=.suEj4L2yz#.hhnyx4VpL\" target=\"_blank\">Buzzfeed<\/a>:<\/p>\n<blockquote><p>&#8220;<em>The fact that McDonald\u2019s settled the case for a substantial amount of money &#8216;does suggest that its lawyers have concluded that there is some risk&#8217; that it could have been found to be a joint employer had the case moved forward<\/em>.&#8221;<\/p>\n<p>&nbsp;<\/p><\/blockquote>\n<p>&nbsp;<\/p>\n<h2>The Latest News From McDonald&#8217;s Is A Big Deal<\/h2>\n<p>There&#8217;s one more reason why the news of McDonald&#8217;s writing the $3.75 million check to these employees is big. The reason&#8230;<\/p>\n<p><strong>Unions<\/strong> are going to want in even <em>more<\/em>. They&#8217;re going to push even harder to represent hourly fast-food workers. I don&#8217;t see that as a good thing for fast food franchise owners.<\/p>\n<p>This news does not mean <a title=\"end of franchising\" href=\"https:\/\/www.thefranchiseking.com\/franchising-nlrb-decision-wont-help-unions-weasel-their-way-in\">the end of franchising as we know it<\/a>. It <em>does<\/em> mean there will be a few more headaches for franchisees and franchisors in the future.<\/p>\n<p>That&#8217;s why there are lawyers.<\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>I&rsquo;m talking big. Especially if you&rsquo;ve been keeping up on what the NLRB is attempting to do to the franchise business. Keep reading. &nbsp; &nbsp; The Latest McDonald&rsquo;s News From Buzzfeed.com: &ldquo;McDonald&rsquo;s Corp. agreed on Friday to pay $3.75 million to settle a lawsuit with about 800 Bay Area-based franchise workers, who claimed they were [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":21354,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","footnotes":""},"categories":[28],"tags":[1190,1766],"class_list":["post-21351","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-franchise-news","tag-how-much-is-a-mcdonalds-franchise","tag-joint-employer"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v28.0 (Yoast SEO v28.0) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>The Latest News From McDonald&#039;s Is A Big Deal &#8212; The Franchise King\u00ae<\/title>\n<meta name=\"description\" content=\"The latest news from McDonald&#039;s is a big deal. 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Joel is the author of \"Become a Franchise Owner!\" (Wiley) and \"The Definitive Guide to Franchise Research\" (Self). Joel's blog, The Franchise King Blog, is the longest-running blog in franchising. Joel also owns and operates The Franchise Attorney Directory. Joel Libava works 1-on-1 as a Franchise Ownership Advisor, and is a prolific writer on all things franchising. 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