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Wow, Union thugs looking out for the welfare of McDonald's franchisees?
There are so many inaccuracies and falsehoods in the union report I only have time to address a few:
* It says, "most of its profits come from its real estate operations, not selling burgers." Most ignorant statement ever. McDonald's charges a percentage rent and percentage royalties on all sales. Without sales of hamburgers there is no income to McDonald's and no franchisee.
* "McDonald's is the largest real estate company in the world" This is 30 year old myth that's never been proven or documented. McDonald's Corp. has never made that claim and they disclose very little about their real estate portfolio. Someone made that statement in the 1980s and it's still out there with no proof.
* No one has a "right" to buy a McDonald's franchise, it's not an open market. McDonald's franchisees don't have to sign onto the program. If they want lower rent they are free to go elsewhere.
* And there's no assurances that wages would rise if franchisee rents were lower. If I was still a McDonald's franchisee and somehow my rent was miraculously lowered I think my first move would be to drop my menu prices in order to increase traffic.
At least in the USA McDonald's franchisees employ entry level people with few, if any, job skills. These people are paid modest wages, not because of the rent the franchisee pays, but because of their lack of skills. When they develop skills they get raises or move on to higher paying jobs.
Understand, I'd love to see my McDonald's franchisee friends pay less to McDonald's but propaganda from union goons who know nothing about business or free enterprise isn't going to help franchisees or their employees.
Forcing a franchisee to have to pay a minimum wage higher than any other business WILL destroy franchising.
Since you think it's so funny, I'm guessing that you are SEIU. You definitely are not a franchisee.
I hear the SEIU is plotting to fly franchisees to Mars. You just gotta read what David Weil and the unions say to figure out what they really mean beyond the words. We gotta stop them! Franchisors tell me it could destroy franchising.
I am the same exact name as you are visitor
I am a franchisee One that has been threatened by SEIU
I claim no secret knowledge of the inner workings of that group and their fellow travellers in the ROCs and the Obama administration (if you haven"t heard of David WEIL you have some reading to do
I simply listen to what they say< observe what they do and read what they write
Its all very clear
No top secret decoder ring required
Who are you?
You claim to know a lot about the inward workings and intents of the SEIU. Yet, you speak like a franchisor. I'm no particular fan of the SEIU but YOUR words on what they really intend mean very little until I know who you are. Of one thing I'm certain. You are not a franchisee.
The rhetoric used by SEIU people in the discriminatory minimum wage hearings in Seattle tells you the truth. SEIU wants franchisees eliminated from society. SEIU wants the livelihoods earned by franchisees to be ripped from them and redistributed, and to have to organize workers by dealing only with the corporate franchiser.
SEIU sees the livings earned by franchisees as the dues it could be extorting from workers. That is the truth.
The rest is just pressure on the franchisors and an attempt to drive a wedge between franchisees and franchisers so that they don't rally to protect franchising as a business model.
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