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McDonalds Workers Respond To Wage Hike Announcement With Protests

EconomyApr 02, 2015 09:45AM ET
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© Reuters/Eduardo Munoz. A member of the liberal protest group 'MoveOn' holds up a poster during a protest in front of McDonald's restaurant in Times Square, New York, on Dec. 4, 2013. On Thursday, McDonald's workers around the country plan to protest the company's recent announcement of a wage hike that doesn't cover all of its workers.

By Aaron Morrison -

Fast-food employees are not “lovin” McDonald’s announcement this week that it will raise wages one dollar above locally-mandated minimum wages. The pay hike, they say, doesn’t cover the vast majority of minimum wage earning employees in its 12,500 franchise stores. On Thursday, hundreds were expected to temper the fast-food giant’s announcement with protests at chain locations in more than two dozen U.S. stores.

The workers, who are part of the group “Fight for $15,” a movement demanding $15 per hour for all fast-food workers in the U.S., will criticize McDonald’s move and demand larger raises and the right to form a union without retaliation, said Barteees Cox, a spokesperson for the workers group. Many of McDonald’s cooks and cashiers make wages that put them at or below the poverty like, and many say they cannot support their families at the rates offered by McDonald’-owned locations and franchisees’ stores.

McDonalds announced Wednesday that it will boost pay for 90,000 of 750,000 U.S. employees to $1 above the mandated minimum wages in July, reaching more than $10 by 2017. However, the pay hike only applies to workers at restaurants officially owned by McDonald’s, or about 10 percent of the company’s locations nationwide. According to Fight for $15, about 1.6 million workers worldwide will not see a raise at all. Franchisees set their own wages.

“Nearly everyone who works at McDonald’s will still get paid less than $10 an hour – not enough to pay the bills,” said Emma Stieglitz, a representative of the protest group. “In many places, McDonald's (NYSE:MCD) workers earn the federal minimum of $7.25, which means even those who will see an increase as a result of Wednesday's publicity stunt will still be stuck trying to support families on $8.25 an hour.”

McDonald’s wage announcement came a day after workers announced they would stage the biggest-ever strike in fast-food industry — a 200-city restaurant walkout on April 15. The wage hike also comes on the heels of pay increases in the low-paying retail sector: Walmart (NYSE:WMT), Target and TJX, which owns T.J. Maxx and Marshall’s, have boosted pay over the last two months.

McDonalds Workers Respond To Wage Hike Announcement With Protests

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