Labor and Policy: Page 5
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Judge bars Burgerim and its founder from selling franchises
Burgerim could owe the FTC up to $56 million in civil penalties and money earmarked for consumer redress. Oren Loni, CEO and founder of the disgraced restaurant chain, settled separately in November.
By Aneurin Canham-Clyne • Feb. 23, 2024 -
Starbucks unionization efforts
Starbucks union’s student allies stage national day of action against chain
Demonstrations are slated at 25 major public and private universities Thursday in a bid to push administrators to break ties with the company, or declare solidarity with Starbucks Workers United.
By Aneurin Canham-Clyne • Updated Feb. 22, 2024 -
McDonald’s employee had to pump breast milk in stockroom corner, lawsuit alleges
The complaint is the latest against large-scale employers who allegedly violate the PUMP Act by failing to provide nursing employees reasonable time to express milk in a private, sanitary place.
By Laurel Kalser • Feb. 20, 2024 -
Starbucks unionization efforts
Starbucks union organizes record 21 stores in 1 day
The organizing blitz is likely intended to pressure the coffee chain, which says it wants to reach contracts at all organized stores this year, during negotiations.
By Aneurin Canham-Clyne • Feb. 20, 2024 -
Sponsored by Paylocity
How to overcome 5 restaurant industry challenges
Discover tips and tricks to help you tackle some of the top HR pain points for restaurants and hospitality businesses.
Feb. 20, 2024 -
Toast to cut 550 employees
The company’s CEO acknowledged during an earnings call that “we grew our team too quickly in some areas,” while reporting a presence in 106,000 locations as of the end of 2023.
By Lynne Marek • Feb. 16, 2024 -
McDonald’s franchisee settles rape case for $4.35M
McDonald’s franchisee Rice Enterprises will sell its restaurants to fund a $4.35M settlement with a minor who was sexually assaulted by a manger.
By Aneurin Canham-Clyne • Feb. 6, 2024 -
Restaurant operators see gig work as labor solution, NRA says
Finding staff is still a significant challenge for many operators, with 45% of surveyed restaurateurs reporting inadequate staffing to meet demand.
By Aneurin Canham-Clyne • Feb. 6, 2024 -
Cheesecake Factory, contractors agree to $1M settlement for underpaying 589 janitorial workers
The resolution includes $750,000 from the restaurant chain and $250,000 from the janitorial contractors accused of wage theft, the California Labor Commissioner’s Office says.
By Nish Amarnath • Feb. 1, 2024 -
How Portillo’s develops its managers to sustain $10M unit volumes
CEO Michael Osanloo said the chain’s labor model and high unit volumes enable a “virtuous cycle” where sales drive wages and benefits, which in turn drive retention and efficiency.
By Aneurin Canham-Clyne • Feb. 1, 2024 -
US Foods wins $11.9M suit against Boston Market by default
A federal judge found Boston Market engaged in bad faith and intentionally avoided engaging with process servers in a lawsuit over unpaid bills.
By Aneurin Canham-Clyne • Feb. 1, 2024 -
Chipotle targets Gen Z workers with latest benefits
The chain, whose workforce is 73% Gen Z, hopes to appeal to the demographic’s economic insecurity and hire 19,000 workers by spring.
By Aneurin Canham-Clyne • Jan. 24, 2024 -
Qdoba settles claim it failed to provide pay ranges in job ads
The quick-service restaurant ran afoul of Washington state law, the proposed class action alleged.
By Kate Tornone • Jan. 23, 2024 -
California’s $20 fast food wage poses risk and reward, execs say at ICR
Operational changes, value offerings and pricing are key tools in preserving traditional margins as wages rise, leadership from major chains shared.
By Aneurin Canham-Clyne • Jan. 23, 2024 -
Starbucks ‘Memphis 7’ dismissal case heads to the Supreme Court
The court will hear Starbucks’ case that the National Labor Relations Board’s injunctions to reinstate several fired baristas were issued under an incorrect standard — a political win for the chain.
By Aneurin Canham-Clyne • Updated Jan. 16, 2024 -
House votes to overturn NLRB’s joint employer rule
The House may disapprove of joint employer, which would increase restaurant franchisor liability for employees, but Senate maneuvering will determine the fate of the rule.
By Aneurin Canham-Clyne • Updated Jan. 12, 2024 -
Deep Dive
7 restaurant industry trends to watch in 2024
Development costs will remain high and service fees could frustrate diners, but personalized offers and labor-saving tech may give brands an edge.
By Emma Liem Beckett , Aneurin Canham-Clyne , Julie Littman • Jan. 10, 2024 -
DOL independent contractor final rule announced, will take effect March 11
The rule largely tracks the agency’s October 2022 proposed rule, adopting a six-factor, “totality-of-the-circumstances” framework for analyzing worker-employer relationships.
By Ryan Golden • Jan. 9, 2024 -
California bistro pocketed thousands in worker tips to pay expenses, suit alleges
The Department of Labor is suing Entre Nous for $500,000 in back wages and damages, and said it misclassified workers as independent contractors.
By Aneurin Canham-Clyne • Jan. 4, 2024 -
How the politics of restaurant labor changed in 2023
This year ushered in new regulations about fast food worker pay in California, the end of the subminimum wage in Chicago and a joint-employer rule that puts pressure on franchisors.
By Aneurin Canham-Clyne • Dec. 20, 2023 -
McDonald’s to survey franchisees on child labor practices
McDonald’s operators in five states were fined by the U.S. Department of Labor for making minors work longer hours in more dangerous roles than permitted.
By Aneurin Canham-Clyne • Dec. 18, 2023 -
Q&A
Cava is bolstering customization through catering, loyalty strategy
The Mediterranean chain is testing restaurant models with expanded kitchen space to support catering and a new, bankable points rewards program to deepen engagement, said CEO Brett Schulman.
By Emma Liem Beckett • Dec. 14, 2023 -
McDonald’s, KFC, Burger King, Wendy’s franchisees face ‘convict leasing’ suit in Alabama
Incarcerated workers are suing Alabama and employers, including franchisees of major restaurant chains, over an alleged system of coerced labor.
By Aneurin Canham-Clyne • Dec. 14, 2023 -
DoorDash pauses some NYC driver perks, plans to raise fees
After a judge dismissed an appeal against a delivery driver minimum wage law last week, DoorDash will pay its drivers $29.93 per hour of active time, excluding tips, in the Big Apple.
By Julie Littman • Dec. 5, 2023 -
McDonald’s asks SCOTUS to hear no-poach case
A group of former employees sued in 2018, alleging that hiring restrictions between the fast food chain and its franchises constituted a “per se” violation of the Sherman Antitrust Act.
By Ryan Golden • Dec. 4, 2023