Would you like a PIN number with your fries?

[barahona44]

A franchisee of 12 McDonalds in northeastern Pennsylvania has been ordered to pay 3 million dollars to settle a lawsuit after spending several years paying their employees in fee laden debit cards.

http://www.mcall.com/business/retail/mc-biz-mcdonalds-franchisees-20171025-story.html

[_______]

A franchisee of 12 McDonalds in northeastern Pennsylvania has been ordered to pay 3 million dollars to settle a lawsuit after spending several years paying their employees in fee laden debit cards.

http://www.mcall.com/business/retail/mc-biz-mcdonalds-franchisees-20171025-story.html

2400 employees in 16 McDonalds seems odd even absent any time frame in that story. Was this decades in the making? Is turnover that big an issue? And everyone got the same amount regardless of their term of employment?

I’m not the questioning the facts presented but I’d like more details to wrap my head around how the fast food industry operates.

[barahona44]

2400 employees in 16 McDonalds seems odd even absent any time frame in that story. Was this decades in the making? Is turnover that big an issue? And everyone got the same amount regardless of their term of employment?

I’m not the questioning the facts presented but I’d like more details to wrap my head around how the fast food industry operates.

I googled the names of the franchise owners(Albert and Carol Mueller).and there were several articles related to the lawsuit. The suit was first filed four years ago.Employees were not given the option of a paper check or direct deposit.McDonalds distanced themselves from the whole shebang because it wasn't a company owned restaurant. Yet another more general article on the situation revealed that in 2012 alone 5 million people were paid with debit cards.I had never heard of such an arrangement.

[JustRalph]

Many employees in the restaurant industry actually like being paid this way. But if you don’t choose the right card system the employees get ripped off with fees. The system keeps their money out of a bank, which many don’t trust or are subject to seizure due to court judgements etc. I actually had a co worker years ago get fired for refusing direct deposit, she had a huge judgement against her.

Next year my wife and I have to decide how to pay our employees. We are looking at a couple options. I’m seriously considering cash......13k a week.....

[kingfin66]

2400 employees in 16 McDonalds seems odd even absent any time frame in that story. Was this decades in the making? Is turnover that big an issue? And everyone got the same amount regardless of their term of employment?

I’m not the questioning the facts presented but I’d like more details to wrap my head around how the fast food industry operates.

A typical McDonald's will have 75-90 employees on staff. Keep in mind that the overwhelming majority are part timers. McDonald's has people in the store at all hours, but there are obviously going to be fewer on the overnight shift. If you took the 75 and multiplied by 16 stores, you have a snapshot of 1,200 employees at a given point in time.

Now factor in turnover. McDonald's, being a low-paying fast food company that does not treat its employees well, has a tremendous amount of turnover. My sons are shift managers at a local McDonald's. They said that they can easily turn half of their staff over in a year, including managers! The 2,400 employee figure cited in the article is very possible. Last night, my sons were telling me of a person who was upset that she did not get offered a job by the general manager. I was surprised because I did not think that they turned anybody down :eek: I soon learned that the issue was one of availability, or lack thereof.