Several industries are facing labor crunch and the restaurant industry is not untouched by it. Very few people are willing to return to the work and this is apparently because of the government expanding jobless benefits. This is why restaurants are struggling to meet the surge in consumer demand. With life coming back to normal in several parts, the demand has grown manifold. Some restaurants are honestly accepting that they didn’t expect such a surge. This is apparently why the hiring process that starts in the spring and summer months has been accompanied by news of wage hikes. In a related development, fast-food giant McDonald’s has announced that it would give an average 10 per cent hourly raise to more than 36,500 employees across the United States. These employees are working at around 660 restaurants owned by McDonald’s.
The company said that it has already started to implement these increases and the process will continue over the next several months. Once fully implemented, the entry-level pay for McDonald’s employees will start at least with USD 11 to USD 17 an hour. “Shift managers would get a minimum hourly wage of USD 15,” the fast-food giant said in a statement. However, the company has clarified that the wages will not be applicable to workers employed at restaurants owned and operated by franchisees. There are around 13,000 such workers. The announcement has been made as thousands of McDonald’s workers are planning for a strike. These workers have announced that they will go on strike on May 19 across 15 cities demanding a hike in wages.
The move indicates that McDonald’s clearly understands that changes are required in order to retain as well as hire talented workers. However, Doneshia Babbitt – St. Louis-based McDonald’s worker and union leader – said that the company has done a math trick and they will continue with the plan of going on strike on May 19. Babbitt said that they will demand a USD 15 per hour wage for every worker in every restaurant of McDonald’s. Meanwhile, McDonald’s franchise in Florida last month announced that it would offer USD 50 to anyone who would interview at the location.