McDonald’s has temporarily closed all of its US offices as it prepares to send online layoff messages to several of its employees across the country.
According to a new report from The Wall Street JournalThe layoffs, part of a company shakeup, will begin Monday after employees were told to work from home so they could lay off their staff virtually.
“During the week of April 3, we will communicate key decisions related to staffing roles and levels throughout the organization,” McDonald’s officials said in a memo.
The company said it made the decision to announce cutbacks virtually due to an anticipated week of busy travel.
It’s unclear at this point how many employees will be laid off, however CEO Chris Kempczinski said in a January email there would be “difficult discussions and decisions ahead.”
McDonald’s has temporarily closed all of its US offices as they prepare to send online layoff messages to employees
It’s unclear at this point how many employees will be laid off, however CEO Chris Kempczinski said in a January email there would be “difficult discussions and decisions ahead.”
The new Wall Street Journal report said the Chicago-based chain told employees last week in an internal email on Wednesday.
While the message was primarily directed at US employees, some international corporate workers were also included.
In the memo, company executives also advised that upcoming in-person meetings with vendors and other external parties at headquarters would be cancelled.
The decision to have employees work remotely for part of the week is due to an anticipated week of busy travel, possibly related to the Easter holidays.
Workers without access to a computer were told to give their personal contact information to their manager.
“We want to ensure the comfort and confidentiality of our people during the notice period,” the company said.
McDonald’s employs approximately 200,000 people worldwide at corporate functions and in company-owned restaurants.
About 75 percent of employees are located outside of the US.
DailyMail.com contacted McDonald’s for comment on the layoffs, as well as an estimated number of anticipated job cuts, but did not hear back.
It’s unclear at this point how many employees will be laid off, however CEO Chris Kempczinski said in a January email there would be “difficult discussions and decisions ahead.”
McDonald’s employs approximately 200,000 people worldwide at corporate functions and in company-owned restaurants. Approximately 75 percent is located outside of the US.
In the memo, company executives also reported that upcoming in-person meetings with vendors and other external parties at headquarters will be cancelled.
Workers without access to a computer were asked to give their personal contact information to their manager.
In his January email, Kempczinski said corporate job cuts beginning in April would help business grow.
In a letter to staff, the CEO warned that the company had lost focus.
“We had 70 different, distinct versions of what a crispy chicken sandwich would look like all over the world,” he wrote.
‘I don’t need 70 different permutations of a chicken sandwich.’
The Chicago-based hamburger restaurant operates 40,000 restaurants in more than 160 countries with a total of two million employees at its franchised locations. About 13,000 of those places are in the United States.
The CEO also wrote in the letter: “Today, we are divided into silos with a hub, segments, and markets.”
The memo sent out in January was titled ‘Accelerating Arcs 2.0’.
In an interview, he said he didn’t have a set amount that he hoped the job cuts would save, but he was focused on moving the business forward.
“Some jobs that exist today will move or those jobs may disappear,” Kempczinski said.
This is not the first time the company has laid off corporate workers.
In 2018, McDonald’s cut management-level workers to make them “more dynamic, agile and competitive.”
“Some jobs that exist today will move or those jobs may disappear,” Kempczinski said in January.
In his January email, Kempczinski said corporate job cuts beginning in April would help business grow.
The Chicago-based burger joint operates 40,000 restaurants in more than 160 countries with a total of two million employees at its franchised locations.
In his letter to staff, Kempczinski noted that the crispy chicken sandwich, pictured to the right, has 70 unnecessary versions around the world.
Despite Kempczinksi’s insistence on cutting costs and boosting the fast-food giant’s profits, McDonald’s costs have recently begun to soften after being hit by record inflation rates.
The company was able to maintain profits largely thanks to low customers who turned to the chain for cheap, fast food.
“We’re gaining share right now among low-income consumers,” McDonald’s chief financial officer Ian Borden said in October.
Kempczinski said in January that the company has continued to do business with low-income customers, but they typically order fewer things or less expensive items.