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McDonald’s has temporarily closed all of its US offices as it prepares to deliver layoff letters online to an unknown number of its employees across the country.
According to a new report from The Wall Street JournalThe layoffs — part of the company’s restructuring — will begin Monday after they told employees to work from home so they could lay off workers virtually.
“During the week of April 3, we will inform key decisions regarding roles and staffing levels across the organization,” McDonald’s officials said in a note.
The company said it made the decision to announce the reductions around the clock due to the busy travel week ahead.
It’s currently unclear how many employees are slated to be laid off, however, CEO Chris Kempzynski said in a January email that there will be “difficult discussions and decisions going forward.”
McDonald’s has temporarily closed all of its US offices as it prepares to deliver employee layoff letters online
It’s currently unclear how many employees are set to be laid off, however, CEO Chris Kemptzynski said in a January email that there will be “difficult discussions and decisions ahead.”
The new report from The Wall Street Journal notes that the Chicago-based chain notified employees last week in an internal Monday-Wednesday email.
While the message was mostly directed at American employees, some international employees of the companies were also included.
In the memo, company executives also advised canceling upcoming in-person meetings with vendors and other third parties at headquarters.
The decision to have employees work remotely for part of the week is due to an anticipated busy travel week ahead, likely related to the Easter weekend.
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 employees during the notice period,” the company said.
McDonald’s employs approximately 200,000 people worldwide in corporate roles and company-owned restaurants.
About 75 percent of the employees are located outside the United States
DailyMail.com reached out to McDonald’s for comment on the layoffs as well as the estimated number of expected job cuts but has not received a response.
It’s currently unclear how many employees are set to be laid off, however, CEO Chris Kemptzynski said in a January email that there will be “difficult discussions and decisions ahead.”
McDonald’s employs approximately 200,000 people worldwide in corporate roles and company-owned restaurants. Almost 75 percent of them are located outside the United States
In the memo, company executives also advised canceling upcoming in-person meetings with vendors and other third parties at headquarters.
Workers without access to a computer were told to give their personal contact information to their manager
In a January email Kempzynski said job cuts at the company that will begin in April will help the business grow.
In a letter to employees, the CEO warned that the company was becoming unfocused.
“We had around the world 70 different and distinctive versions of the crispy chicken sandwich look,” he wrote.
“You don’t need 70 different variations for a chicken sandwich.”
The Chicago burger joint operates 40,000 restaurants in more than 160 countries with a total of two million employees at its franchise outlets. There are about 13,000 of these sites in the United States.
The CEO also wrote in the letter: “Today, we are divided into centric silos, sectors and markets.”
The memo sent in January was titled “Accelerating Arches 2.0”.
In an interview, he said he didn’t have an exact amount he hoped the job cuts would save but was focused on advancing the business.
“Some of the jobs that exist today are either transitioning or disappearing,” Kempzynski said.
This is not the first time the company has made layoffs among corporate workers.
In 2018, McDonald’s reduced workers at the management level to be “more dynamic, smart and competitive.”
“Some of the jobs that exist today either have to be transferred or those jobs could be gone,” Kempzinski said in January.
In a January email Kempzynski said job cuts at the company that will begin in April will help the business grow.
Burger Restaurant in Chicago operates 40,000 restaurants in more than 160 countries with a total of two million employees in franchise outlets.
In his letter to employees, Kempinski points out that the crispy chicken sandwich, pictured right, has 70 unneeded versions around the world.
Despite Kempzinksi’s insistence on cutting costs and increasing profits for the fast food giant, McDonald’s costs have recently begun to fall after being hit by record high inflation.
The company has been able to stay profitable mostly thanks to low-profile customers who have turned to the chain for cheap, quick meals.
“We’re gaining share now among lower-income consumers,” McDonald’s Chief Financial Officer Ian Borden said in October.
Kempzinski said in January that the company continued to see business among low-income customers, but they were asking for less or less expensive things.
McDonald’s is closing its US offices and canceling meetings as it prepares to lay off employees