McDonald’s has closed the doors to its U.S. corporate offices as it gears up to lay off a significant portion of its executive staff.
While the news of the closures broke on Monday, employees have been prepped since at least last week. An internal memo advised headquarters employees to work from home Monday through Wednesday. McDonald’s wanted to inform those being terminated virtually instead of in person to maintain confidentiality.
“During the week of April 3, we will communicate key decisions related to roles and staffing levels across the organization,” read the email that was shared with The Wall Street Journal.
The terminations are part of the company’s restructuring, which employees were first aware of in January. At the top of the year, the fast food chain’s CEO Chris Kempczinski warned that “difficult discussions and decisions” would soon come, confirming to WSJ that several jobs “may go away.” The move will serve as a way to cut costs and look towards a more innovative future. Its global sales jumped nearly 11% last year, while its U.S. sales saw a 6% boost. Hence, it would seem that reducing its personnel wouldn’t be necessary in its current stable position.
As of now, McDonald’s has yet to disclose how many employees would be let go. It is also unclear if these job cuts could trickle down to the restaurant locations soon, especially with the rise of delivery and mobile pick-up orders.
The home of the Whopper is not the only fast-food company slashing its workforce. Last month, Burger King announced it would lay off 424 members and employees and close 26 restaurants through April, mainly throughout the Detroit area.
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