Lumberjack
Come get some
McDonald's CEO Says Better Worker Benefits Boosting U.S. Sales
McDonald’s MCD -0.23% on Friday reported its third straight increase in quarterly comparable sales, helped by moves such as bringing back All-Day breakfast and offering new menu options.
But another move by McDonald’s is behind this reversal of fortune for the hamburger chain, which had posted two years of declines through last fall: higher wages and tuition help for employees.
“The improvements we made to our compensation and benefits package to employees in U.S.-company operated restaurants, along with expanding Archways to Opportunity … have resulted in lower crew turnover and higher customers satisfaction scores,” Easterbrook said.
He added: “Customers in the U.S. are noticing a difference.” Easterbrook said customer satisfaction scores have rise 6 percentage points in the last year.
His counterparts at Walmart WMT 0.37% have also said the raises (the lowest wage at Walmart is $10) at that retailer have helped lower turnover, and improved customer satisfaction by given workers more incentives. Walmart has also seen U.S. comparable sales rise for several quarters.
http://fortune.com/2016/04/22/mcdonalds-benefits-wages-workers/
Seems contrary to the cons claims that this would hurt employers. On the other hand, I did read yesterday that their 24/7 breakfast boosted sales, however, the CEO is stating the higher wages and benefits have helped the company, not hurt it.
What I like about this is that it was the company's choice and it was not forced by the government. The people spoke and in order to retain customers, McDonalds listened.
McDonald’s MCD -0.23% on Friday reported its third straight increase in quarterly comparable sales, helped by moves such as bringing back All-Day breakfast and offering new menu options.
But another move by McDonald’s is behind this reversal of fortune for the hamburger chain, which had posted two years of declines through last fall: higher wages and tuition help for employees.
“The improvements we made to our compensation and benefits package to employees in U.S.-company operated restaurants, along with expanding Archways to Opportunity … have resulted in lower crew turnover and higher customers satisfaction scores,” Easterbrook said.
He added: “Customers in the U.S. are noticing a difference.” Easterbrook said customer satisfaction scores have rise 6 percentage points in the last year.
His counterparts at Walmart WMT 0.37% have also said the raises (the lowest wage at Walmart is $10) at that retailer have helped lower turnover, and improved customer satisfaction by given workers more incentives. Walmart has also seen U.S. comparable sales rise for several quarters.
http://fortune.com/2016/04/22/mcdonalds-benefits-wages-workers/
Seems contrary to the cons claims that this would hurt employers. On the other hand, I did read yesterday that their 24/7 breakfast boosted sales, however, the CEO is stating the higher wages and benefits have helped the company, not hurt it.
What I like about this is that it was the company's choice and it was not forced by the government. The people spoke and in order to retain customers, McDonalds listened.