McDonald's CEO 'proud' of pay hike; protesters want more

McDonald's CEO Steve Easterbrook has said he was "incredibly proud" of a decision to bump pay for some workers, even after protesters called on the company to do more outside its annual shareholder meeting.
Steve-Easterbrook-CEO-of-fast-food-chain-McDonald-s-AP-Photo
Steve-Easterbrook-CEO-of-fast-food-chain-McDonald-s-AP-Photo
Updated on May 22, 2015 09:46 AM IST
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PTI | By, New York

McDonald's CEO Steve Easterbrook has said he was "incredibly proud" of a decision to bump pay for some workers, even after protesters called on the company to do more outside its annual shareholder meeting.

Easterbrook, who stepped into his role in March, is fighting to revive sluggish sales and convince people that McDonald's is a "modern, progressive burger company." But the push comes at a time when protests for pay of USD 15 an hour and a union have been spreading around the country.

Hundreds of protesters turned out in Oak Brook, Illinois on Wednesday and yesterday before the company's meeting.



Protesters outside McDonald's corporate office. (AFP Photo)

McDonald's had said in April that it would raise pay for workers at company-owned stores to at least USD 1 above the local minimum wage and let them earn paid time off. It will also offer up to USD 700 in college tuition help to eligible workers at all stores.

Labour organisers and workers have dismissed the move on pay in part because they say it leaves so many workers out in the cold. The vast majority of the more than 14,300 McDonald's restaurants in the US are owned by franchisees. McDonald's has stood by its position that it doesn't control pay decisions at franchised locations.

During the meeting, the company got support from at least one shareholder, who said that actress Sharon Stone and Amazon.com CEO Jeff Bezos were among those who have worked at McDonald's. If the chain paid USD 15, he said, those people would still be working at McDonald's.

Members of Corporate Accountability, a regular critic of McDonald's marketing practices, also repeated their request that the company retire Ronald McDonald and stop marketing to children.

But Easterbrook defended the company's use of the red-headed clown, who he noted recently got a new outfit that makes him feel "trendier."

"With regards to Ronald, Ronald's here to stay," Easterbrook said.

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