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52 Black Former Franchisees Sue McDonald's Alleging Discrimination [NPR - byline: "America Reckons With Racial Injustice"]
NPR ^ | 9/1/2020 | Alina Selyukh

Posted on 09/11/2020 5:15:28 PM PDT by simpson96

A group of 52 Black former McDonald's franchisees is accusing the fast-food giant of discrimination, alleging they were "denied equal opportunity to economic success" compared to their white peers.

A federal lawsuit filed in Illinois alleges that the fast-food chain steered Black franchisees toward certain neighborhoods where sales are lower while costs are higher, leaving them with less money and yet higher scrutiny from corporate headquarters. The franchisees, who ran a total of more than 200 restaurants in the past decade, are seeking up to $1 billion in damages.

Location is key for a fast-food restaurant, and African-American franchisees have long spoken out about higher costs associated with security and insurance as well as upkeep of stores sold to them in poor condition. A report by Business Insider in December showed a ballooning gap between the average cash flow of Black franchisees versus others in the McDonald's system.

"McDonald's knew or should have known that these differential revenue and operating costs of Black-operated franchises as compared to White-operated franchises are not random or due to poor management," the lawsuit said. "These differences are statistically significant and are the result of the historical racial bias and barriers built into the McDonald's franchise system."

McDonald's rejected the allegations, saying they "fly in the face of everything we stand for as an organization."

"Not only do we categorically deny the allegations that these franchisees were unable to succeed because of any form of discrimination by McDonald's," the company said in Tuesday's statement, "we are confident that the facts will show how committed we are to the diversity and equal opportunity of the McDonald's System, including across our franchisees, suppliers and employees."

(Excerpt) Read more at npr.org ...


TOPICS: Chit/Chat
KEYWORDS: mcdonalds
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1 posted on 09/11/2020 5:15:28 PM PDT by simpson96
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To: simpson96

NPR can’t handle comments.


2 posted on 09/11/2020 5:21:38 PM PDT by E. Pluribus Unum (When exposing a crime is treated as committing a crime, you are being ruled by criminals. -E Snowden)
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To: simpson96

Isn’t this like buyer beware? Also why on earth would anyone buy any franchise in a place with higher insurance and security costs?


3 posted on 09/11/2020 5:21:57 PM PDT by msrngtp2002 (Just my opinion.)
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To: simpson96

McDonalds probably had difficulty finding non blacks willing to run a place in a black neighborhood.


4 posted on 09/11/2020 5:24:59 PM PDT by SauronOfMordor (A Leftist can't enjoy life unless they are controlling, hurting, or destroying others)
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To: E. Pluribus Unum
NPR had a couple of polls with comments seemingly open. I placed a comment that I could see. But when I signed out and went back to the same page there were no comments.

So the only reason I was seeing the comment is that it was being stored in a cookie that only I could see.

This is really worse than banning comments outright. It's the equivalent of "Fake News".

5 posted on 09/11/2020 5:26:45 PM PDT by who_would_fardels_bear
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To: who_would_fardels_bear

It’s called “shadow banning.”

Sleazy.


6 posted on 09/11/2020 5:28:23 PM PDT by E. Pluribus Unum (When exposing a crime is treated as committing a crime, you are being ruled by criminals. -E Snowden)
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To: who_would_fardels_bear

52 former and FAILED franchisee owners trying to “racism “.


7 posted on 09/11/2020 5:30:27 PM PDT by iamgalt
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To: simpson96

All of that advertising is toward blacks......................


8 posted on 09/11/2020 5:32:27 PM PDT by PeterPrinciple (Thinking Caps are no longer being issued but there must be a warehouse full of them somewhere.)
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To: simpson96

All you had to do was say “no” as to where they wanted you to go.


9 posted on 09/11/2020 5:32:55 PM PDT by mass55th ("Courage is being scared to death, but saddling up anyway." ~~ John Wayne)
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To: iamgalt
There's a guy on YouTube. His company specializes in matching people to the right franchise for them. However, if you listen to him long enough the best franchise is no franchise at all. Lots of work with little return unless you are one of the wealthy owners of a string of franchises.

I understand that there are some franchisees that own as many as half of all the franchises for a particular company in their state! Those are the guys making bank.

If these franchisees were only able to cough up enough collateral to get one franchise then they are in for tough sledding regardless of their location.

10 posted on 09/11/2020 5:34:19 PM PDT by who_would_fardels_bear
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To: simpson96

This is how it all gets torn down. Many many more class actions like this are in the pipe.


11 posted on 09/11/2020 5:35:22 PM PDT by 1malumprohibitum
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To: who_would_fardels_bear

A Subway franchise is an excellent way to buy yourself a minimum-wage job.


12 posted on 09/11/2020 5:44:19 PM PDT by E. Pluribus Unum (When exposing a crime is treated as committing a crime, you are being ruled by criminals. -E Snowden)
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To: simpson96

And, MacDonald could add, we allowed a black CEO to almost ruin the company to prove how woke and diverse we are.


13 posted on 09/11/2020 5:44:49 PM PDT by odawg
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To: simpson96

I stopped in a MacDonalds in Pine Bluff Arkansas maybe thirty years ago. If you know anything about the town you will understand this.

The MacDonalds was having a contest and the winner got a FREE TRIP TO THE “MOTHER COUNTRY” of Africa! Two weeks all expenses paid!
I realized real quick I was not invited, but till bought a burger.


14 posted on 09/11/2020 6:02:45 PM PDT by Ruy Dias de Bivar
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To: simpson96

The weird yet truthful fact is that low income black neighborhoods are not economically successful. Higher income white neighborhoods are much more economically successful. Therefore, it does not make sense for a person(white or black) to try to own just one McDonalds in a low income black neighborhood.


15 posted on 09/11/2020 6:10:56 PM PDT by Trumpet 1 (US Constitution is my guide.)
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To: SauronOfMordor

McDonalds probably had difficulty finding non blacks willing to run a place in a black neighborhood.


Running out of those chicken McNuggets can get you killed. Screw these black pigs. It’s not whitey’s fault blacks destroy the place where they live.


16 posted on 09/11/2020 6:18:07 PM PDT by redshawk ( I want my red balloon. ( https://youtu.be/V12H2mteniE))
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To: simpson96

Are they sure they were working for McDonald’s and not McDowell’s?

https://www.youtube.com/watch?v=w70RQLtdVeU


17 posted on 09/11/2020 6:23:05 PM PDT by Shark24
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To: simpson96
....and African-American franchisees have long spoken out about higher costs associated with security and insurance....

*****

Now maybe folks might understand why lower income neighborhoods receive higher interest rates and more rejections for loans.

Maybe lebrainless and the nba could come into these neighborhoods and try and lift them up....or maybe blm could help in some way.

18 posted on 09/11/2020 6:32:35 PM PDT by ealgeone
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To: simpson96

how is that black365.com working out for them?


19 posted on 09/11/2020 6:38:06 PM PDT by CrappieLuck
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To: simpson96

Whoa. Ronald McDonald hisself got that ‘fro goin’ on.
It be red but so was Redd Fox and we all were down wid him.
Chill.


20 posted on 09/11/2020 7:15:15 PM PDT by frank ballenger (End vote fraud,harvesting,non-citizen voting & leftist media news censorship or we are finished.)
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