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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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To: 1malumprohibitum
This is how it all gets torn down. Many many more class actions like this are in the pipe.

If Biden wins, the next AG will make Holder and Lynch look like Barry Goldwater and William F. Buckley. Metaphorically, of course.

Suits to make gun manufacturers pay for shootings using a gun. Suits for companies not being climate change conscious or BLM subservient enough. Suits for not having enough foreign Chinese advisors on corporate boards. Suits against school systems that display American flags. So busy.

God forbid the Dems get in.

21 posted on 09/11/2020 7:22:25 PM PDT by frank ballenger (End vote fraud,harvesting,non-citizen voting & leftist media news censorship or we are finished.)
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To: SauronOfMordor
McDonalds probably had difficulty finding non blacks willing to run a place in a black neighborhood.

Sad but likely the case. These black entrepreneurs wanted to give back to "the community" by setting up shop there. Little did they understand what they were getting into. But these problems are CULTURAL, not about race. They exist because of the lies spread and dehumanizing Democrat policies.

22 posted on 09/11/2020 8:26:51 PM PDT by newzjunkey (Vote Giant Meteor in 2020)
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To: newzjunkey
These black entrepreneurs wanted to give back to "the community" by setting up shop there

IIRC Magic Johnson tried do something like that, but it didn't work out.

23 posted on 09/11/2020 8:33:15 PM PDT by dfwgator (Endut! Hoch Hech!)
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To: simpson96; Larry Lucido; Gamecock; PROCON; SaveFerris
Enterprising entrepreneurs find ways around franchise roadblocks.

"Look... me and the McDonald's people got this little misunderstanding. See, they're McDonald's... I'm McDowell's. They got the Golden Arches, mine is the Golden Arcs. They got the Big Mac, I got the Big Mick. We both got two all-beef patties, special sauce, lettuce, cheese, pickles and onions, but their buns have sesame seeds. My buns have no seeds."

24 posted on 09/11/2020 8:48:17 PM PDT by Rebelbase (Plugs/Jugs 2020....Joe/Ho 2020...)
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To: Rebelbase; dfwgator

You could at least tell them about the new salad bar!

You might remember him as “Joe the Policeman” from the “What’s Going Down?” episode of “That’s My Mama!”.

Such a great movie.


25 posted on 09/11/2020 10:36:02 PM PDT by SaveFerris (Luke 17:28 ... as it was in the days of Lot; they did eat, they drank, they bought, they sold ......)
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To: msrngtp2002

Since blacks tend to run businesses in black communities...I would think that higher security & maintenance costs are part of that location.

When the community is not working to make the community better & they don’t work to clean up the criminals, then the problem for ANY store owner is built in from the beginning.

Seems like cleaning up the criminals in any community is a constant game of TAG—You Are IT, the criminals rule.


26 posted on 09/12/2020 6:42:23 AM PDT by ridesthemiles
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