Posted on 08/05/2014 10:05:15 AM PDT by SeekAndFind
The National Labor Relations Board (NLRB) made a very strange decision last week to rule that McDonald's MCD -0.23% the corporation, was a joint employer of the staff in the franchised restaurants. It was, of course, at the urging of those labour activists who would like to union organise in the sector.
Dealing with one national company is obviously going to be easier than dealing with thousands of independent business owners. There’s a number of problems with this decision ranging from the way that it overturns what has long thought to be settled law, to it obviating already signed contracts but perhaps the greatest problem is that it calls into question the entire validity of the franchise system.
The CEO of CKE Restaurants (Hardee’s and Carl Jr.’s) has a good piece in the WSJ which points to one very large problem in an economic sense with this decision:
"Imagine the upheaval in the fast-food industry if tens of thousands of restaurants accustomed to operating independently suddenly were forced to work hand in hand with franchisers on every employment-related decision.
Franchisers would have to review countless job applications at restaurants across the country, while consulting on compensation structures and bonus plans at individual restaurants. Franchisers would also have to monitor the franchisees’ workplace and ensure that employees were taking required rest breaks, being compensated for overtime and complying with both federal labor law and the labor laws of each state in which they do business. The companies would also need to administer or dictate employee training, and increase restaurant staffing levels as they, rather than their franchisees, deemed necessary."
And, since franchisers are compensated based on top-line sales, not franchisees’ profitability, they would have little economic incentive to control labor costs. That would hamstring franchisees, endangering their businesses.
(Excerpt) Read more at forbes.com ...
Funny, I thought his name was Robert Mugabe..................
Unionizing has been determined to be one of the best tools used to undermine capitalism.
However, Marx's static model can not be maintained, whether or not ruthlessness is employed. At some point it falls apart. Especially when the people figure out the truth.
Exactly right; unless you're Konnected, Big G doesn't want to let you play.
Good catch. I’d forgotten that Mugabe was once a professor too. He also holds degrees from University of Fort Hare, University of South Africa, and the University of London.
From the progressive point of view, killing off the franchise system is a feature, not a bug.
......and he’s still alive and in power.
Now, if they can just solve that little problem......................
It’s amazing how many come out of academia. Mao, for one. Ho Chi Minh trained to be a teacher. Mussolini.
This has huge implications for the franchise arrangements.
Does a franchise holder really own his own business, or simply manage an outlet of McDonald’s or whatever other company they are affiliated with?
Or do the franchisee and McDonald’s corporate own each outlet 50/50?
This ruling brings up all sorts of questions. Aside from the specific narrow issue of who these employees are actually employed by.
We see from General Motors how FedGov respects contracts and established case law.
Good post, Magellan...
So who has a good source where the crumbling of Marxism is easily explained to the uneducated and illiterate who think they deserve what others have. Coveting hasn’t been resolved, has it. Come to think of it, I wonder if all the presuppositions of Marxism are based on the opposite of the 10 Commandments.
I knew a guy who used to do that. Gave it up after a while.
The “franchise” model is a way for a company to spread risk (or a church for that matter) but retain control.
Those issues existed before this ruling.
If an owner runs afoul of the franchising group, they can take that franchise away from him (the Clippers anyone?). To me, that means the franchising group “owns” the business.
I have seen shops defranchise, but that is rather hard to do.
That’s a dumb comment. You need to be a little more considerate with the “Latino base” on this blog, like me. I hate McDonalds.
I think I also need to remind you that our dear American leader is the one who positioned Narco national leaders in Central America, which is the reason the poor are desperate and coming here with hope for anything better.
Our rabid consumption of drugs is what has fueled the cartel’s power, and what enables them to take advantage of disenfranchised poor kids and turn them into gangsters.
In all honesty we are all victims of a criminal treasonous government. Mexican citizens have died in the thousands, even the most educated have had to leave their country. They should be madder at us, than we are of them. Obama installed the Central American Narco Nations.
The 2009 “coup d’état in Honduras was carried out with the acquiescence of the U.S. government at the time. In fact, the Millennium Challenge Corp., an independent U.S. foreign-aid agency chaired by the Secretary of State — Hillary Clinton at the time — continued to provide funding to the coup regime in the immediate aftermath of the putsch, even as the U.S. State Department indicated publicly that it had suspended assistance programs in Honduras.”
http://narcosphere.narconews.com/notebook/bill-conroy/2014/07/us-military-more-counter-narcotics-funding-will-help-stem-exodus-childr
2010 WikiLeaks, Obama meddling in Honduras Politics
Obama supported A known Narco Candidate in Honduras. Released cables make it clear that the U.S. knew Manuel Zelaya was a threat to democracy in Honduras.
http://online.wsj.com/news/articles/SB10001424052748703395204576023843828913256?mg=reno64-wsj&url=http%3A%2F%2Fonline.wsj.com%2Farticle%2FSB10001424052748703395204576023843828913256.html&fpid=2,7,121,122,201,401,641,1009
2009 - Mexican Cartels are Recruiting Children. In is inhumane to consider that even criminals could take advantage of children because of their poverty and lack of Education, to groom them as drug mules an even assassins.
http://www.washingtonpost.com/wp-dyn/content/article/2009/11/02/AR2009110203492.html
“Mexican drug cartels increasingly recruit the young”
Honduras 2012: With Mexican criminal groups like the Zetas and the Sinaloa Cartel both believed to be active in the country, Honduras has become one of the principal drug transit routes in the region. Some estimate that as much as 87 percent of cocaine moving north to the US passes through Honduras.
June 4, 2014: Honduras is a Narco Nation
http://www.elheraldo.hn/pais/715861-214/honduras-ha-sido-invadido-por-el-narcotráfico
Colombian Cartel Members Caught in Honduras, Sent back to Colombia
http://www.wbir.com/video/1742445529001/43961430001/Colombian-Cartel-Kingpin-Captured-in-Honduras
2011 Al-Qaeda reported in Honduras
http://www.gatestoneinstitute.org/2145/al-qaeda-honduras
US. Government Warns Honduras of Possible Al-Qaeda Infiltration
http://www.hispanicallyspeakingnews.com/latino-daily-news/details/us.-government-warns-honduras-of-possible-al-qaeda-infiltration/7906/
Obama Revealed in Guatemala Policy
http://www.frontpagemag.com/2014/dr-armando-de-la-torre-and-steve-hecht/obama-revealed-in-guatemala-policy/
March 2014 Globalists and Gangs Back Marxist Mass-murderer in El Salvador
As The New American magazine has documented extensively, the region (Central America) is already dominated by a closely knit network of foreign-backed socialist tyrants.
http://www.thenewamerican.com/world-news/item/17799-globalists-and-gangs-back-marxist-mass-murderer-in-el-salvador
Chavez used Venezuelan Military to turn Venezuela into the Biggest drug Distributor in the World 2013
How Venezuela’s Military Tried to Fly A Ton of Cocaine to France
http://www.insightcrime.org/news-analysis/details-revealed-about-venezuela-militarys-massive-drug-smuggle
State Department Reports Hezbollah Increasing Drug and Terrorism in South America 2013
http://interamericansecuritywatch.com/exporting-terror-in-americas-backyard/
“There has indeed been a “marked resurgence” of Iranian state sponsorship of terrorism over the past 18 months. But as the new Nisman report drives hom, here’s an even more disturbing fact — Iran has run intelligence networks in the United States’ backyard to “sponsor, foster and execute terrorist attacks” for decades.”
“Criminal plans” by Iran could be under way in Brazil, Colombia, Chile, Paraguay, Uruguay Suriname and Trinidad and Tobago, the report said.
http://www.cnn.com/2013/06/03/world/americas/iran-latin-america/
Mexican Cartels Buying Afghan Heroin
http://www.banderasnews.com/1101/nr-afghanheroin.htm
In 2011, DEA was laundering drug money from Mexican cartels, “Agency officials declined to publicly discuss details of their work, citing concerns about compromising their investigations.”
http://www.nytimes.com/2011/12/04/world/americas/us-drug-agents-launder-profits-of-mexican-cartels.html?_r=3&pagewanted=1&partner=rss&emc=rss&;
2014 -Mexican Journalist Faces Death for Claiming War On Drugs is a Farce and Governments Are Complicit.
http://www.globalpost.com/dispatch/news/regions/americas/mexico/140716/mexican-journalist-anabel-hernandez-drug-cartels-presidents
Rockefeller is Outed as a Soros Ally in the Drug Legalization Scheme in Latin America (Uruguay)
Illuminati Billionaires Love Marxists & Marijuana
Http://henrymakow.com/2013/09/Illuminati-Billionaires-Love-Marxists-Marijuana.html#sthash.UZwooUp2.dpuf
Soros spent at least $80 MILLION USD for drug legalization in US and Uruguay
http://www.dailymail.co.uk/news/article-2596471/George-Soros-spent-80million-pot-legalized-US-Uruguay.html
Obama’s America:
2010: The US illicit drug market alone, was estimated to be at least $109 BILLION USD
http://www.businessweek.com/articles/2014-03-10/more-pot-less-cocaine-sizing-up-americas-illicit-drug-market
Real Illicit Drug Money for Cartels Should be Much Higher Since Wachovia admitted to Laundering $378 BILLION for Mexican Cartels from 2004-2007.
http://www.bloomberg.com/news/2010-06-29/banks-financing-mexico-s-drug-cartels-admitted-in-wells-fargo-s-u-s-deal.html
2011- Study Shows Legalization Won’t Inhibit Drug Cartels
http://www.nbcnews.com/id/39637888/ns/world_news-americas/#.U96TGcu9KSM
2011 Obama DOJ Gave Cartel Enough Guns to Arm a Marine Regiment
http://townhall.com/columnists/katiepavlich/2011/07/26/obama_doj_gave_cartel_enough_guns_to_arm_a_marine_regiment/page/full
2011: SEC Ignores Rampant Money Laundering
http://www.theguardian.com/world/2011/apr/03/us-bank-mexico-drug-gangs
“How a big US bank laundered billions from Mexico’s murderous drug gangs.”
You nailed it.
One shouldn't wonder about that. Its fairly obvious that the case holds true...
the infowarrior
the answer being robots
One of our worst presidents (until ObaMao came along) was also an academic (Wilson).
Two of our best either attended no-name colleges (Reagan) or didn't even attend at all (Cleveland).
bump
I could already see a one man burger place, drive-thru only.
Burger Shack!
Break out the old Fotomat booths!
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