WSJ: McDonald’s to temporarily close offices ahead of layoffs

NEW YORK (AP) — McDonald’s has reportedly closed its U.S. offices for several days as it prepares to notify employees of the layoffs.

The Wall Street Journal, citing internal emails from the Chicago-based fast-food giant, said company staff in the United States and some employees overseas said the company was asking people to update them on their work situation. He said he should work from home while giving notice.

McDonald’s did not immediately respond to an emailed request for comment. McDonald’s said this week it will inform employees about staffing decisions that are part of a previously announced broader restructuring of the company, according to reports.

The U.S. labor market remains strong, but layoffs are rising, mostly in the tech sector, with many companies overhiring after the pandemic boom. IBM, Microsoft, Amazon, Salesforce, Facebook parent company Meta, Twitter and DoorDash have all announced layoffs in recent months.

Federal Reserve policymakers predict the unemployment rate could rise to 4.6% by the end of the year.

McDonald’s has over 150,000 corporate employees. About 70% of these employees are based outside the United States.

The company reports a nearly 11% increase in global sales and a nearly 6% increase in U.S. sales in 2022. The restaurant’s gross profit margin he increased by 5%. The company’s latest annual report cites the difficulty of properly staffing some stores.

In January, McDonald’s said its “Accelerate Arch” program would focus on “delivery, drive-thru, digital, and development.”

CEO Chris Kempczinski said in a January 6 letter to employees: He said the company was divided into silos and that its approach was “outdated and self-limiting”.