McDonald’s announces wage increases, but only for some employees

Only workers at company-owned stores are getting boosts to an average ‘in excess of $10,’ which keeps those who work for franchisees at current pay levels—at least for now.

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In a Wednesday press release, the fast-food giant laid out its plans:

On July 1, 2015, starting wages at McDonald’s company-owned restaurants in the U.S. will be one dollar over the locally-mandated minimum wage. The wages of all employees up to restaurant manager will be adjusted accordingly based on tenure and job performance. By the end of 2016, McDonald’s projects that the average hourly wage rate for McDonald’s employees at company-owned restaurants will be in excess of $10.

The plan also includes paid time off and tuition assistance. The release offers this quote from McDonald’s CEO Steve Easterbrook:

We’ve listened to our employees and learned that—in addition to increased wages—paid personal leave and financial assistance for completing their education would make a real difference in their careers and lives.

Here’s the catch: McDonald’s plan applies only to company-owned locations, which is about 10 percent of its restaurants. So although 90,000 employees will get pay increases, the hundreds of thousands who work at franchised locations won’t get those raises.

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