A MP accused McDonald’s CEO of running the company as a “predator’s heaven” and a “hotbed of harassment”, while he was being grilled by a select committee of parliament.
Yesterday (7 January), the Business and Trade Committee held a second hearing in its Making Work Pay inquiry regarding the upcoming Employment Rights Bill.
The committee asked executives of companies such as McDonald’s and Tesco to explain how they prevent labour abuses like modern slavery and harassment within their national and global supply chains.
Liam Byrne, Labour MP and chair of the committee, asked Alistair Macrow, chief executive of McDonald’s UK if allegations found by the BBC investigation indicated that the restaurants were “a predator’s paradise” (or a hotbed for harassment).
A 17-year old employee claimed that a manager offered her a higher salary in exchange for sex. Another said she received pictures of topless women.
Macrow said that the allegations are “abhorrent”, and that the company has implemented a “widespread cultural action plan” that will allow it to detect, prevent and address any form of harassment within the business.
He said that 47 sexual harassment allegations were upheld and 29 people dismissed. Macrow, when asked repeatedly if franchises were closed due to allegations of harassment he said that six franchises had shut down for “not complying with our people practices”, without being specific.
Macrow denied there was a pattern or poor behavior driven by managers, many of whom were the subject of accusations. He added that “fair contracts don’t create systemic behavior or a problem with an imbalance of powers”. He claimed that zero-hours contracts allowed employees to have more flexibility and not be “vulnerable”.
More than 700 McDonald’s workers across the country have approached the law firm Leigh Day to bring legal action against the corporation. Around 450 McDonald’s branches have been implicated in harassment allegations.
Demands for stricter rules in the supply chain
Andrew Opie of the British Retail Consortium’s director for food and sustainability said that the government should do more to protect workers who are vulnerable, especially those from abroad, at the same meeting.
He wanted to know more about how the new Fair Work Agency will crackdown on human rights violations such as modern slavery and how they will do more to force businesses to publish statements on modern slavery.
Claire Lorains is the group director for quality, sustainability and technical issues at Tesco. She echoed the comments of the UK’s Prime Minister, stating that the UK can remain competitive by adopting “more progressive measures” by EU companies in this area.
Opie said that the government can be stricter with goods entering the UK, if there is suspicion that quality standards in the supply chain have not been met. He said that the government had more options to act.
A representative of the Chinese fast fashion retailer Shein refused to answer questions about its own supply chain.
Shein’s EMEA general counsel, Yinan Zhu refused to answer any questions about the company, its cotton sources, or whether forced labour is used in Xinjiang factories.
She told the committee repeatedly that she “could only answer questions that relate to our business”, and that she’d write the committee afterward.
Byrne was shocked by the lack response. “The refusal to answer basic questions bordered on disrespect,” he said.
“Harassment of any kind is unacceptable”
Claire Reindorp of the Young Women’s Trust responded to the allegations that McDonald’s is a place where women can experience systemic sexual harassment. She told Personnel Today, “For many women, it will be a natural choice to start their careers at a large chain of hospitality like McDonald’s.”
It is not acceptable for them to suffer harassment and bullying in an environment that gives them little or no power to speak out. This will affect them far into the future.
Everyone should be able to thrive in the workplace, without having to worry about their next shift or how they will get those crucial hours.
“More needs to be done to protect women, and to ensure that they are at least safe and have equal opportunities and dignity in whatever field they choose.
If we don’t do it, we will continue to perpetuate these shameful practices which rob young women of their confidence and leave them feeling devalued. They are also stuck in a dangerous and unfair environment.
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