McDonald’s Corporation MCD is closing its offices temporarily in the U.S. as the burger chain prepares for corporate layoffs.
What Happened: The Golden Arches operator asked U.S. employees and some global staff to work from home between Monday and Wednesday in an email last week, reported The Wall Street Journal.
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“During the week of April 3, we will communicate key decisions related to roles and staffing levels across the organization,” the company reportedly said in the emailed communication.
McDonald’s said the week of April 3 would be busy for personal travel and that’s why it decided to deliver the news remotely to workers, according to the Journal.
“We want to ensure the comfort and confidentiality of our people during the notification period,” according to the email seen by the Journal.
McDonald’s did not immediately respond to Benzinga’s request for comment on the development.
Why It Matters: In January, McDonald’s CEO Chris Kempczinski warned of possible layoffs in a memo to employees, which he said would arrive in Spring.
“We will look to our strategy and values to guide how we reach those decisions and support every impacted company member,” said Kempczinski at the time.
McDonald’s employs almost 200,000 people in corporate roles and its owned restaurants, according to a prior report.
Kempczinski hinted at expansion plans in Europe, the U.S., and parts of Asia at the time.
Price Action: On Friday, McDonald’s shares closed 0.6% higher, at $279.56 in the regular session, according to Benzinga Pro data.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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