Tuesday, March 18, 2014

Some fast food outlets closing on military bases

http://www.armytimes.com/article/20140317/NEWS/303170027/Some-fast-food-outl
ets-closing-military-bases


"McDonald's independent owners operate about 30 restaurants on military
installations. "Whenever we reach the end of a term, whether on a military
site or otherwise, we consider many factors in deciding whether to
renegotiate a new term," McComb said."

"She said the owners of the three closing outlets are offering affected
employees transfers to other nearby McDonald's restaurants."

"Martin said new Labor Department rules issued last fall for fast food
workers on federal contracts under the Service Contract Act require an
increase in the minimum wage for such employees, varying by region. The
rules also require payment of new, additional "health and welfare" fringe
benefits at a rate of $3.81 per hour to those employees."

"Contractor-operated fast food concessions on military installations fall
under those regulations."

"The new rules "have to be part of any contract we negotiate," said Martin,
adding that many vendor partners "have verbally indicated hesitation" to
accept contract changes reflecting the revised wage rules."

"In addition, President Obama recently signed an executive order that will
increase the minimum wage for employees of companies with new federal
contracts beginning Jan. 1. At that time, the minimum wage for all federal
contract workers - not just those working for fast food concessions - will
increase to $10.10 from the current $7.25. It is not yet known how
far-reaching the effects will be for contracts on military installations."

"The wage hikes are good news for the many military spouses and veterans who
work for these contractors - but only if the concessionaires continue to
operate."

Well General Stanley McChrystal would no doubt be pleased. Servicemen don't
need to be eating at places like that anyway.

By Epictetus

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