McDonald's to Allow More Unions in Chinese Stores
A year after Wal-Mart unionized all its stores in China under pressure from the government, McDonald's is cooperating with China's large state-controlled union to allow more unions in its 670 outlets here.
A McDonald's spokesman said today that the company is now working with union officials to help establish a union at its stores in southern Guangdong Province, one of the countries wealthiest regions.
The announcement comes nearly two weeks after a state-controlled newspaper in Guangdong reported that some McDonald's, KFC and Pizza Hut restaurants in Guangdong were violating the law by paying employees less than the minimum wage and denying some workers full-time benefits.
Officials at McDonald's and Yum Brands, which operates nearly 2,000 KFC and Pizza Hut outlets in China, each denied that their stores violated the law.
But Guangdong labor authorities quickly announced an investigation into the matter, and the country's largest state-run union, the All China Federation of Trade Unions, criticized McDonald's and Yum for 'underpaying' their workers.
One trade union official said today that McDonald's had recently begun making efforts to work with union organizers and had even circulated information within some of its Chinese stores about unions.
A McDonald's spokesman said today the fast-food outlet already has unions in some of its Chinese stores and that even before the pay allegations arose, the company had been cooperating with the All China Federation of Trade Unions in Guangzhou, the capital of Guangdong Province.
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Source - New York Times
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