McDonald's Corp (NYSE:MCD) has continued to but heads with the operators of the majority of its restaurants, declining a request to delay changes to its franchise policy.
The owner of the 'golden arches' fast-food chain is insisting on updating standards and adjusting the way the company considers potential new outlet operators from 1 January next year.
A request by the National Franchisee Leadership Alliance (NFLA) to delay the changes until next June was refused, it told members.
There were more than 2,400 owners at the end of 2021, according to the company, with franchisees operating approximately 95% of McDonald’s locations.
The diner chain unveiled policy changes over the summer, which caused much tension between many operators and the company.
Maccy D's has also called for a fair assessment of possible new operators, instead of simply handing them down to spouses and children of franchisees.
The Chicago-based company intends to separate the way lease renewals, which are currently offered for 20 years, are split from assessments of whether owners can operate more restaurants.
NFLA wants further clarity and education from McDonald’s regarding its values, which the company said are: “Service, inclusion, integrity, community and family.”
The policy update is expected to show how these should be incorporated into the owner’s standards and operators, according to CNBC.
“We’ve put a lot of thought into how we continue to attract and retain the best owners/operators in the industry – individuals who represent the diverse communities we serve, bringing a develop and focus on operational excellence, while fostering a positive work environment for restaurant teams,” Joe Erlinger, US McDonald’s president, commented.