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McDonald's Ethical Standards: A Look into Allegations of Discrimination and Harassment, Exams of Mathematics

University of Eastern Philippines (UEP)Mathematics

This presentation discusses mcdonald's corporate history and recent ethical issues, including racial discrimination lawsuits and sexual harassment allegations against former ceo steve easterbrook. The document also covers mcdonald's code of ethics and obligations to customers, employees, and the community.

Typology: Exams

2020/2021

Uploaded on 10/11/2021

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PERFORMANCE TASK IN BUSINESS ETHICS AND SOCIAL RESPONSIBILITY
SLIDE 1:
Good morning everyone I am here to discuss McDonald’s and its implemented or violated ethical
standards. Let us start by discussing the company’s profile
SLIDE 2:
According to Wikipedia, McDonald's Corporation is an American fast food company, founded in 1940 as
a restaurant operated by Richard and Maurice McDonald, in San Bernardino, California, United States.
They rechristened their business as a hamburger stand, and later turned the company into a franchise,
with the Golden Arches logo being introduced in 1953 at a location in Phoenix, Arizona. In 1955, Ray
Kroc, a businessman, joined the company as a franchise agent and proceeded to purchase the chain
from the McDonald brothers. McDonald's had its previous headquarters in Oak Brook, Illinois, but
moved its global headquarters to Chicago in June 2018.
SLIDE 3:
McDonald's faces another lawsuit by workers claiming racial discrimination
For the fourth time in less than a year, former and current McDonald's employees have filed a complaint
accusing the fast food giant of racial discrimination.
The civil rights suit, filed last year in the U.S. District Court for the Central District of Illinois - Rock Island,
accuses managers at a local McDonald's of subjecting Black workers to racially derogatory terms and
disparate treatment that resulted in them receiving harsher discipline, and fewer hours, than their white
colleagues.
An earlier complaint filed in July 2020 by Black employees of a Lakeland, Florida McDonald's was
amended after two of the workers were fired – dismissals they said were retaliation for speaking up
about their abusive work environment.
The Illinois suit's allegations are "symptomatic of a pattern or practice of McDonald’s corporate
leadership’s failure to address pervasive racism and anti-Black sentiment throughout the organization,''
the complaint said, "from executives in the C-suite, to individual managers at restaurants throughout
the country.''
SLIDE 4:
McDonald’s takes on accusations of ‘sexual harassment problem’ with lawsuit against former CEO
McDonald’s filed its lawsuit against former CEO Steve Easterbrook first thing on Monday morning. Those
fishing around for the complaint, filed in Delaware state court, did not even have to look very hard:
McDonald’s included it as part of its filing with the SEC.
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Download McDonald's Ethical Standards: A Look into Allegations of Discrimination and Harassment and more Exams Mathematics in PDF only on Docsity!

PERFORMANCE TASK IN BUSINESS ETHICS AND SOCIAL RESPONSIBILITY

SLIDE 1:

Good morning everyone I am here to discuss McDonald’s and its implemented or violated ethical standards. Let us start by discussing the company’s profile SLIDE 2: According to Wikipedia, McDonald's Corporation is an American fast food company, founded in 1940 as a restaurant operated by Richard and Maurice McDonald, in San Bernardino, California, United States. They rechristened their business as a hamburger stand, and later turned the company into a franchise, with the Golden Arches logo being introduced in 1953 at a location in Phoenix, Arizona. In 1955, Ray Kroc, a businessman, joined the company as a franchise agent and proceeded to purchase the chain from the McDonald brothers. McDonald's had its previous headquarters in Oak Brook, Illinois, but moved its global headquarters to Chicago in June 2018. SLIDE 3: McDonald's faces another lawsuit by workers claiming racial discrimination For the fourth time in less than a year, former and current McDonald's employees have filed a complaint accusing the fast food giant of racial discrimination. The civil rights suit, filed last year in the U.S. District Court for the Central District of Illinois - Rock Island, accuses managers at a local McDonald's of subjecting Black workers to racially derogatory terms and disparate treatment that resulted in them receiving harsher discipline, and fewer hours, than their white colleagues. An earlier complaint filed in July 2020 by Black employees of a Lakeland, Florida McDonald's was amended after two of the workers were fired – dismissals they said were retaliation for speaking up about their abusive work environment. The Illinois suit's allegations are "symptomatic of a pattern or practice of McDonald’s corporate leadership’s failure to address pervasive racism and anti-Black sentiment throughout the organization,'' the complaint said, "from executives in the C-suite, to individual managers at restaurants throughout the country.'' SLIDE 4: McDonald’s takes on accusations of ‘sexual harassment problem’ with lawsuit against former CEO McDonald’s filed its lawsuit against former CEO Steve Easterbrook first thing on Monday morning. Those fishing around for the complaint, filed in Delaware state court, did not even have to look very hard: McDonald’s included it as part of its filing with the SEC.

The suit alleges that Easterbrook, who was fired for sexting with a subordinate, did far more than that. The complaint claims that “recently identified evidence shows that Easterbrook had physical sexual relationships with three McDonald’s employees in the year before his termination; that he approved an extraordinary stock grant, worth hundreds of thousands of dollars, for one of those employees in the midst of their sexual relationship; and that he was knowingly untruthful with McDonald’s investigators in 2019.” An article in The Nation from late July 2020, for example, cited a poll conducted by a coalition of U.S. labor unions, with three-quarters of respondents saying they had experienced sexual harassment on the job. Two-thirds said they had experienced multiple forms of harassment. Nearly 30% had been asked to have sex with a coworker, and 12% said they were sexually assaulted or raped. (McDonald's responded by saying the survey represented less than 0.1% of employees in its U.S. restaurants.) SLIDE 5 The code of ethics that McDonald's employees are expected to abide by is covered in the corporation's Standards of Business Conduct document. Each year, all employees must sign a document certifying that they've read the document and will follow its precepts. Employees also attend training related to the ethical standards. The document is 40-plus pages and covers six themes. Obligations to Customers McDonald's fosters an ethical obligation to provide clean, hygienic restaurants; child-friendly toys; and a safe atmosphere for all customers. This means that safety standards for food and toys should match or exceed government standards. The obligation includes ensuring that all advertising is honest and tasteful, and that confidential information is not shared. Obligations to Employees McDonald's standards booklet includes a section on providing a positive experience for its employees. For example, employees are encouraged to report misconduct without fear of retaliation. The work environment should be positive and fair, free of harassment and violence. Harassment can include sexual harassment, racial jokes and offensive comments. The corporation believes in diversity and treating all employees equally, according to the ethics code. Corporate System McDonald's believes that its corporations and employees have an ethical obligation to act in the best interest of McDonald's itself -- and not for personal gain. Owners and operators of McDonald's restaurants should act independently but with integrity, following all relevant laws ans safety guidelines. Suppliers should also be treated fairly. Ethical Guidelines

They appear to give poor working hours; therefore decreasing their employees health rates significantly, as well as underpaying them; leaving the company wealthy, but leaving their employees on a low-wage. Corporate Governance Corporate Governance defines the people and the procedure that occurs when a company has to make a major decision. The major decisions within McDonald's would be made by the owners, and the higher ranked positions within the business. A CNBC report was released about the fast-food joint, claiming that the results ‘were the worst worldwide month in the last 10 years, once trading-day adjustments are taken into account.’ These reports demonstrate that McDonald's Corporate Governance is indeed conflicted with McDonald's latest food catastrophe, and their actions are extremely unethical towards their customers, and they are now losing their customers because of this. In order to gain their customers back after these significant drops, they would need to change their supplier in order to have more substantial and healthy food, and they would need to insure that they have constant health checkups in order to ensure that this does not repeat. Environmental Ethics McDonald's has been accused of having a negative impact on the environment in more than one way; revolving around the fact that they have built hundreds of factories around the world to produce their products; therefore leading to pollution. McDonald's is distributed amongst 119 countries; therefore the amount of factories and work involved to make their products, will significantly impact the air and the environment around them. Legal and Regulatory Compliance The McDonalds food industry has been criticized throughout their business career in terms of the ingredients within their products. In Mid-July, 2014, there was a scandal in Hong Kong, involving the McDonald's industry, which resulted in Hong Kong having to remove their famous 'Chicken McNuggets' and 'Chicken McBurger's' from their food menu. This was done after a chinese food supplier was found to be taking poultry that had expired, then re-processing the meat and serving it up for customer consumption. SLIDE 7 In order to improve their services to their customers or employees, McDonald’s should Train their employees. Training is the key. Skimping on franchisee and employee training is ignoring the most difficult element in the formula for success. The argument many executives make for not investing in training programs, high attrition rates, is weak. Training their employees would provide positive customer service and training their attitude by making their patience longer. This would also avoid scandals like harassing employees, racial discrimination and others that could bring the company down.