McDonald's temporarily shuts US offices, prepares layoff notices: report
According to the report, McDonald's Corp layoffs come as the company restructures
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McDonald's Corp is temporarily closing its U.S. offices this week as it prepares to inform corporate employees about layoffs undertaken by the fast food giant as part of a broader company restructuring, the Wall Street Journal reported.
McDonald's said in an internal email last week to U.S. employees and some international staff that they should work from home from Monday through Wednesday, so it can deliver staffing decisions virtually, the report said.
Signage outside a McDonald's Corp. fast food restaurant in Louisville, Kentucky, U.S., on Friday, Oct. 22, 2021. ( Luke Sharrett/Bloomberg via Getty Images / Getty Images)
"During the week of April 3, we will communicate key decisions related to roles and staffing levels across the organization," the company said in the message viewed by The Wall Street Journal.
"During the week of April 3, we will communicate key decisions related to roles and staffing levels across the organization,"
The burger corporation did not disclose how many employees it is planning to lay off during the company's restructuring.
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In January, CEO Chris Kempczinski warned employees that "difficult discussions and decisions" are on the horizon.
Kempczinski made the revelation in a message to global employees announcing the company's updated business strategy, Accelerating the Arches 2.0, which includes a reshuffling and possibly cutting positions as a way for the company to become more efficient and innovative and to trim costs.
Chris Kempczinski, here in 2017 at the McDonald's corporate restaurant at what was then the Oak Brook, Illinois, headquarters. (Nuccio DiNuzzo/Chicago Tribune/Tribune News Service via Getty Images / Getty Images)
McDonald's Crispy Chicken Sandwiches and fries are pictured in New York, U.S. March 30, 2021. Picture taken March 30, 2021. (Reuters/Hilary Russ / Reuters Photos)
"[W]e will evaluate roles and staffing levels in parts of the organization and there will be difficult discussions and decisions ahead," the CEO wrote, adding that the company plans to inform impacted workers by April 3.
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"Some jobs that are existing today are either going to get moved or those jobs may go away," Kempczinski told the Wall Street Journal in a January.
He told the outlet that he does not currently have a set dollar amount he aims to save or a number for how many positions might be cut.
The logo of the fast food company McDonald's is seen on top of a restaurant entrance with people sitting in an outside terrace. (Davide Bonaldo/SOPA Images/LightRocket via Getty Images / Getty Images)
As part of its updated plans, McDonald's will also accelerate the pace of its restaurant openings, and said it may test more new concepts aimed at convenience for customers like the Order Ahead Lane offered at a recently-opened Forth Worth, Texas, location.
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On Thursday, March 30, McDonald's shares closed on a record high.
David Zanoni, financial author and Seeking Alpha contributor said the fast-food chain’s $277.79 closing price on Thursday was a result of analyst upgrades of earnings per share over the last three months from $10.49 to $10.58 in 2023 and from $11.44 to $11.70 in 2024.
This photo shows the sign outside a McDonald's restaurant. (AP Photo/Gene J. Puskar, File / AP Newsroom)
The fast-food chain had just over 40,000 restaurants globally at the end of 2021, according to its most recent annual report, with more than 13,000 U.S. locations.
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McDonald's did not immediately respond to Fox News Digital's request for a comment.
Fox Business' Breck Dumas contributed to this report.