McDonald's scales back its Irish head-office team
A NUMBER of roles at McDonald's Ireland corporate headquarters have been cut as part of a global cost-reduction, the Irish Independent has learned.
The 'Sunday Independent' reported at the weekend that McDonald's is scaling back its head-office operations in Ireland, with the business set to be managed from the UK.
The managing director of the Irish business, Adrian Crean, is to leave the business this month and sources have said he will not be replaced.
Other staff at the head office in Clonskeagh, Dublin, were notified of the risk of redundancy in March of this year, according to a source close to the matter.
Through a series of redundancy consultation emails and meetings following the initial announcement, a number of employees were informed that their positions were "being removed from the structure".
In an email sent on Friday, June 9, staff were told that McDonald's Ireland MD Adrian Crean would be stepping down from the role on July 31 after a period of "gardening leave".
The source told the Irish Independent that the original team in the head office of around 40 - "most of whom had worked with McDonalds for 15-30 years" - was being reduced to just six.
The senior staff were told that the changes to the Irish structure were originally put in motion in 2015 by CEO Steve Easterbrook, who had just taken over from Don Thompson.
"He identified a plan to achieve returns (to ensure continued investor support)... and alongside it a reduction in the cost of running the McDonald's global business.
"A large part of these running costs is made up of salary costs.
"This means that we are identifying a number of roles which will be at risk of redundancy."
The source said staff were offered alternative vacancies "in the restaurants in Ireland" or 'outplacements', meaning jobs based in the UK.
The affected employees are understood to be bound by confidentiality agreements that they are disinclined to break "or they will not receive their redundancy pay".
McDonald's opened its first Irish store in Grafton Street in May 1977 and operates in 92 stores nationwide.
McDonald's Ireland said it was committed to its customers, franchisees and the 5,000 people who work in the restaurants across the country.
"For over a decade, the Irish business has been part of the UK and Ireland business unit and we have recently made some operational changes to reflect that structure," said a spokesperson.
"In a planned restructuring, operations at the Dublin office are being scaled back.
"We are currently in a consultation process with our employees and are not able to give specific details while the new corporate structure is being finalised.
"However, McDonald's staff and franchisees are already aware that Adrian Crean will be stepping down as McDonald's' Restaurants of Ireland managing director at the end of July."