McDonalds could find itself in hot water in Brazil, where unions have filed another lawsuit over working conditions. – Reuters pic, March 18, 2015.
Brazilian unions today filed another suit against the largest operator of McDonald’s restaurants in Latin America, alleging that the firm violates the country’s labour laws.
The suit against Arcos Dourados Comércio de Alimentos Ltda, the Brazilian division of Buenos Aires-based Arcos Dorados Holdings Inc, came just days after McDonald’s Corp workers from 19 US cities filed state and federal complaints over working conditions.
It also followed a similar filing made by Brazilian unions in late February.
Wednesday’s suit aims to “guarantee health and safety in the workplace”, according to a joint statement from the unions, which are backed by CUT and UTG, two of Brazil’s largest labour federations.
The unions demand that Arcos Dourados establish specific job functions for each employee and hire more workers under that model while paying compensation for any moral and punitive damages caused to current and former employees.
The lawsuit also demands that Arcos Dourados deliver a working plan to Brazil’s labor ministry within 90 days or face a daily fine of 100,000 reais (RM111,000).
Fines for violations of Brazilian labour law can vary between 1% and 30% of a company’s annual sales.
Arcos Dorados’ Brazilian division had 833 restaurants and total revenue of $460.9 million for the third quarter that ended September 30.
A separate suit filed by Brazilian unions on February 24 accused Arcos Dourados of unwholesome and unsanitary working conditions, time-clock fraud and failing to pay mandatory unemployment and retirement insurance. – Reuters, March 18, 2015.
Credit: http://www.themalaysianinsider.com/world/article/brazilian-unions-file-lawsuit-against-mcdonalds
