7 Fast-Food Chains to End ‘No Poach’ Deals That Lock Down Low-Wage Workers

Jul 12, 2018 · 19 comments
Kaleberg (Port Angeles, WA)
I have never been prouder to be a Democrat from Washington. Bob Ferguson, our Attorney General, came through for a class of low wage workers that were really getting the shaft from the corporations. So much for the idiotic notion that Dems don't care about the working class and that voting Democrat makes no difference. Let's see more of this. Vote blue in 2018, 2020, and beyond.
Ned Bell (Raliegh NC)
Another dirty secret exposed in an increasingly dirty business. Guaranteed frozen wages must be a nice perk when investing in a franchise. As usual, the workers least able to defend themselves are the most vulnerable to wholesale unfairness. If only their business practices were as wholesome as they purport their ingredients to be...
SR (Bronx, NY)
When the rich megacorps speak of the "free" (walled) "market" (cartel), point to this article and laugh in the liars' face. They only want a "market" that's "free" for them to corner, and "free" of regulation or reasonable worker rights and pay.
Robert (Sattahip,Thailand)
It took until 2018 for this to happen? I'm amazed at how horrible and unregulated working conditions are in Asia but still surprised this existed in the US. Glad I'm old, 90% of young Americans have little to look forward to.
daciefus (las vegas )
just the fact that they acknowledge there was such a clause should be grounds for a class action law suit.
randy sue (tucson)
Teachers also face somewhat of the same fate. If you leave one district to work in another district or, in another state they put you back to year 1 of experience or maybe a few years are granted. This also feels like a way to keep you in your place. Staes get away with this all the time.
Ben (Texas)
Doesn't these clauses go against the 14th amendment of the Constitution?
KaneSugar (Mdl Georgia )
A company should never, ever be allowed to prevent anyone from seeking employment elsewhere and where they choose. I can agree that an employer could contract specified period of service to pay back a 'substantial' investment in training...aka college courses, unique skills training, etc... or deny a person the right to divulge patented technology to another employer. But once agreed upon period is complete, they are free agents able to pursue other jobs, increased pay opportunities and benefits in the fields in which they have experience or otherwise.
Patrice Stark (Atlanta)
This should definitely not happen in states like Georgia which are by law “ Right To Work” states. Employees should be free to work where they please.
Aaron (Orange County, CA)
In 10 years- there will be nobody behind the counter of anything.
vin (irvine)
So lame to have non-compete for commodity work. I could see this if there was a long term education/training that was very specialized or costly but burger flipping is cheap to teach. I don't think this is legal in California or any right to work state. But glad this is being brought to the public, they can get rid of a stupid practice. Frankly, if a MCD worker can pickup hours at two franchisees at the same time to become practically full time, what's the harm?
Clyde (Pittsburgh)
The argument that these chains invest so much in training is laughable on its face. "Would you like fries with that?" No, Larry, we prefer it if you say, "Do you want fries with that." End of training.
DG (NJ)
I disagree with the author that "non-compete" clauses are somehow different from this more limited "no-poach" clause. The intent of these contract clauses is to erect barriers to employees leaving for preferable situations. The author should know that in many industries where non-competes are prevalent there is no way to negotiate them out, and not signing just isn't an option because of how prevalent they are. I hope this fast food industry case might motivate some Attorneys General to look at other industries' restrictive but commonplace non-competes and label them the illegal restraint of trade practices that they are (I'm talking to you NJ).
Justin (Michigan)
They're saying it's different because the "no-poach" isn't in your hiring papers/contracts but in contracts between franchises. So there isn't really a way to know it/see it when you get hired in. I don't see where the author says "non-compete" aren't barriers to changing jobs, or different in any other way than that.
SteveRR (CA)
The more difficult that it becomes to staff these franchises with minimum wage workers then the more that franchises will introduce automation, robotics and IT solutions and suddenly there will be no minimum wage jobs anywhere. How many self-serve kiosks fast food have you seen in the past couple of years? Why are so many dine-in franchises encouraging you to order on-line and paying you to order a pizza or whatever at home?
Keith (NC)
That's the trend through history: as technology becomes cheap enough to replace workers it does. It's not really a problem except that Democrats insist on flooding the country with low skill people that need a job. As far as allowing people to order online or even rewarding them for doing so, that is probably more about locking in sales than reducing labor, which is likely just a small added bonus.
Marie (Boston)
Democrats insist. Right wing talk radio talking point. It's never all those good upstanding Republican business owners, farmers, etc. looking for cheap labor creating a demand, seeking more visas to allow foreign workers. No, not them. It's the Democrats supply side. Democrats insist on fair and lawful treatment which of course is twisted to "open borders".
L'historien (Northern california)
"franchise owners say the clauses help protect their investments of time and money training employees.". Want to protect your investment? Raise their wages.
Keith (NC)
Exactly, if they payed them what they were worth no one would want to poach them because they could get someone else for the same or less money.