Thursday, March 29, 2007

KFC-employees cannot afford KFC

Both KFC and McDonalds are under fire after the labor officials in Guangdong discovered how little they pay their employees, writes the China Daily. The action comes shortly after premier Wen Jiabao told the NPC upholding the minimum wages would be high on his political agenda.
KFC and McDonalds employees get about 4.3 Rmb per hour (0.4 USD).

5 comments:

Anonymous said...

I think I'm missing the point here. When I look out of my window (Beijing), I already see hundreds of people who earn not even close to half of that.

China Herald said...

But they are not employed by foreign companies, ignoring the labor law and up for a punishment by the government. At least, I guess, not most of the people you see from their window.

Marc van der Chijs said...

From the China Daily article I am not so sure if these companies indeed break the labor law, Fons. It seems they found a loophole in which these laws are not applicable for part-time workers. I am sure all domestic competitors use the same 'trick' to save on labor cost.

I think it's a typical propaganda thing: make foreign companies look bad so Chinese customers won't use their products anymore. Most of their employees are probably happy to have a job at all, and they probably have a nicer job at KFC or McD than in a crowded factory doing the same thing day in day out.

By the way, the 4.3 yuan you mention is not their salary, but the minimum salary in Guangzhou. They earn just below 4 yuan.

China Herald said...

Thanks for the correction, Marc.
Of course it is propaganda, but as we have seen, sometimes it does not stop by putting ink on dead trees. Labor issue have become a real political priority and local officials might feel forced to act.

Unknown said...

I work at KFC Store # K295003 and i get 7.95 an hour. my starting wage was 7.15 . KFC does follow minimum wage requirements and laws. I think that this hate against fast food restaurants isn't going anywhere when you eat from them all the time. At any given day I serve 3000 - 4000 pieces of chicken to customers.