McDonald’s, the world’s largest fast-food chain, has announced that it will be shutting down its U.S. offices before laying off employees. The move comes as the company struggles to cope with the economic fallout of the COVID-19 pandemic.
The company has been hit hard by the pandemic, with many of its restaurants forced to close or operate at reduced capacity. This has led to a significant drop in revenue, and the company has been forced to take drastic measures to cut costs.
In a statement, McDonald’s said that it would be closing its offices in Chicago, where it employs around 2,000 people, and moving its headquarters to a smaller location in the city. The company said that the move was necessary to “streamline operations and reduce costs.”
The layoffs are expected to affect around 800 employees, with the majority of the cuts coming from the company’s corporate offices. McDonald’s has said that it will be offering severance packages and other support to affected employees.
The move has been met with criticism from some quarters, with many accusing the company of putting profits before people. However, McDonald’s has defended its decision, saying that it is necessary to ensure the long-term viability of the company.
“We understand that this is a difficult time for our employees, and we are committed to supporting them through this transition,” the company said in a statement. “However, we believe that these changes are necessary to ensure that we can continue to provide our customers with the high-quality food and service that they expect from us.”
The closure of McDonald’s U.S. offices is just the latest in a series of cost-cutting measures taken by the company in response to the pandemic. In April, the company announced that it would be suspending its share buyback program and reducing capital expenditures in order to conserve cash.
Despite the challenges posed by the pandemic, McDonald’s remains one of the world’s most successful fast-food chains, with over 38,000 restaurants in more than 100 countries. The company has said that it is committed to continuing to provide its customers with the high-quality food and service that they have come to expect, even in these difficult times.