Day 143 - 27 Jun 95 - Page 58


     
     1        instruct the franchisees that they have to make them wear
     2        uniforms specified by the Corporation.
     3
     4   MR. JUSTICE BELL:  Yes.  I do not understand Mr. Stein has tried
     5        to make out they do not specify any personnel matters, if
     6        what you mean by that is anything which has to do with the
     7        performance and appearance of personnel.  In fact, crew
     8        uniforms in many cases are a large part of the
     9        brand/franchisee system.
    10
    11   MS. STEEL:   Well, the point is that the Corporation actually
    12        specifies that franchisees have to make all employees wear
    13        the uniform while they are working.
    14
    15   MR. JUSTICE BELL:  Of course they do; that is all part of the
    16        McDonald's system and brand.  I think when you have the
    17        kind of answer you were thinking about before, we were in a
    18        rather different field to that.
    19
    20   MS. STEEL:   Maybe I am wrong, but I am under the impression
    21        that Mr. Stein has repeatedly tried to assert that they
    22        cannot control what the franchise do with respect to
    23        personnel.  It is entirely up to the franchisees; they just
    24        make suggestions and, you know, they hope they will follow
    25        them but if they do not ----
    26
    27   MR. JUSTICE BELL:  It may be that that has been the force of his
    28        evidence in certain respects, but remember this is a
    29        brand/franchisee system.  I do not suppose for a moment
    30        Mr. Stein was thinking about McDonald's uniforms when you
    31        asked him that question.  We were considering rates of pay
    32        and things of that kind.
    33
    34   MS. STEEL:   Well, it is a personnel matter though, is it not?
    35
    36   MR. JUSTICE BELL:  It is one of the reasons I have asked you or
    37        Mr. Morris it was to put questions in a specific area
    38        rather than generalities.  Anyway, go on to something else.
    39
    40   MS. STEEL:   I do not know.  I would say that image is part of
    41        service.
    42
    43   MR. JUSTICE BELL:  Ask another question.  If you think that
    44        really is a good point put it to me at the end of the day
    45        if you think it destroys Mr. Stein's credibility.
    46
    47   MS. STEEL:   I do not think it is that on its own, but together
    48        with all the other things the Company is specifying.
    49
    50   MR. JUSTICE BELL:  Put it with the other things but not at the 
    51        moment. 
    52 
    53   MS. STEEL:   Mr. Stein, if you could get pink volume XI and turn
    54        to tab 6, and then turn to page 322.  Under "McDonald's and
    55        Working Students" it says: "With more than 8,700
    56        restaurants nationwide McDonald's is one of the country's
    57        largest employers of young people."   That is company-owned
    58        and franchised restaurants, is it not?
    59        A.  That is correct.
    60

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