Day 302 - 18 Nov 96 - Page 11


     
     1        The point about this chart is that, first of all, the
     2        minimum rates on this chart does not include the additional
     3        hire rates set by the local States, so the minimum rate
     4        that McDonald's is asking us to compare on this chart does
     5        not compare like with like and therefore we have to add, we
     6        don't know, 30 cents, 50 cents, whatever it is, to the
     7        federal minimum rate to get what the national minimum rate
     8        effectively is.  Bearing in mind, I think we heard evidence
     9        that the majority of McDonald's stores will be in certain
    10        States with a tradition of setting higher rates.
    11
    12   MR. JUSTICE BELL:  Did I have evidence of that?
    13
    14   MR. RAMPTON:   The only one your Lordship has I think is
    15        Philadelphia, where it was $3.70 which was a bit above the
    16        federal ----
    17
    18   MR. MORRIS:  I think it was a little bit like the situation with
    19        the Attorneys General, where the three biggest States took
    20        action on behalf of others, by default, and I got the
    21        impression, maybe just an impression, that the States that
    22        were the most...  What is the word...  populated, were
    23        likely to be the States -----
    24
    25   MR. JUSTICE BELL:  Well, I do not think that that might figure,
    26        but I do not really know, and I am just asking, apart from
    27        the matter Mr. Rampton has mentioned, I did not actually
    28        have figures for States, did I, around the country?
    29
    30   MR. MORRIS:   I can't remember now.  Maybe not.  Anyway, we know
    31        that there are additional -- this chart was put to
    32        somebody, and I cannot remember who now because I just have
    33        not had time to look through the bulk of the evidence in
    34        this issue, but anyway, that is the first thing about this
    35        chart.
    36
    37        The second thing about the chart is it talks about
    38        McDonald's average hourly rates for all crew, which will
    39        include of course people on higher rates, such as swing
    40        managers, lobby hostesses, maintenance staff.  So again,
    41        the McDonald's rates are inflated as regards crew people.
    42        In fact, if it is comparing minimum with minimum it should
    43        really put the starting rates, but it does not do that, for
    44        crew.  Also, of course, being an average hourly rate, and
    45        being such a low average hourly rate, obviously, some
    46        people would get above it and some people would get below
    47        it, it does not say how it is calculated.  But, in any
    48        event, it is clear that a large percentage, whatever it is,
    49        will be on the minimum, the legal minimum, or within a few
    50        cents of it, and I think we heard about Philadelphia, how
    51        there was some evidence, I cannot remember now, about how
    52        the rate was actually at the official minimum starting
    53        rate.
    54
    55        So that deals with that document, anyway.  But, in any
    56        event, Beavers agreed the company would not be allowed to
    57        pay less and that the vast majority of current workers were
    58        getting less than $4.35 per hour.  That is day 4, page 56,
    59        line 46.  He said, "I do not consider three to four dollars
    60        to be low pay, it is a fair wage for the worker that is

Prev Next Index