The Equality and Human Rights Commission (EHRC) has written directly to every McDonald’s franchise in Britain to remind them of their legal duties and the consequences of failing to meet them.
The letters, which arrived with franchises on 14th March, set out what each restaurant must do to comply with the Equality Act 2010 and prevent discrimination, harassment and victimisation of their workers. The EHRC warns franchises that any failure to comply will leave them “at risk of enforcement action.”
McDonald’s Restaurants Limited (MRL), the name under which McDonald’s trades in Great Britain, signed a legally-binding agreement with the EHRC to prevent sexual harassment in the restaurants it operates in 2023. Individual franchises are not parties to the agreement. The letter sent yesterday explains that while franchises may be working alongside parent company MRL to address the issues and may already have taken some action, it is their own responsibility to fully comply with the law.
The equality regulator’s latest intervention comes after fresh allegations of harassment and discrimination in McDonald’s restaurants were revealed by the BBC in January. The company’s Chief Executive Officer Alistair Macrow subsequently referred to the allegations in oral evidence given to the House of Commons’ Business and Trade Committee.
John Kirkpatrick, Chief Executive of the Equality and Human Rights Commission, said:
“Every business in Britain, whether it’s small or large, must comply with the Equality Act. The owners of McDonald’s franchises are no exception and we’ve written to them directly to make their obligations clear.
“We know some business owners might be unsure of what action they need to take, and that’s why we’ve created clear and easy-to-follow guidance which explains how businesses can meet their legal duties. This is available on our website and we’ve shared it with all McDonald’s franchises so there is no excuse not to comply.
“We will not hesitate to take appropriate regulatory action if we believe a business is breaking equality law.
“Further to this intervention, we are actively working with McDonald's Restaurants Limited to strengthen our ongoing legal agreement with them in the light of the serious allegations raised from workers.”
What does the letter say?
The letter explains that under the Equality Act 2010, employers must ensure that workers are not subjected to unlawful discrimination or harassment on the basis of any of the nine protected characteristics set out in the Act. Employers will be liable for any acts of discrimination or harassment that their workers commit, unless the employer can show they took all reasonable steps to prevent those unlawful acts.
Since October 2024, the Equality Act 2010 includes a new duty on employers to take reasonable steps to avoid workers being subjected to sexual harassment (also known as the preventative duty). This duty includes preventing harassment not only from fellow workers, but also from third parties such as suppliers and customers. Employers are required to actively take reasonable steps to avoid harassment occurring and they should not wait until there is a complaint of sexual harassment before they act.
Reasonable steps to prevent sexual harassment could include regular risk assessments, ensuring younger or more vulnerable workers are properly safeguarded, and ensuring complaints are dealt with sensitively and effectively through an established procedure.
What happens if franchises don’t comply?
The equality regulator sets out the range of statutory enforcement powers open to them, including the ability to hold formal investigations where it suspects an unlawful act has taken place.
If reasonable steps are not taken by franchises to prevent sexual harassment, the EHRC can take enforcement action even if no sexual harassment has actually occurred.
