McDonald’s Corporation has told the National Restaurant Association, the top industry lobbying group, that it won’t participate in any lobbying against the federal minimum wage.
“Going forward, McDonald’s Corporation will not use our resources, including its lobbyists or staff, to oppose minimum wage increases at the federal state or local levels,” said Genna Gent, McDonald’s vice president of government relations, in a letter Tuesday to the association, of which it is a member.
“Nor will we participate in advocacy efforts designed to expressly to defeat wage increases,” continued the letter, first obtained by Politico.
The corporation indicated that it would not cease all lobbying on the subject, however. “We do have perspective on elements of this discussion,” it said. “We believe that increases should be phased in and that all industries should be treated the same way.”
McDonald’s has been a long-standing member of the association, which has been at the forefront of efforts to oppose a higher minimum wage. The letter does not indicate that it was pulling its membership.
[Read more: Maryland legislature overrides Hogan veto, sets $15 minimum wage]
The National Restaurant Association declined to directly comment. In a statement to the Washington Examiner, Mollie O’Dell, vice president of communications, said the association “represent(s) every aspect of the industry. Our members are as diverse as the communities they serve, and the economies of every region are different.”
Proponents of a $15 federal rate called the McDonald’s letter a huge win. “This is a victory for thousands of workers who have stood up to massive corporations and organized for years,” tweeted Sen. Bernie Sanders, I-Vt.
A lobbyist for a separate trade association involved in the minimum wage issue who requested anonymity said the McDonald’s was a “bit player” in the debate.
“The federal minimum wage is not a problem for McDonald’s corporate,” the lobbyist said, pointing out that about 90 percent of McDonald’s restaurants are privately-owned businesses that merely rent out the corporate brand. “The letter is virtue signaling on their part,” the lobbyist said.
“It’s just trying to get good PR,” Ryan Young, senior fellow with the free-market Competitive Enterprise Institute, agreeing that the corporation has not been involved in fighting increases. “Other companies have weighed in on the debate, but McDonald’s has been quiet until now.”
In a statement earlier this month, the National Restaurant Association opposed the Raise the Wage Act, Democratic legislation that would put the federal rate at $15 an hour, more than double the current rate of $7.25. It argued the legislation would “stifle new job creation, impose undue harm to our nation’s small business owners, and harm those it proclaims to help.”
Democrats are pushing for a full House vote on the legislation, which passed the Education and Labor Committee in a party-line vote earlier this month.
It’s not clear to what extent the fast food franchising giant had been involved in lobbying on the issue previously. It has not publicly opposed the push for a $15 minimum wage.
In a 2014 statement on its website, it stated: “We believe that any minimum wage increase should be implemented over time so that the impact on owners of small and medium-sized businesses — like the ones who own and operate the majority of our restaurants — is manageable.” It added that the increase should also factor in considerations such as how an increase affects a company’s obligations under the Affordable Care Act.
According to the website glassdoor.com, which estimates average wages paid by businesses, McDonald’s franchise employees earn $8-9 an hour.
McDonald’s Corporation did not respond to multiple requests for comment.
[Read more: Unions step up push for $15 minimum wage in Congress]
