McDonald’s is temporarily closing all of its 847 stores in Russia in response to its attack on Ukraine, CEO Chris Kempczinski said Tuesday, amid mounting pressure on Western companies to take action against the invasion.
Kempczinski said in an email to employees and franchisees that McDonald’s will continue to pay its 62,000 employees in Russia, and that it’s paying full salaries to employees in Ukraine after it temporarily shut down stores there.
Kempczinski said the ongoing fighting in Ukraine and the resulting humanitarian crisis have caused “unspeakable suffering to innocent people,” and condemned violence.
McDonald’s owns around 84% of stores in Russia, according to a recent filing.
Russia and Ukraine accounted for around 9% of McDonald’s revenue, according to the filing.
McDonald’s came under fire for continuing to operate in the country while a host of other Western companies have pulled out, with #BoycottMcDonalds trending on Twitter on Monday, with pressure growing on other Western companies—including Pepsi, Starbucks and Burger King—to take stronger action in Russia. New York State Comptroller Thomas DiNapoli, who manages the state’s pension fund, on Friday sent a letter to companies that had yet to take action in Russia, including McDonald’s and Pepsi, urging them to consider halting operations there, citing “significant and growing legal, compliance, operational, human rights and personnel, and reputational risks.” A growing number of companies ranging from fuel giant Shell to automaker Nissan to sportswear retailer Adidas have distanced themselves from Russia since the invasion began almost two weeks ago.
McDonald’s to temporarily close 850 stores in Russia (Associated Press)
McDonald’s, quiet on the Ukraine war, has more exposure to Russia than other U.S. fast-food chains (CNBC)
McDonald’s and Coca-Cola boycott calls grow over Russia (BBC)
original source: McDonald’s Shuts 800 Restaurants In Russia Over Ukraine Invasion