McDonald's To Post $80-$90m Charges For Restructuring, Layoffs
McDonald's Corp plans to take $80 million to $90 million in charges during the second quarter from a restructuring at its US operations that includes layoffs.
McDonald's revealed in a statement on its investor relations page that it would eliminate its regional structure and focus on field offices. It will streamline its field organisation and use resources for technology and field consulting.
The company did not disclose how many employees would be laid off.
The charges are primarily for severance costs, closing field offices, the company said, adding that its transition into the new structure would be completed in the third quarter of 2018.
"We are putting into place a new US field structure that will better support our franchisees and will ensure McDonald's continues on a path to being more dynamic, nimble and competitive," McDonald's spokeswoman Terri Hickey told Reuters last week.