FRANCHISEES ROASTED:
Tim Hortons head office admonishes stores for ‘reckless’ cuts after wage hike
TORONTO — Tim Hortons franchisees who planned to offset the Ontario government’s minimum wage hike by cutting paid breaks and forcing workers to cover a bigger share of their benefits faced criticism from a new source Friday: their own head office.
After days of public and government outrage stemming from policies introduced by Ron Joyce Jr. and Jeri Horton-Joyce, the children of the company’s billionaire cofounders, at their two Coburg, Ont., locations, the coffee chain’s Canadian headquarters called the franchisees’ actions “reckless” and “completely unacceptable.”
A statement from Tim Hortons released on Friday said the cuts “do not reflect the values of our brand, the views of our company or the views of the overwhelming majority of our dedicated and hardworking Restaurant Owners” and that staff “should never be used to further an agenda or be treated as just an ‘expense.’”
The company didn’t elaborate on what it would do to help franchisees as they transition to paying workers at least $14, up from the previous minimum wage of $11.60 an hour. It will rise again to $15 in 2019.
However, it said, “While our Restaurant Owners, like all small business owners, have found this sudden transition challenging, we are committed to helping them work through these changes.”
It and parent company Restaurant Brands International Inc. requested a mandatory conference call with all store owners on Friday afternoon, according to Great White North Franchisee Association, a group created last year to give voice to the concerns of some Tim Hortons franchisees.
A spokesperson for the association said she was not aware of what was discussed on the call.
The call comes on the heels of Ontario Premier Kathleen Wynne lashing out on Thursday at the franchisees’ cuts.
Wynne called their actions “a clear act of bullying” and said if Joyce Jr. wants to challenge the Ontario government policy, he should come directly to her and not take it out on his workers.
Her sentiments were echoed by Ontario’s Economic Development Minister Brad Duguid on Friday, when he urged business owners to respect their low-income workers. “The decision on minimum wage has been made,” he said. “This premier will speak for those whose voices have often not been heard. She will proceed with our efforts to ensure that all workers benefit from our thriving economy. She will not be swayed by business owners, some of whom are very wealthy, to back away from her passion of caring for those who are less fortunate.”