Following the recent reports of sexual harassment and assault claims against McDonald’s, Irwin Mitchell’s Charlotte Rees-John highlights two important legal considerations that the hospitality sector needs to address: the third party harassment legislation and stringent people-focused obligations within franchise agreements.
The third party harassment legislation, which is expected to come into force in 2024, will require employers to undertake risk assessments to ensure that they have taken all reasonable steps to avoid workplace harassment. This will mean that e-learning and having a policy in place is unlikely to be sufficient, particularly in public-facing roles where work is carried out at night time and there is a likelihood that customers could be under the influence of alcohol.
Charlotte Rees-John, partner and head of Irwin Mitchell’ consumer sector group, stresses that the hospitality sector needs to be preparing now for what this new legislation will mean to them and their businesses. Retail is in a similar position, with statistics around abuse to those in customer-facing roles demonstrating an increasing challenge in a sector already in the grip of a recruitment crisis.
Moreover, the recent scandal highlights the importance of having strong people-focused obligations within franchise agreements to protect not only the brand’s reputation but also the employees that are employed within those businesses.
“McDonald’s has always been seen as the King of franchising and as such their current predicament should be seen as a severe warning to all those who operate franchising models and wish to protect their brand,” says Rees John.
Having a basic level of training in place should be the bare minimum, but e-learning alone is unlikely to be sufficient, according to Charlotte. Other steps such as a clear process for making complaints, auditing and employee forums should also be considered. Moreover, businesses need to empower staff to refuse to serve people who are rude to them or harass them and make sure that their managers support these decisions.
The reports of further sexual harassment and assault claims against McDonald’s in today’s media bring these important legal considerations to the forefront of the hospitality sector. Irwin Mitchell urges businesses to take proactive steps to address these issues to ensure a safe, respectful and inclusive workplace for all employees.
