McDonald’s S'pore not retrenching

McDonald's in US retrenching.

Belmont Lay | April 05, 2023, 06:04 PM

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McDonald's in Singapore is not retrenching, the fast food giant confirmed, according to The Straits Times.

It was reported that McDonald’s in the United States is laying off corporate workers.

A spokesman for McDonald’s Singapore told ST that there is no direct impact on operations here as the restaurants here are directly owned and operated by a local company, Hanbaobao: “The events in the US do not impact our local market.”

McDonald’s Singapore is under the direct licensee model led by Hanbaobao, which looks after the employment of its 10,000-staff workforce.

There are more than 140 McDonald’s restaurants in Singapore, with new ones opening recently, such as at Sengkang Grand Mall and Choa Chu Kang Park.

It is not known how many corporate employees are there in Singapore.

McDonald’s temporarily closed its U.S. offices till April 5 in preparation of layoffs among its corporate staff.

U.S. employees and international staff will be informed virtually if they have been axed.

McDonald's structure of ownership in Singapore

Singapore franchise-holder Hanbaobao is wholly owned by holding company Lion Arches.

Lion Arches is held by Lionhorn, a Saudi-led firm.

Lionhorn bought the franchise rights for McDonald’s restaurants in Singapore and Malaysia in 2016.

The deal consisted of McDonald’s transferring its ownership stake in 390 restaurants in Singapore and Malaysia to Lionhorn.

Top photo via Google Maps