McDonald's to spend $50 mln per month to fulfill obligations to employees, partners

MOSCOW. March 11 (Interfax) - McDonald's is planning to temporarily stop serving at its establishments in Russia on March 14 and has assessed its expenditures on fulfilling obligations before employees and counterparties at up to $50 million per month.

"Unfortunately, McDonald's in Russia cannot at the moment guarantee uninterrupted work in its main areas or maintain its key product line at enterprises of the chain and the high quality standards that guests are used to," the press service for McDonald's in Russia said in a statement.

The McDonald's office in Russia is continuing to work as it has.

More than 62,000 people work within the McDonald's system in Russia, and suppliers employ around 100,000. All corporate workers and those at franchises will remain with the company and will continue to receive their full salaries based on their average monthly annual income, the press service said.

Employees will also keep all their social benefits and safety nets that the company provides.

McDonald's is planning to stand by suppliers that could experience difficulties in connection with McDonald's temporarily suspending operations in Russia. During the temporary restaurant closure, the company will fulfill all obligations to suppliers and lessors.

McDonald's will spend up to $50 million a month to ensure the fulfillment of all obligations to employees and suppliers.

McDonald's also said it is looking at options for using temporarily closed establishments to organize volunteer support centers, and it will continue to support the volunteer work of its employees. The company is also ready to encourage guests to take part in volunteering programs. They will be given loyalty points that can be spent on products after the chain reopens.

Ronald McDonald House Charities is continuing its activities.