McDonald’s starts hiring young and old as the ‘demographic cliff’ arrives

Consumer demand

SHARE THIS STORY

McDonald'sIts really not that difficult to work out that much of the world faces a ‘demographic cliff’.

But very few companies seem to want to act on the implications.

So hats off to McDonald’s Europe for highlighting what needs to be done.

Their chief people officer, David Fairhurst, told the Financial Times this week:

The workforce is shrinking at both ends of the spectrum. There aren’t enough young people coming into the labour market and too many older people are leaving it.”  And he added that this growing shortage of workers “will become a serious barrier to economic growth in future”.

McDonald’s employ 425k people in 38 European countries, and so it has decided to develop its own plans to survive this demographic cliff.  As Fairhurst notes:

  • Three-quarters of McDonald’s staff are under 30, but it has stepped up recruitment of older workers, in some cases placing grandparents alongside grandchildren
  • Research for McDonald’s found customer satisfaction levels were on average 20% higher in restaurants that employed staff aged over 60.

He said employers also needed to invest in training and education. “There is growing evidence that a sustained economic recovery in Europe may be jeopardised by the rapid downturn in workforce growth” . If employment stopped growing, the entire burden of economic growth would be placed on productivity, which had largely stagnated in recent years. 

Mr Fairhurst also added that action by a wide range of employers was needed to increase labour market participation “so that it helps the overall economic growth which in turn helps us as a business”.

PREVIOUS POST

Cement Shen's $563m 'Peach Blossom Palace' bankruptcy

03/04/2014

The sight above may become more familiar as China’s new leadership seek to...

Learn more
NEXT POST

China's slowdown accelerates as IOUs substitute for credit

07/04/2014

The end of Q1 seems a good moment to look back at the position of the benchmark ...

Learn more
More posts
Hertz goes bankrupt as non-essential consumer demand disappears
24/05/2020

The US Federal Reserve has now spent $7tn bailing out Wall Street. But it couldn’t save the 10...

Read
Smartphone sales head into decline as affordability becomes key
10/05/2020

The smartphone sales decline accelerated in Q1, as Strategy Analytics report: “Global smartpho...

Read
China’s plastic ban and recycling launch marks end of ‘business as usual’ for plastics industry
26/01/2020

Paradigm shifts start slowly at first, and it is easy to miss them. But then one day, they suddenly ...

Read
Automakers face stiff headwinds in big emerging markets
19/01/2020

Brazil, Russia, India and China disappoint as manufacturers face investment demands of EVs © Bloomb...

Read
Portugal shows the way to climate neutrality by 2050
24/11/2019

“If you don’t know where you are going, any road will do”. The Irish proverb’...

Read
The next billion phone users will be buying $10 smart feature phones, not $1000 iPhones
10/11/2019

Smartphone sales plateaued in Q3, down 9% since Q3 2017’s peak of 1.55bn, as the chart shows....

Read
Companies ignore the Perennials 55+ generation at their peril
13/10/2019

Nearly a third of the the world’s High Income population are now in the Perennials 55+ generat...

Read
Auto markets set for major disruption as Electric Vehicle sales reach tipping point
21/09/2019

Major disruption is starting to occur in the world’s largest manufacturing industry.  Hundred...

Read

Market Intelligence

ICIS provides market intelligence that help businesses in the energy, petrochemical and fertilizer industries.

Learn more

Analytics

Across the globe, ICIS consultants provide detailed analysis and forecasting for the petrochemical, energy and fertilizer markets.

Learn more

Specialist Services

Find out more about how our specialist consulting services, events, conferences and training courses can help your teams.

Learn more

ICIS Insight

From our news service to our thought-leadership content, ICIS experts bring you the latest news and insight, when you need it.

Learn more