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McDonald’s to Slash Executive Bonuses If They Don’t Place More Minorities in Senior Leadership Roles

February 22, 2021

McDonald’s announced it will slash executives’ bonuses if they don’t place more minorities in the firm’s senior leadership roles. “We’re implementing policies that hold our leaders directly accountable for making tangible progress on our [diversity, equity, and inclusion] goals,” McDonald’s stated in a Feb. 18 press release, titled “Allyship through Accountability.” McDonald’s added that it “expects to increase representation of historically underrepresented groups in leadership roles (Senior Director and above) located in the U.S. to 35 percent” and “to increase representation of women in leadership roles globally (Senior Director and above) to 45 percent” by the year 2025. The current figures are currently 29 percent and 37 percent, respectively, the statement said. And 15 percent of the senior executive vice presidents’ bonuses will be contingent on “quantitative human capital management-related metrics,” and they’ll be judged with an “inclusion index” that is designed to measure their hiring practices and inclusivity, according to the … Read More

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