Three Senate Democrats accused McDonald’s of defrauding consumers in a letter sent Monday, shortly after former President Donald Trump stopped by a McDonald’s restaurant in Pennsylvania to campaign.
Democratic Sen. Elizabeth Warren of Massachusetts, Sen. Bob Casey of Pennsylvania, and Sen. Ron Wyden of Oregon. letter “While working families are trying to make ends meet, McDonald’s and its companies continue to grow profits,” McDonald’s CEO Chris Kempczinski wrote. The legislators Sent The letter was first reported by NBC News a day after President Trump stopped by a McDonald’s in suburban Philadelphia, staffed the french fry aisle and mocked Vice President Kamala Harris’ comments. controversial She claims to have worked at a McDonald’s franchise when she was younger.
“While the Consumer Price Index has increased by 20% since 2020, McDonald’s may have increased menu prices for certain items by significantly more than that amount,” the senators said in the letter. “A recent analysis of six popular fast food chains (McDonald’s, Taco Bell, Chick-fil-A, In-N-Out Burger, Burger King, and Jack in the Box) found that 27 out of 30 menu items had price increases. exceeded inflation.” (Related: Gretchen Whitmer says critics of Harris’ price gouging plan are ‘reading too much into it’)
letter from mcdonalds by nick pope On Scribd
“Earlier this year, McDonald’s U.S. President Joe Erlinger attempted to blame inflationary pressures and ingredient costs for the company’s menu price increases, but the data tells a different story,” the letter continues. “Recent analysis shows that McDonald’s markup (i.e., the difference between the price paid by consumers and production costs) was 85% in 2023. McDonald’s operating margin in the same year was 52%, and as a publicly traded company, was the highest among the top 10 food companies. ”
McDonald’s, in a statement shared with the Daily Caller News Foundation, disputed suggestions that the company is gouging consumers.
“McDonald’s and our franchisees are committed to maintaining affordability, from the daily prices on our menu boards to our popular $5 meal deals and other offers available on-site or in the app. “This letter demonstrates a lack of understanding of our franchise business model and contains factual distortions and numerous inaccuracies,” the company said in a statement. “For example, consider the components of the $5 meal deal with McChicken, which would have been 15% more expensive in 2020 than they are today. That is the opposite of price gouging. In the meantime, we will continue to serve our customers and our community.”
Joe Erlinger, president of McDonald’s U.S., cited economy-wide inflation as the main factor driving up menu prices in May. According to Go to a restaurant dive. Democrats have frequently tried to blame corporate greed for the price increases that many other companies have. critic and economist It is tied to high inflation caused primarily by excessive government spending, such as President Joe Biden’s decision to vilify energy companies because of record-high gas prices observed in the summer of 2022.
Casey, Warren and Wyden’s offices did not immediately respond to requests for comment.
All content produced by the Daily Caller News Foundation, an independent, nonpartisan news distribution service, is available free of charge to legitimate news publishers with large audiences. All republished articles must include our logo, reporter byline, and DCNF affiliation. If you have any questions about our guidelines or partnering with us, please contact us at licensing@dailycallernewsfoundation.org.
