McDonalds axes jobs worldwide

Fast food chain McDonald’s announced today that it will cease operating in three countries where it has restaurants, restructure operations in four other nations and eliminate up to 600 jobs in order to control costs and reallocate its resources.

In addition, the US burger giant said it is closing approximately 175 underperforming restaurants in about 10 other countries.

The company is struggling with a crowded restaurant market, complaints about poor service and a depressed stock price.

“These actions are the right things to do for McDonald’s shareholders, the brand and our business,” said chairman Jack Greenberg.

“We remain focused on growing our existing restaurants’ sales and we’re committed to making the changes necessary to succeed in the challenging worldwide economic and competitive environments in which we operate.”

McDonald’s did not immediately name the three countries in which it will cease operations. It said the decision to leave those markets was driven by the lagging return of investment.

Nor did the company name the four markets in which it will restructure its operations, a plan that will involve transferring restaurant ownership to development licensees.