Poached: Attorneys general in 10 states are moving to investigate whether a clause in fast-food franchise agreements, referred to as a no-poach clause, is preventing workers from switching jobs, locking them into low-paying positions and contributing to widespread wage stagnation in the United States, The New York Times reports. The restrictions don’t stop workers from switching from, say, an Arby’s store to a Wendy’s, but can keep an employee of one Arby’s location from taking a job at another and employees often don’t know about the clauses. While Louisiana is not among the 10 states, Popeyes Louisiana Kitchen is among the targeted list of restaurants. Read the full story.
Sack lunches lose: Across the country, businesses that deliver lunch to children in school are popping up, boosted by concerned parents who think their children are less likely to toss out restaurant food than a packed lunch. Boston-based Red Apple Lunch service was launched by Lisa Farrell after market research confirmed her suspicion that lunch packing was a “stress point” for parents. Another company, Kiddos Catering in Chicago, provides restaurant meals to schools that contract with it as an alternative to typical cafeteria food. Not everyone is a fan of the businesses, and many schools have banned that practice, citing safety concerns, among other things. Read the full story.
Tax law goof: Four missing words in the new tax law mean fewer aging fast food restaurants will get renovated this year. As The Wall Street Journal reports, the tax law mess up requires companies to depreciate building-renovation costs of 39 years, instead of deducting renovation costs immediately. Retail, restaurant and commercial-real-estate industries are pushing Congress to correct the inadvertent omission at the same time as they halt projects in their tracks. “This is freezing people in their tracks,” says White Castle Vice President Jamie Richardson. “It’s real, and we’re hoping something can get done as soon as possible.” Read the full story.
