Criteria Sub-Components Weight Mark Below Within the Above

Given for Expectati expectati Expectation

(Mark out of
this on on
100) (90% &
assignme
< 80% (80%- above)
nt
89%)

Introductio - Outline of the 10

n relevance/importance of the
chosen case

Backgroun - Clear explanation about 15

d the organization/context
- What the main issue of
the case is
- (In your own word, not
copying from the case)
Explain the - Explain how the case 15
linkage of relates to Ethics course
the case to topics or issues.
at least
- Discuss the way in which
ONE of the
the case helps
Ethics
understand the above
course
topic and/or issues.
topics or
issues

Questions and You must attempt all these 30

questions and give precise
Answers
answers.

Conclusion - Summary/ overview of 10

key issues and
arguments
- Explain what you learnt
from this case in terms
of relevance of theory
and practice

Referencing - You must provide at 10

least 3 recent references you
have accessed in analyzing
the case. These should be
from 3 journal articles.
-
English 5
proficiency

Format - Presentation & 5

structure (Must have a
front page with :
Names, Student
numbers and Course
name + course code
TOTAL 100
MARK

CASE STUDY ANALYSIS

 COLLEGE OF BUSINESS ADMINISTRATION
DEPARTMENT OF MANAGEMENT

COURSE TITLE:
ETHICS & ISLAMIC VALUES IN BUSINESS

COURSE CODE:
0302350
CASE TITLE:
A living wage for fast-food workers?
Submitted to:
Dr. Alaa Aldin Abdul Rahim A. Al Athmay
Submitted by:
Aliyu Mohammed Nura (U17200358)
Marwan Hassan (U18101482)
Omar Salem (U17105437)
Rashed Abdulrahman (U17200800)
Ahmed Alansari (U15200011)
Fall Semester 2019/2020

Table Of Contents
  Introduction

 Case Background

 Question and answers

 Linkage of case to Ethics & Islamic Values in Business

 Conclusion

Introduction
In public policy, advocates define a living wage as the minimum income that
workers need to meet their basic needs. Everyone have the right to have
proper amount of monthly salary, that he/she can live without any difficulties
and they can insure a good life for themselves and their families. According to
(Jo, Swaffield et al, 2018) there are enormous challenges facing low-wage
workers to earn enough to support themselves and their families and reach a
socially acceptable standard of living. Many States have set their statutory
minimum wages at levels that are inadequate to provide workers with a
decent standard of living. The issue called for action to be taken by both
governments and businesses to take responsibility and to take action to raise
workers ' salaries.

This case study helps to analyze the rising low-wage issue in fast food
companies, using McDonald's Wendy's and KFC examples.

Case Background
Fast-food low-wage workers (MacDonald’s, Wendy’s, KFC) struggle to meet
their family's basic needs, but they cannot do so unless they are paid living
wages (Statement on fast food, poverty wages, 2013). MacDonald’s is an
American fast food company, founded in 1940 as a restaurant operated by
Richard and Maurice McDonald, in San Bernardino, California, United States.
McDonald's is the world's largest restaurant chain by revenue, serving over 69
million customers daily in over 100 countries across 37,855 outlets as of 2018.
According to two reports published in 2018, McDonald's is the world's second-
largest private employer with 1.7 million employees behind Walmart with 2.3
million employees. Wendy's is an American international fast food restaurant
chain founded by Dave Thomas on November 15, 1969, in Columbus, Ohio. As
of December 31, 2018, there were a total of 6,711 locations, including 353 that
are company-owned and 6,358 that are franchised; 92% of the system-wide
locations are in North America. While Wendy's sets standards for exterior store
appearance, food quality, and menu, individual owners have control over
hours of operations, interior decor, pricing, staff uniforms, and wages. KFC,
also known as Kentucky Fried Chicken, is an American fast food restaurant
chain headquartered in Louisville, Kentucky, that specializes in fried chicken. It
is the world's second-largest restaurant chain (as measured by sales) after
McDonald's, with 22,621 locations globally in 136 countries as of December
2018. The chain is a subsidiary of Yum! Brands, a restaurant company that also
owns the Pizza Hut, Taco Bell and Wing Street chains.

Question & Answer

1. which group of stakeholders would you consider to be the owners
of fast food corporations such as McDonald’s, Wendy’s and KFC?
In the other word whose property are those companies?

Proprietors or Operators [Franchisees]

A large portion of McDonald's, Wendy's and KFC areas are diversified. These
companies need to guarantee that a positive relationship exists inside their
establishment framework to guarantee food quality and extraordinary
assistance. Fruitful establishment activities are essential for making a positive
brand picture. Franchisees are likewise keen on the prosperity of their venture
to accomplish a positive return.

2. if the campaigning group fast food forward is correct in its account

of industry profit and employee wages, how might this support
KARK MARX’S contention that people who work in businesses are
exploited so that those who own those businesses can get rich?

The way to accomplishing riches or getting rich is to offer some

incentive to other people. The more worth you give, the more you
will get consequently. But, the work costs of the different sorts of
labourers’ show a lot more extensive contrasts than the benefits
in the different branches of industry where capital is applied. If
the abundance of society decays the workers endures a large
portion of all, and for the accompanying explanation: in spite of
the fact that the common labourers’ can't pick up to such an
extent as can the class of property proprietors in a prosperous
condition of society, nobody experiences so cruelly its decrease as
the regular workers.

 Let us presently take a general public wherein industry profit or

wealth is expanding. This condition is the just a single favourable to
 the labourer. Here the challenge between the business competitions
sets in. The interest in labourers’ surpasses their supply.

 In any case, the raising of wages offers to ascend to overwork

among the labourers’. The more they wish to procure, the more
should they penance their time and do slave-work, totally losing all
their opportunity, in the administration of greed. In this manner,
they abbreviate their lives. This shortening of their life expectancy is
a positive situation for the average workers all in all, for because of
it an ever-fresh inventory of work ends up essential. This class has
consistently to forfeit a piece of itself all together not to be
completely destroyed.

 As the consequence of the amassing of much work, capital being

aggregated work; as the outcome, accordingly, of the way that
increasingly more of his items are being detracted from the
labourer, that to an expanding degree his own work stands up to
him as another man's property and that the methods for his reality
and his movement are progressively gathered in the hands of the
industrialist.

In an inexorably prosperous society, just the most extravagant of the rich can
keep on living on cash premium. As a result, the worker gets exploited who
work in businesses so that those who own those businesses can get rich.

3. it could be suggested that if fast food industry employees are

unhappy with their wages. They should go and work somewhere
else. What you think they do not do this?

Many representatives feel disappointed with their positions at

some point. A few workers exit their professions for better
chances, while others remain and stay despondent. Disappointed
workers can adversely influence an organization since they
normally need inspiration, perform inadequately and have
negative frames of mind. These indications have a method for
spreading to different workers, contaminating whole divisions and
the organization's main concern.
 The reason disappointed workers stay in the same job despite job
dissatisfaction is due to –

 Constrained Career Growth and Advancement

Absence of professional development and progression is another

motivation behind why labourers’ are disappointed at their
occupations. Workers who feel stuck in their activity positions are
less inspired to keep up high profitability than the individuals who
don't. Labourers’ feel esteemed when managers incorporate them
in their long haul plans and demonstrate their thankfulness
through advancements. Representatives who move up in an
association and get the only remuneration to mirror their title and
obligation changes more often than they commit to the
organization as long as possible.

 Not exclusively should workers manage stale wages

however maybe likewise the significant expense of medical
coverage and increasing expenses for lodging, utilities and
nourishment.

 The pressure of taking care of bills with restricted pay

makes numerous labourer’s feel disappointed with their
occupations. Here and there, workers simply feel that
they've come up short on when they might be paid
reasonably.

Linkage of case to Ethics

 • Rights theory :This case study is linked to the rights theory as it is
between the rights of an employee as an influential stakeholder and
corporation. The Employees are influential stakeholders as they affect
the success of a company by supporting it because without the
employees fulfilling their obligations, the firm could not continue with
its operations therefore they have, in exchange, a right to expect that
their interests will be taken into account by that company. The
employees are also affected stakeholders as the activity of the company
has an effect on stakeholders, those stakeholders have a right to be
taken into account by that company

• stakeholder rights offers one basis for thinking about businesses’ ethical
responsibilities
• it is important to think about affected stakeholders as well as influential
stakeholders
• the rights of (non-influential) affected stakeholders may get overlooked
by companies who focus just on stakeholders’ instrumental importance

 Social rights: The earliest form of social rights are about people’s right to
the basic human needs such as food, water and shelter. On a more
advanced level, they include entitlements to services such as education,
health care and leisure.

Conclusion
In this case, we were confronted with a very big issue that modern societies
now face, unfair wages and exploitation of workers, and that of human rights
and human dignity. There are so many things that you can learn from this, such
as that the owners of corporations increase their profits annually by leveraging
society and exploiting it while workers get poorer by time, That makes it
harder for their lives and their families to live happily, I believe that the
government has the upper hand to solve this problem by developing laws that
protect the rights and dignity of workers and spread awareness of the rights of
people and how they can protect themselves from exploitation.
Refrences

Swaffield, J., Snell, C., Tunstall, B., & Bradshaw, J. (2018). An evaluation of the
living wage: Identifying pathways out of in-work poverty. Social Policy and
Society,  17(3), 379-392.

Statement on fast food, poverty wages: The public cost of low-wage jobs in the
fast-food industry report. (2013, Oct 16).  Targeted News Service

Ioannou, F. (2013, Jul 30). Fast-food workers walk out of jobs to protest low
wages: Fed up with low wages and the yawning gap between the pay of CEOs
and the rank-and-file, line workers at fast food restaurants walked off job on
Monday. can protests reduce America’s appetite for cheap food and cheap
workers?  The Daily Beast

Mackenzie, R. (2017, Jan 04). Antigonish part of living wage study living wage
study. Chronicle - Herald 

Riddoch, L. (2015, Oct 05). When's a living wage not a living wage?  The
Scotsman

This living wage week, we must fight for the real living wage. (2016, Nov
01). M2 Presswire 

Josh Bersin, (2019). “Why Aren't Wages Keeping Up? It's Not The Economy, It's
Management. https://www.forbes.com/sites/joshbersin/2018/10/31/why-
arent-wages-keeping-up-its-not-the-economy-its-
management/#2479e238397e
“MacDonald's industrial products including on-site leased workers of spherion corporation
including workers whose wages were paid by access personnel options, spencerville, OH;
MacDonald's industrial products including on-site leased workers of forge industrial staffing
including workers whose wages were paid by access personnel options, kentwood, MI;
MacDonald's industrial products including on-site leased workers of forge industrial staffing
including workers whose wages were paid by access personnel options; grand rapids, MI;
amended certification regarding eligibility to apply for worker adjustment assistance and
alternative trade adjustment assistance”. (2007). (). Washington: Federal
Information & News Dispatch, Inc.