Question

You are a human resources supervisor at a major restaurant chain. The restaurant operates as a franchise, and a survey of branch owners discovers that there are major wage inequities throughout the chain. In a brief essay, describe what you can do to correct the existing wage inequity and describe how you could have prevented the problem.

Answer 1

A major restaurant chain franchise would have several branches located at several part of the same city as well as different cities, states and countries. The inflow of customers would depend on the location and population eager to enjoy food. The inflow would lead to the sale from the restaurant and thus more inflow would lead to more sale from the restaurant.

Also, there would be difference in the property rate, wage and cost of living in parts of the world. This would directly affect the wage rate of the employees working in the branch.

The wage of the branch owner to be particular would also depend on the location of the branch. However, there should a range of salary band for each of the designation and location. Therefore, if the survey is taken for all the present branches of the restaurant, it may vary to a greater extent depending on the location of the branches in which the branch owner is working.

However, for preventing the problem of wage difference for the same designated person, one should classify the branch under location and cost of living for that location and then decide upon the wage band for each of the designation. This could curb the wage inequities.