March 13, 2019
Arby's, Little Caesars, Five Guys and Dunkin' have agreed to a settlement with 14 state attorney generals over the use of "no poach" agreements that essentially ban workers from moving from employment at one of the brand franchisees to another. The Tuesday settlement comes after a multi-state investigation that began last July, according to a Pittsburgh Post-Gazette report.
The probe was begun after allegations that a no-poach provision limited employees' ability to get better paying positions at eight limited-service chains. Of the original eight, Wendy's was found not to have used the provision and investigation into practices at Burger King, Popeyes and Panera continue.
"Many employees only learn these agreements exist when they are denied the chance to advance to a better job, earn more money or obtain family-friendly schedule options. These companies did the right thing by coming to the table and working with attorneys general to find solutions, and I hope that other chains will also step up and follow suit," Pennsylvania Attorney General Josh Shapiro said in a press statement.