US fast-food staff stuck in low-paying jobs because of hidden clauses
Provisions in contracts that franchisees sign with corporate HQs prevent workers from switching jobs
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Orlando, Florida
THE American fast-food industry is built on two pillars: cheap hamburgers and cheap labour.
As economists try to understand why wages have stagnated across the country's economy, they are examining the cheap labour part of the equation closely. A few have zeroed in on an obscure clause buried in many fast-food franchise agreements as a possible contributor to the problem.
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