No 7-Eleven

Resisting Chains and Corporate Control

Fast-Food CEOs Earn Supersize Salaries; Workers Earn Small Potatoes

Fast Food Fat CatsVia NPR

At a time when fast-food workers make an average of about $9 an hour, what are the chief executives bringing home?

According to a new report, YUM! (owner of KFC, Taco Bell and Pizza Hut) compensated its CEO $22 million in 2013.

Chipotle’s CEO took home $13.8 million in total compensation. And McDonald’s CEO compensation totaled $7.7 million. (Compensation includes salary, bonus and the value of exercised options.)

Overall, the average compensation of fast-food CEOs has quadrupled since 2000. The figures in the report are based on data from Standard & Poor’s ExecuComp database and company proxy statements.

The report, by the public policy group Demos, concludes the fast-food industry has the most extreme pay disparity of all the sectors in the U.S. economy, with a CEO-to-worker pay ratio now exceeding 1,000 to 1.

By comparison, the ratio in the retail sector is about 304 to 1, meaning the CEOs in this sector make about 304 times the income of the average worker. And construction company CEOs make about 93 times that of the average worker.

In the years since the recession ended, “fast food firms have exhibited spectacular growth in CEO compensation, while wages for their front-line workforce actually declined,” the report concludes.

“Rising pay inequality has dire consequences for workers in New York City and beyond,” said Scott Stringer, the New York City comptroller who joined a conference call to release the findings. “I am also concerned with the impact of pay disparity on the city’s pension funds, which have long recognized that excessive pay disparities pose a risk to share owner value.”

Continue reading Fast-Food CEOs Earn Supersize Salaries; Workers Earn Small Potatoes [NPR]

Gale Brewer and the Battle Against 7-Eleven

Gale Brewer - 7-ElevenVia Commercial Observer

With a keen eye on preservation, Manhattan’s 27th Beep hopes to synchronize vanity addresses, gain a consensus at Madison Square Garden and introduce mapping at the community boards.

Gale Brewer has lived on the Upper West Side since 1970. She served as the area’s City Council member for 12 years, concluding at the end of 2013, before starting as the 27th Manhattan borough president. Ms. Brewer, who plans to open a ground-floor district office on West 125th Street, joined with city preservationists earlier this month to call for reforms to the landmarking process following the Landmarks Preservation Commission’s refusal to consider landmark status for the Rizzoli Bookstore building at 31 West 57th Street. As Manhattan Beep, Ms. Brewer is tasked with advising the mayor and City Council on borough concerns, providing feedback on all land-use matters, advocating for New York County in the municipal budget process and appointing members of the 12 community boards. Ms. Brewer successfully advocated for the passage of legislation while in the City Council that would compel landlords to fix repeat violations as well as a law that requires all city data be published online. In February, Commercial Observer chatted with Ms. Brewer in her office at 1 Centre Street about adjusting to her new position, her beef with 7-Elevens and the easiest and most challenging developers to work with.

Continue reading Gale Brewer and the Battle Against 7-Eleven [Commercial Observer]

NJ Franchisee Says 7-Eleven is Forcing Him Out of Business

7-Eleven Franchisee Sues 7-ElevenAmid Haddad, a 7-Eleven franchise owner since 2001, says he is being “squeezed out” by 7-Eleven and is asking for his customers help to battle the corporate giant. Haddad says that 7-Eleven Inc. made recent business decisions to eliminate smaller franchisee owners. As a result, he is facing an uphill battle to keep his store.

They have disabled my lottery machine, my money-order business, and are preventing me from being able to order through the corporation,” said Haddad in a recent interview.

Haddad, an Egg Harbor Township resident, has a family and is trying to put one child through college.

To represent his business interests, Haddad has hired a lawyer: Jerry Marks of Marks & Klein, LLP in Red Bank, N.J.

They (7-Eleven) are in violation of the New Jersey Franchise Practices Act,” said Marks. “They have given him no written notices regarding any termination of services, and are preventing him from making a living.”

Marks said he is developing a lawsuit against 7-Eleven, and may join class-action suits being formed.

This isn’t the first time 7-Eleven has used intimidation tactics on their franchisees. Andy Kahn, a 7-Eleven franchisee of 34 years, is suing the company for stalking, harassment, intentional infliction of emotional distress and for running him down outside a CVS Pharmacy.

Franchisees Dilip and Saroj Patel are also suing 7-Eleven alleging the company the convenience store giant is using “storm trooper” tactics to illegally seize valuable franchise rights from its franchisees in order to resell them for millions of dollars.

Brigantine 7-Eleven owner feels company is trying to force him out of business [Brigantine Beachcomber]

Starbucks to Replace Priced-Out Local Business

280-starbucksAnother Starbucks is slated for the West Village, this one at the former location of Bleeker Street Records which was forced out of their home at 239 Bleeker Street by a rent hike to $27,000. A spokesperson for the chain confirmed the new location will open this summer. Starbucks currently has more than 280 locations in the city.

Starbucks Will Open in Original Bleecker Street Records Location [Grub Street]

Local Coffee Shop Ousts Starbucks in Grand Central

Cafe Grumpy

Via CNN Money

Score one for the small guy.

A local New York coffee shop is set to replace one of the Starbucks in Manhattan’s Grand Central Terminal.

In May, Cafe Grumpy will replace the Starbucks (SBUX, Fortune 500) on the east side of the historic railway terminal, according to a spokesman for the Metropolitan Transportation Authority.

Starbucks’ lease was up, and the MTA prohibited chain stores from bidding on the new lease.

“It’s part of our effort to keep the space unique,” said the spokesman. Already, most of the 100 retail spaces in the terminal are local businesses, he said.

Terms of the lease were not immediately available.

Starbucks confirmed the move. Caroline Bell, the owner of Grumpy, said “this is a huge and exciting endeavor for us as an independent business.”

Grumpy serves as the place of employment for the main character in HBO’s popular series Girls. The coffee shop has a location in Brooklyn’s trendy Greenpoint neighborhood, as well as four other spots around the city.

Those needing a Starbucks fix inside Grand Central need not worry — the Seattle coffee chain still has another shop on the terminal’s west side.

Local coffee shop ousts Starbucks in Grand Central [CNN Money]

How Chain Stores Are Changing The Face of NYC

James and Karla MurrayVia Daily Mail

New York City is known for its constant reinvention and renewal, but for photographers James and Karla Murray, some of those changes hurt.

As iconic dive bars give way to fast food outlets, and kosher dairy joints are uprooted for bank chains, the East Village-based couple want to make sure we don’t forget the city’s colorful past.

The snappers photographed mom-and-pop stores everywhere from Harlem to the Lower East Side, to document the Big Apple’s transformation for their 2008 book ‘Store Front: The Disappearing Face of New York’.

Now, they’ve returned to those spots to capture the corporate takeover of New York, and have posted the pictures on their Facebook page, James and Karla Murray Photography.

‘We hope this glimpse will bring awareness to the unique character these small mom-and-pop businesses add to the streets and neighborhoods of New York City and the sense of community they provide,’ the Murrays, who have lived in New York for more than 20 years, told HuffPost.

‘These storefronts have the city’s history etched into their facades. We also hope that viewers will frequent small businesses so that they will continue to survive for many more years.’

Attack of the Chain Stores [Daily Mail]


Photographers Capture ‘Disappearing Face’ of New York City Storefronts [Mashable]
Watch NYC Gentrify Right Before Your Eyes [Huff Po]


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