Day 144 - 28 Jun 95 - Page 56

     
     1   MR. MORRIS:  In December 1989, your figures have said that the
     2        turnover rate in the States was 189 per cent, which is
     3        somewhat in the middle between 1986 and 1993, which is
     4        varied between 150 per cent and 224 per cent in the
     5        December period.  If the turnover rate is 189 per cent, we
     6        are talking about people leaving McDonald's -- effectively,
     7        if it is 200 per cent, would mean the whole staff would
     8        leave every six months.  That is the general picture.  Some
     9        people stay for years but some people leave in a few weeks?
    10        A.  Well, I am not sure of a few weeks, it goes beyond a
    11        few weeks.  But you are right that some people stay a long
    12        time.
    13
    14   Q.   So the more people stay a long time, the more people must
    15        stay a shorter time to get that turnover rate?  If we
    16        average out at, say, something between six and seven
    17        months, then people, if they get a performance
    18        review -- that is just an average rate obviously.  We have
    19        evidence in England that the whole situation is much more
    20        complicated, but the reality is a large number of
         McDonald's staff ----
    22
    23   MR. JUSTICE BELL:  It does not necessarily mean more people have
    24        to leave a shorter time.  If you were saying the average
    25        stay was a certain period of time, but that is not what
    26        turnover is, it is the number of people on the books in a
    27        year.  So if one person who has been there three years
    28        leaves and is replaced by someone else, he only needs to be
    29        replaced by one person to have your 100 per cent.  You do
    30        not need more people who are there for a shorter period of
    31        time.
    32
    33   MR. MORRIS:  Yes, but the people who have stayed for three years
    34        would leave less often than the people who stayed ----
    35
    36   MR. JUSTICE BELL:  Of course they would, I appreciate that, but
    37        it is not the average stay we are talking about.
    38
    39   MR. MORRIS:  No.
    40
    MR. JUSTICE BELL:  What I would like you to consider is whether
    42        you think you can really usefully get any further with
    43        Mr. Stein on the average stay.
    44
    45   MR. MORRIS:  The only thing I was going to ask him was to accept
    46        that some very considerable percentage of McDonald's staff
    47        realistically cannot expect more than one or two
    48        performance reviews?
    49        A.  I am saying to you I do not have specific numbers and
    50        I am not willing to hazard a guess. 
    51 
    52   Q.   If that is the case they are going to stay on the starting 
    53        rate?
    54        A.  I disagree with that.
    55
    56   Q.   Well, if they do not get a performance review they are
    57        going to stay on the starting rate, are they not?
    58        A.  Your question was so convoluted.  I do not know where
    59        it starts and where it ends.
    60