Major global companies, including PepsiCo and McDonald’s, are under increasing pressure to close business in Russia as Vladimir Putin continues his country’s war with Ukraine.
Apple suspended sales in Russia, Nike and Ikea closed their stores in the country, while Mastercard and Visa suspended services. But some large companies, such as PepsiCo, did not issue any condemnation of the war and continued operations as usual.
McDonald’s did not say whether the food giant would continue its business in Russia during the war until noon on Tuesday, when the company issued a statement saying it would temporarily close all restaurants in Russia and suspend all market operations.
“In Russia, we employ 62,000 people who have put their heart and soul into the McDonald’s brand to serve their community,” the company said in a statement. “At the same time, our values mean that we cannot ignore the senseless human suffering that is happening in Ukraine.
“Years ago, when he disobeyed his own difficult decision, [former CEO] Fred Turner explained his approach very simply: “Do the right thing”. “This philosophy is considered one of our five value guidelines and over the years there have been many examples of McDonald’s companies following Freddie’s simple ideal,” the statement continued. “Even today is one of those days.”
In a message shared with employees and franchisees, CEO Chris Kempczynski said McDonald’s will temporarily close all restaurants and suspend all operations in Russia. Click to read the full message. https://t.co/g8BXaKxvNj pic.twitter.com/6jt0NnYhKz
– McDonald’s Corporation (@McDonaldsCorp) March 8, 2022
McDonald’s has 847 restaurants in Russia and its website states that operations in Ukraine and Russia account for approximately 9% of world sales and 3% of revenues. The company said it will continue to pay staff salaries in Ukraine and Russia.
New York State Controller Thomas Dinapoli warned several companies, including McDonald’s and PepsiCo, on Friday of the “important and increasing legal, compliance, operational, operational, human, personal and reputational risks” associated with making business in Russia. According to Reuters.
McDonald said its charity at Ronald McDonald House will continue to work fully in Russia and the RMHC in Ukraine is working with local hospitals to distribute medical supplies and provide humanitarian assistance throughout the country.
PepsiCo did not immediately respond to a request for comment from HuffPost.
Other Western-based brands, including Coca-Cola, Starbucks, and Burger King, have also been criticized for continuing to operate in Russia.
Actor Sean Penn, who recently returned to the United States after shooting a documentary about Russia’s invasion of Ukraine, called on Americans to boycott these brands on Monday.
“Until Coca-Cola, PepsiCo and McDonalds stop doing business in Russia, American citizens will have a very simple and safe way to support Ukraine,” Penn said. On Twitter. “Each of us can stop buying our products and ask our friends to consider the same.”
Until Coca-Cola, PepsiCo and McDonalds stopped doing business in Russia, American citizens had a very simple and safe way to get around Ukraine. Each of us can stop buying our products and ask our friends to consider the same.
https://t.co/OGNPJRCjrQ– Sean Penn (@SeanPenn) March 7, 2022
Ukrainian Foreign Minister Dmitry Kuleba invited Shell Oil over the weekend to buy Russia’s crude oil.
A question to @Shell: Is Russian oil like Ukrainian blood to you? Kuleba tweeted on Friday. “I urge all celebrities around the world to urge multinationals to sever ties with Russia.
I was told that Shell bought Russian oil carefully yesterday. One question @Shell: Doesn’t Russian oil smell of Ukrainian blood? I urge all celebrities from around the world to urge multinationals to sever trade ties with Russia.
– Dmytro Kuleba (@DmytroKuleba) March 5, 2022
Shell announced on Tuesday that it would stop buying oil and natural gas from Russia and said it would close its service stations in the country.
“We are well aware that our decision last week to buy a shipment of Russian crude oil for processing into products such as gasoline and diesel – even though the security of supply is at the forefront of our thinking – and we are right. “Sorry,” said CEO Ben van Bourdain. According to the Associated Press. “As we have already said, we will receive revenue with a limited and outstanding amount of Russian oil, which we will process in a special pondo.
Sanjana Karant contributed to this report.
Source: Huffpost