In a CNBC interview, the McDonald's CEO denounced President Donald Trump's No Tax on Tips, which is a signature campaign promise and a key provision of the recently passed One Big Beautiful Bill Act.
“The issue with no tax on tips is it only benefits those restaurants that have tips,” McDonald's CEO Chris Kempczinski stated. He went on to say that it creates an “uneven playing field.”
The CEO of the world’s largest restaurant chains criticizing one of the president’s signature policy victories designed to assist restaurant workers hasn’t set well with people, however, particularly the MAGA base.
According to a White House fact sheet, 83% of hourly workers support the No Tax on Tips proposal. The proposal was so popular that even Kamala Harris endorsed it during her presidential run.
President Trump is famously a big McDonald’s fan. Iconic campaign snapshots of the President working a McDonald’s fryer and drive thru window were part of a wildly successful final push by the Trump campaign to appeal to everyday Americans, which makes the comment by Chris Kempczinski even more puzzling.
As Team Trump prepares for the upcoming midterm elections, No Tax on Tips is going to be a signature policy win touted on the campaign trail.
A restaurant CEO throwing shade on it sends mixed signals at best. At worst, Chris Kempczinski could serve as a mouthpiece for Democrats who are gearing up to expand their political influence in the country.
The U.S. Department of Treasury has released a list of jobs which are eligible for the policy. So far, the list includes 68 jobs.
The department plans on publishing an "official proposed list" in the Federal Register. However, they have not specified a timeline.
Given how popular the policy has been, critics argue that McDonald’s is treading dangerously close to the FAFO territory. The White House is keeping a running list of companies that have been supportive, or unsupportive, of the One Big Beautiful Bill Act… And, McDonald’s is now on that list for all the wrong reasons.
