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Malaysia - McDonald’s ad against boycott

08 August 2014

Facing a nationwide boycott over alleged links to Israel, McDonald’s Malaysia today placed a full-page advertisement in a local daily to again deny the claims and to put a face to the “real victims” of the consumer activism: its mostly Malay Muslim employees according to the themalaymailonline.com.

In the advertisement which appeared in the Malay language daily Sinar Harian, the local company was forced to repeat its previous insistence that the firm was not related to “any political activity, violence or oppression," following accusations it was helping fund Israel’s attacks on Gaza.

“The real victims of these allegations are friends, workers and families who are the subject of discrimination and our franchisees who are working to make a living,” it said.

The fast food chain also pointed out that the company is a source of livelihood for more than 12,000 employees, over 85% of whom are Muslims. It also said 67 of the restaurants are owned and operated by 27 local franchisees, nearly half of whom are Malay-Muslims.

“In addition, McDonald’s also provides business opportunities to more than 50 local suppliers who also provide employment opportunities to more than 2,500 locals.

“It is clear that any boycott will bring negative effects to the economy and the lives of some of the Malaysians,” it said.

On Tuesday, violent rallies were held outside two McDonald’s outlets Kerteh and Dungun, resulting in about 80% loss of revenue at the two locations.

The advertisement also pointed out that McDonald’s Malaysia also pays millions of ringgit in corporate tax and service tax each year to the Malaysian government. “We want to emphasize that McDonald’s does not channel revenues, profits or royalties from our restaurants to support any form of political campaign or conflict in any country in the world." The fast food chain added that it has contributed more than MYR 11 million (USD 3.4 million) to help more than 20,000 children who are less fortunate for over 24 years.