Does Afuri Ramen Dumpling have the power to hire or fire my employees?
Afuri_Ramen_Dumpling Franchise · 2024 FDDAnswer from 2024 FDD Document
- A. You will control your own employees and contractors. We shall not have the power to hire or fire, schedule, direct, supervise, or discipline your employees or to set wages or working conditions for your employees.
- B. You will maintain employee records to show clearly that you and your employees are not our employees.
- C. You must comply with federal and state labor laws. For example, you must comply with wage and hour laws and pay your employees properly.
- D. You are responsible for any employee wages and compensation, payroll taxes and other required withholding, worker's compensation and benefits.
- E. You must indemnify and hold us legally harmless from any of your violations of federal or state labor laws or similar laws. You acknowledge that you have had ample opportunity to investigate these and other laws applicable to your business with your own independent legal counsel before signing this Agreement.
- F. You must place a prominent, boldface statement at the top of your employee applications that the applicant is applying to work for you, not for us.
- G. You must display your entire business entity's name, not just the licensed brand, on your payroll checks.
- H. We do not post job openings at your franchise (or at any other franchise location) on our website or otherwise. We do not coordinate the sharing of employees among franchisees.
- I. We do not provide sample employee handbooks for your use with your employees. You should develop these with independent sources of your choice.
Source: Item 23 — Receipts (FDD pages 50–189)
What This Means (2024 FDD)
According to Afuri Ramen Dumpling's 2024 Franchise Disclosure Document, franchisees have control over their own employees and contractors. Afuri Ramen Dumpling explicitly states that they do not have the power to hire or fire, schedule, direct, supervise, or discipline a franchisee's employees, nor do they set wages or working conditions. This indicates that franchisees have significant autonomy in managing their workforce.
As an Afuri Ramen Dumpling franchisee, you are responsible for maintaining employee records that clearly show your employees are not employees of the franchisor. You must also comply with all federal and state labor laws, including wage and hour laws, and ensure your employees are paid properly. Additionally, you are responsible for all employee wages, compensation, payroll taxes, worker's compensation, and benefits.
To further emphasize the independent nature of the relationship, Afuri Ramen Dumpling requires franchisees to include a statement on employee applications indicating that applicants are applying to work for the franchisee, not Afuri Ramen Dumpling. The franchisee's entire business entity name, not just the licensed brand, must be displayed on payroll checks. Afuri Ramen Dumpling does not post job openings for franchisees on their website or coordinate the sharing of employees among different franchise locations. They also do not provide sample employee handbooks, advising franchisees to develop these independently.