What responsibilities does a Carls Jr. franchisee have regarding the hiring, training, and supervision of employees?
Carls_Jr Franchise · 2025 FDDAnswer from 2025 FDD Document
H. Franchised Restaurant Management and Personnel
The Franchised Restaurant shall at all times be under the on-site supervision of one of the following designated individuals, who must meet, to the satisfaction of CJR, CJR's applicable training qualifications for their designated position: the Operating Principal, a Multi-Unit Manager, or a restaurant General Manager. Franchisee must, at all times, employ at the Franchised Restaurant at least one General Manager and a sufficient number of employees who have successfully completed the FMTP or CJR's then-current training as designated by CJR to ensure that the Franchised Restaurant operates in accordance with the System. If, at any time, Franchisee ceases to employ the required number of trained personnel, Franchisee has 30 days (from the date on which Franchisee has less than the required number of trained personnel) to hire and enroll replacement personnel in the FMTP or other designated training requirements, and 90 days to ensure that such replacement personnel has completed the required training requirements.
Franchisee, Franchisee's Operating Principal or, if applicable, the Multi-Unit Manager shall remain active in overseeing the operations of the Franchised Restaurant, including, without limitation, regular, periodic visits to the Franchised Restaurant and sufficient communications with CJR to ensure that the Franchised Restaurant's operations comply with the operating standards as promulgated by CJR from time to time in the OPM or otherwise in written or oral communications.
Franchisee shall hire, and at all times employ, a sufficient number of trained employees for the Franchised Restaurant and be exclusively responsible for the terms of their employment and compensation, and for the proper training of such employees in the operation of the Franchised Restaurant, in human resources and customer relations. Franchisee shall establish at the Franchised Restaurant a training program for all employees that meets the standards prescribed by CJR. Franchisee will be solely responsible for: (1) hiring, training and supervising efficient, competent and courteous employees of good character for the operation of the Franchised Restaurant; (2) the terms of their employment and compensation; and (3) the proper training of the employees in the operation of the Franchised Restaurant.
Franchisee shall employ only suitable persons of good character and reputation who will at all times conduct themselves in a competent and courteous manner in accordance with the image and reputation of CJR and the System and, while on duty, comply with the dress attire, personal appearance and hygiene standards set forth in the OPM. Franchisee shall use its best efforts to ensure that Franchisee's employees
Source: Item 22 — CONTRACTS (FDD pages 75–76)
What This Means (2025 FDD)
According to the 2025 Carls Jr. Franchise Disclosure Document, franchisees have extensive responsibilities for managing their restaurant's personnel. A franchisee must always have a designated individual overseeing the restaurant, such as the Operating Principal, a Multi-Unit Manager, or a General Manager, who meets Carls Jr.'s training qualifications. The franchisee is required to employ at least one General Manager and enough employees who have completed the Franchise Management Training Program (FMTP) or other training designated by Carls Jr. to ensure the restaurant operates according to the Carls Jr. system standards. If the franchisee does not have enough trained personnel, they have 30 days to hire and enroll replacements in the FMTP and 90 days for those replacements to complete training.
The Carls Jr. franchisee is responsible for hiring a sufficient number of trained employees and is exclusively responsible for their employment terms, compensation, and proper training in restaurant operations, human resources, and customer relations. The franchisee must also establish a training program for all employees that meets Carls Jr.'s standards. Franchisees are expected to hire suitable individuals of good character who will conduct themselves competently and courteously, adhering to Carls Jr.'s image and standards. Employees must comply with dress attire, personal appearance, and hygiene standards outlined in the Operations Procedures Manual (OPM).
In practical terms, this means a prospective Carls Jr. franchisee needs to budget not only for employee wages but also for ongoing training expenses and the time required for employees to complete the FMTP. They must also implement and maintain a local training program that aligns with Carls Jr.'s standards. The franchisee carries the risk of non-compliance if staffing levels fall below the required number of trained personnel, and they must act quickly to rectify any shortfall. Furthermore, franchisees are responsible for all employment-related legal compliance, including wage laws, discrimination laws, and workplace safety.