Does Chesters have the authority to determine or set a Chesters franchisee's employees' wages, benefits, or other compensation?
Chesters Franchise · 2025 FDDAnswer from 2025 FDD Document
We and you agree that any materials, guidance, or assistance that we provide with respect to employment-related policies or procedures, whether in the Manuals or otherwise, are solely for your optional use.
Those materials do not form part of the mandatory operational standards.
You will determine to what extent, if any, these materials, guidance, or assistance should apply to your employees.
You acknowledge that we do not dictate or control labor or employment matters for licensees and their employees.
You are solely responsible for determining the terms and conditions of employment for all of your employees, for all decisions concerning the hiring, firing and discipline of your employees, and for all other aspects of your Restaurant's labor relations and employment practices.
We and you are not joint employers of your employees and other personnel.
We do not and will not share or codetermine any of your employees' essential terms and conditions of employment.
More specifically, in no case do we have any authority to determine or set your employees': (1) wages, benefits, and other compensation; (2) hours of work and scheduling; (3) the assignment of duties to be performed; (4) the supervision of the performance of duties; (5) work rules and directions governing the manner, means, and methods of the performance of duties and the grounds for discipline; (6) the tenure of employment, including hiring and discharge; and/or (7) working conditions related to the safety and health of employees.
You alone have sole authority to determine any or all your employees' essential terms and conditions of employment.
Source: Item 23 — **RECEIPTS (FDD pages 48–197)
What This Means (2025 FDD)
According to Chesters' 2025 Franchise Disclosure Document, Chesters does not have the authority to determine or set a franchisee's employees' wages, benefits, or other compensation. The FDD states that the franchisee is solely responsible for determining the terms and conditions of employment for their employees.
Chesters explicitly acknowledges that they do not dictate or control labor or employment matters for franchisees and their employees. The franchisee is responsible for all decisions concerning hiring, firing, and disciplining employees, as well as all other aspects of the restaurant's labor relations and employment practices. Chesters and the franchisee are not considered joint employers of the franchisee's employees.
Chesters does not share or co-determine any of the franchisee's employees' essential terms and conditions of employment. The FDD specifically states that Chesters has no authority to determine or set employees' wages, benefits, compensation, hours of work, scheduling, job duties, supervision, work rules, tenure of employment, or working conditions related to safety and health. The franchisee has sole authority over these aspects of employment.