Who is responsible for the terms of employment, compensation, and benefits for Dq Treat restaurant employees?
Dq_Treat Franchise · 2025 FDDAnswer from 2025 FDD Document
No employee of Licensee is or will be deemed an employee of Company for any purpose.
Licensee will hire all employees of the Restaurant, and be exclusively responsible for the terms of their employment, compensations, scheduling, benefits, disciplining and all other personnel decisions respecting Restaurant employees without any influence or advice from Company.
Licensee will implement a training program for Restaurant employees in compliance with Company's requirements.
Licensee will maintain at all times a staff of trained employees sufficient to operate the Restaurant in compliance with Company's standards.
Source: Item 17 — The following paragraph is added to the end of Item 17 of the Disclosure Document: (FDD pages 70–378)
What This Means (2025 FDD)
According to the 2025 Dq Treat FDD, the franchisee (Licensee) is exclusively responsible for all employment-related decisions regarding restaurant staff. This includes determining the terms of employment, compensation, scheduling, benefits, and disciplinary actions. Dq Treat maintains no influence or advisory role in these personnel matters.
This arrangement means that as a Dq Treat franchisee, you have complete control over hiring, firing, and managing your employees. You are responsible for ensuring compliance with all applicable labor laws and regulations. This autonomy allows you to tailor your employment practices to the specific needs of your restaurant and local market conditions.
However, this also means that you bear the full responsibility for any employment-related liabilities, such as wage disputes, discrimination claims, or wrongful termination lawsuits. While Dq Treat requires franchisees to implement a training program for restaurant employees that complies with their requirements, the franchisee is responsible for maintaining a staff of trained employees sufficient to operate the restaurant in compliance with Dq Treat's standards. Franchisees must make sure they understand their obligations as employers and implement sound human resources practices.
This level of responsibility is typical in many franchise systems, where the franchisee operates as an independent business owner. Prospective Dq Treat franchisees should carefully consider the implications of being solely responsible for all personnel decisions and ensure they have the necessary resources and expertise to manage their employees effectively.