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Labor board: Chipotle may have violated workers’ rights
Chipotle Mexican Grill may have violated federal labor law in its treatment of employees at its only unionized store, according to the National Labor Relations Board.
The board said late Monday that its Detroit regional director found merit to allegations filed against Chipotle by the International Brotherhood of Teamsters. The union alleges that Chipotle unlawfully disciplined an employee in Lansing, Michigan, for engaging in union activity and told employees the fast-food chain couldn’t give them raises because they were unionized.
The regional director dismissed an allegation that Chipotle unlawfully withheld credit card tips from unionized workers. An allegation that Chipotle unlawfully used surveillance methods on its employees is still under investigation.
The NLRB said if Chipotle and the Teamsters don’t reach a settlement, its general counsel could file charges against the company that would be heard by the board’s administrative law judge.
Workers at the Lansing Chipotle voted to unionize two years ago, becoming the first of the company’s 3,500 locations to do so amid a broader unionization push across the country.
Chief Corporate Affairs Officer Laurie Schalow said in a statement that Chipotle respects workers’ right to organize and has been bargaining in good faith with the Lansing store. Schalow blamed the union for long delays in scheduling bargaining sessions.
But the Teamsters accused Chipotle in a statement of dragging its feet and retaliating against workers to prevent the union from reaching a fair labor agreement.
“The NLRB made the right call by determining our claims have merit,” the union said.
Chipotle has violated labor law before. Last year, the chain agreed to pay $240,000 to former employees in Augusta, Maine. Chipotle closed the Augusta restaurant after workers there filed a petition for a union election, an action the NLRB ruled was illegal.
Chipotle’s labor record could come under increased scrutiny now that its chairman and CEO, Brian Niccol, has been hired by Starbucks. Niccol is set to start work at Starbucks on Sept. 9.
Starbucks also opposed unionization when its workers first voted to unionize at a Buffalo, New York, store in 2022. But since then, more than 460 Starbucks stores have voted to unionize. Starbucks and its union, Workers United, agreed earlier this year to restart talks and try to reach a labor agreement.
Edgar Bronfman Jr. withdraws offer for Paramount
NEW YORK | The merger between entertainment giant Paramount and media company Skydance is set to go ahead after Edgar Bronfman Jr. withdrew a competing offer.
Bronfman, executive chairman of streaming service Fubo, told Paramount’s special committee of directors Monday night that he would not proceed with his bid.
“While there may have been differences, we believe that everyone involved in the sale process is united in the belief that Paramount’s best days are ahead,” he said.
Bronfman, the former chairman and CEO of Warner Music, had intitially offered $4.3 billion for Shari Redstone’s National Amusements, the controlling shareholder of Paramount, according to multiple media reports. He then upped that bid to $6 billion.
Paramount agreed last month to a merger deal with Skydance that will inject desperately needed cash into a legacy studio that has struggled to adapt to a shifting entertainment landscape.
Since then, during what’s known as a “go shop” period, a special committee of Paramount’s board had reached out to more than 50 third parties to determine whether they were interested in making offers. The go shop period was extended for Bronfman, but has now closed.
Shari Redstone’s National Amusements has owned more than three-quarters of Paramount’s Class A voting shares through the estate of her late father, Sumner Redstone. She had battled to maintain control of the company that owns CBS, which is behind blockbuster films such as “Top Gun” and “The Godfather.”
The deal signals the rise of a new power player, Skydance founder David Ellison, the son of billionaire Larry Ellison, who founded the software company Oracle.
Skydance, based in Santa Monica, California, has helped produce some major Paramount hits in recent years, including Tom Cruise films like “Top Gun: Maverick” and installments of the “Mission Impossible” series.
The proposed combined company of Paramount and Skydance is valued at around $28 billion. The deal is expected to close in September 2025, pending regulatory approval.
Paramount, founded in 1914 as a distributor, is one of Hollywood’s oldest studios and has had a hand in releasing numerous films — from “Sunset Boulevard” and “The Godfather,” to “Raiders of the Lost Ark” and “Titanic.”
Travis and Jason Kelce take podcast to Amazon’s Wondery
KANSAS CITY, Mo. | Chiefs tight end Travis Kelce and his brother, former Eagles center Jason Kelce, are taking their popular “New Heights” podcast to Amazon’s Wondery under a three-year deal that gives the company exclusive advertising sales and distribution rights.
The financial terms of the deal were not immediately available, though some reports put the total at nine figures.
The deal, announced by Wondery on Tuesday, will begin with this week’s episode, which drops Wednesday. It includes the back catalog of podcast content along with exclusive rights to monetize and distribute audio and video episodes.
“We couldn’t be more excited to team up with Wondery for the next phase of ‘New Heights,’” the Kelce brothers said in a statement. “We love this show and the fanbase that has grown with us over the last two seasons. Wondery understands the shared vision and will offer a wealth of experience and resources to take us to ‘New Heights!’”
The personable Kelce brothers launched their podcast two years ago. It initially was designed to peel back the cover on the world of professional football players, but has since expanded to touch other corners of the pop culture universe.
The weekly series was chosen podcast of the year at the 2024 iHeartPodcast Awards.
“’New Heights’ on the surface is a sports podcast, and sports is such a well-listened-to category,” Wondery chief executive Jen Sargent said, “but it’s become a cultural phenomenon. They’re in that cultural zeitgeist.”
Travis Kelce’s celebrity status reached another level early last season, when the tight end of the two-time defending Super Bowl champion Chiefs began dating pop superstar Taylor Swift. He has several crossover projects in the works, including a 20-episode game show for Amazon Prime Video called “Are You Smarter Than a Celebrity?”
Jason Kelce recently retired after a 13-year career spent entirely with the Eagles. But his popularity also has been on the rise; he was frequently seen attending the Paris Olympics and will appear on “Monday Night Countdown” on ESPN.
—From AP reports
