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February 20, 2006
McDonald’s Pinocchio Reputation
PHOTO: Pinocchio's Lying Ways
“We knew there were always wheat and dairy derivatives in there, but they were not the protein component,” she said. "Technically, there are no allergens in there. What this is an example of is science evolving.”
Comments from Cathy Kapica, McDonald’s director of global nutrition, regarding McDonald’s french fry crisis.
Would you like a lawsuit with those fries?
At least three people in the U.S. have filed lawsuits against McDonald's because the fast food giant's french fries contain milk and wheat ingredients, the Wall Street Journal reported on Sunday. The lawyer for an Illinois woman with celiac disease says his client's condition is set off by eating gluten, a protein found in wheat.
McDonald's said Feb. 13th that wheat and dairy ingredients are used to flavor its fries. Those substances can cause allergic or other medical reactions in food-sensitive consumers. Earlier this month, McDonald's also acknowledged that its fries contain a third more trans fats than it previously knew, citing results of a new testing method it began using in December.
Jack Daly, McDonald's senior vice president, said in a statement the company has not reviewed the case yet and is testing its fries for gluten through a food allergy research program at the University of Nebraska.
Debra Moffat of Lombard, Ill., is seeking unspecified damages, claiming her suffering heightened gastrointestinal symptoms after eating the fries.
Nadia Sugish of Los Angeles is also suing. She says she's a vegan and would not have eaten the fries if she had known they contained dairy products.
Mark and Theresa Chimiak of Jupiter, Fla., allege in their suit that their five-year-old daughter, Annalise, became seriously ill from eating the fries because she has an intolerance to gluten.
"If they're saying there's wheat and dairy derivatives in the oil, as far as anyone with this disease is concerned, there's actually wheat in it," said New York resident Jillian Williams, one of more than 2 million Americans with celiac disease, an autoimmune disorder triggered by gluten.
"They should have disclosed that all along," she said. "They should never have been calling them gluten-free."
It's not the first time McDonald's forthrightness has been called into question concerning what's in its famous fries.
The company paid $10 million in 2002 to settle a lawsuit by vegetarian groups after it was disclosed that its fries were cooked in beef-flavored oil despite the company's insistence in 1990 that it was abandoning beef tallow for pure vegetable oil.
Last February, it paid $8.5 million to settle a suit by a nonprofit advocacy group accusing the company of misleading consumers by announcing plans in September 2002 to change its cooking oil but then delaying the switch indefinitely within months. Reluctant to change the taste of a top-selling item, McDonald's has continued to maintain for the past three years that testing continues.
The fast-food giant, which previously said its fries were free of gluten and milk or wheat allergens, added a ''contains wheat and milk ingredients'' postscript to its website's fries listing this month.
PHOTO: McDonald's French Fries
A few reputation management tips from the Reputation Doctor for McDonald’s:
• Lying destroys trust in a corporation locally and globally.
Stretching the truth is a lie and lying destroys trust. These are rules we teach our kids before kindergarten. Adults know better, but sometimes adults still choose deceit. In addition, adults run global corporations and many global corporations, not just McDonald’s, are in crisis.
• When a corporation is caught lying, it creates a Pinocchio complex.
Pinocchio told so many lies no one trusted him when he eventually spoke the truth. McDonald’s is in danger of the same mistake. Without trust, customers will not enter their doors. McDonald’s has a simply choice make: truth or lies? Pride and fear sometimes prevent us from doing what is right.
• Humility is needed to get back on track.
McDonald’s attorneys must work closely with their corporate communications executives and their outside crisis PR consultants. There is much more here to lose in the court of public opinion vs. potential gain in the court of law. Humility is an important tool to help fix the problem - even among the attorneys.
• Empathy for those with celiac disease is important to be included in McDonald’s message.
McDonald’s endangered the lives of those in our society with celiac disease. I have friends with the disease. It is not pretty and it requires having trust in those who claim to provide us with food without any trace of gluten or diary products. McDonald’s breached that trust. Their deceit also sends a shockwave to all McDonald’s customers. Empathy for those hurt by the crisis is necessary within the first 24 hours. To do so, McDonald’s must choose communications advice over legal advice today. Let’s see which they choose.
Remember, do the right thing when your reputation is in crisis and seek the counsel of an experienced reputation management expert. It will be difficult, but ultimately the rewards will be great. Why? Because Your Reputation Is Everything! ™
About Mike Paul
Mike Paul is editor of The Reputation Doctor blog. The Reputation Doctor is a nickname given to him by various clients. Mike's blog is located at www.ReputationDoctor.com. He appears regularly on Fox News Channel, CNN, MSNBC, Court TV, ABC News, ESPN, CBS News, BBC, and others as a weekly contributor and expert in the global news regarding leaders, celebrities, corporations and other organizations with reputations in crisis. Mr. Paul is also president and senior counselor of MGP & Associates PR (www.mgppr.com), a leading strategic public relations and reputation management firm based in New York. For interview requests, speeches or business opportunities with Mr. Paul, call 212-595-8500.
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