McDonald's Appoints CEO Chris Kempczinski as Board Chairman, Adds New Director

In a significant corporate move, McDonald's has announced that its CEO, Chris Kempczinski, will also take on the role of chairman of the company's board later this spring. This decision marks a return to the traditional structure where McDonald's CEOs also held the chairman position, a practice observed until recent years. Kempczinski, who stepped into the CEO role in late 2019, is set to succeed Enrique Hernandez Jr., who is retiring after a notable 28-year tenure on the board of the Chicago-based fast-food giant. The transition is scheduled to occur during McDonald's annual meeting expected in May.

Historically, McDonald's has seen its CEOs serve concurrently as chairmen, with Jim Skinner holding both titles from 2004 to 2012. However, this pattern was altered by subsequent CEOs. Don Thompson and Steve Easterbrook served solely as president and CEO during their respective tenures. Kempczinski's appointment follows his takeover as president and CEO after Easterbrook was dismissed for engaging in a non-physical, consensual relationship with an employee.

Before joining McDonald's in 2015 as executive vice president of strategy, business development, and innovation, Kempczinski amassed over 25 years of experience in senior roles at leading companies such as Procter & Gamble, PepsiCo, and Kraft. His extensive background positions him well for the dual role of CEO and chairman. "Having served alongside Chris, who is now in his fifth year as CEO, I know he is uniquely placed to unify the two roles of CEO and chairman to ensure McDonald's advances in lockstep with today's ever-changing business and social landscape," stated Hernandez.

Additionally, McDonald's announced the nomination of Mike Hsu, chairman and CEO of Kimberly-Clark Corp., as an independent director on its board. Kempczinski praised Hsu's global perspective and veteran status in the consumer products industry, highlighting his potential contribution to McDonald's during a period of ambitious growth. In December, McDonald's unveiled plans to open nearly 10,000 new restaurants worldwide over the next four years.

The company also emphasized its commitment to diversity within its leadership, noting Hsu's nomination as part of its goal to ensure that 50 per cent or more of its board members represent diverse backgrounds. This move underscores McDonald's dedication to adapting its corporate governance to reflect broader societal changes and business imperatives.