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Peru Watchdog Says McDonald's Franchisee Violated Safety Laws

Reuters

   SANTIAGO - Peru´s labor watchdog has foundMcDonald's Corp.'s Latin
   America franchisee Arcos Doradosguilty of six "very serious" violations
   of local safetyand health laws following the deaths of two employees in
   a
   restaurant kitchen.

   The Labor Ministry's regulating body proposed thatthe company be fined
   $254,000 over the deaths.

   Arcos Dorados, which operates all 29 McDonald's restaurantsin Peru, did
   not respond immediately to a request for comment.

   Alexandra Porras, 18, and Carlos Campo, 19,were electrocutedearlier
   this month in Lima while cleaningakitchen.Protesters have taken to the
   streets carrying posters bearingthe victims' photos and slogans
   reading: "Justice for Alexa andGabriel."

   They were a couple who had been working for the fast-foodchain for
   several months, according to their families.

   The government has improved business health and safetyregulations in
   response to the case, Labor Minister SylviaCaceressaid ata news
   conference Thursday. The current system ofone inspection of companies
   per year is being replaced by asmany spot inspections asarenecessary,
   she said.

   "We have to discourage companies that violate laborstandards," Caceres
   said, adding that further measures wereunder consideration.

   Arcos Dorados, which operates McDonald's restaurantsthroughout South
   America and the Caribbean, said last week thatMcDonald's stores in Peru
   would remain closed until it finishedits own investigation into what
   happened.

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