The world's highest-grossing fast food chain will be sharing a little more of its revenue with its workers, as the company revealed plans to raise wages at its restaurants across the US. McDonald's announced Wednesday that it will increase starting wages for full- and part-time employees to a dollar over the minimum wage where company-owned restaurants operate. The company said the increase will be instituted starting July 1. It expects the average wage to be more than $10 an hour by the end of 2016, up from the current rate of $9 an hour. Fattening paychecks: McDonald's announced Wednesday that it will raise starting wages at its restaurants to a dollar over minimum wage beginning July 1 . McDonald's USA owns about 10 percent of the more than 14,300 McDonald's restaurants across the country, with the rest operated as franchises that will not be subject to the pay increases. The burger brand joins other large corporations raising basic pay against a backdrop of an improving economy and public pressure to increase wages. Workers at fast food chains, including McDonald's, staged protests last year, asking companies to raise wages to $15 an hour and demanding a union. Complaints in front of the National Labor Relations Board and the US Occupational Safety and Health Administration have also alleged violations including denial of overtime pay and unsafe working conditions at the restaurant chain. Meanwhile, the economy has continued to strengthen, with the unemployment rate falling from 6.7 percent to 5.5 percent over the last year. McDonald's USA President Mike Andres told the Associated Press that only a handful of McDonald's employees joined the demonstrations and that they didn't affect the company's reputation. Demonstrations: Labor organizers with a campaign to raise fast food industry wages to $15 an hour say they are fighting to unionize low-wage workers across various sectors . 'They're not taking a toll,' Andres claimed. 'It's a very competitive environment,' Andres stated. 'A significant rationale for this plan is that we want to be the most competitive and attractive employer.' Last month, McDonald's Chief Administrative Officer Pete Bensen hinted such an announcement could be in the works. Bensen said at the time that a big part of the turnaround effort in the U.S. would be what the company is doing 'around the employment image and our employee-employer relationship.' In addition to wage increases, McDonald's says workers at company-owned stores will get paid time off. Employees who have worked for the company for at least a year and work an average of 20 hours a week will be eligible to accrue about 20 hours of paid time off a year. Workers who don't take the time off will be paid for the value of that time, McDonald's said. Kwanza Brooks, a McDonald's worker in North Carolina, called the move 'too little to make a real difference.' 'Raising wages only a little for only a small fraction isn't change. It's a pure stunt,' she said in a conference call set up by labor organizers. McDonald's US business has been struggling, with sales and customers counts at established locations falling two years in a row. In January, the company named Steve Easterbrook, its chief brand officer, as its new CEO. That change took effect last month. 'We know that a motivated workforce leads to better customer service so we believe this initial step not only benefits our employees, it will improve the McDonald's restaurant experience,' Easterbrook said in a statement Wednesday. McDonald's also said it is expanding benefits to help workers at company- and franchise-owned restaurants complete high school and college. It did not immediately provide details on that program.
The fast food chain will pay a dollar over minimum wage at its company-owned restaurants .
The pay hike will not affect franchise restaurants, which account for 90 percent of McDonald's locations .
The company was targeted in protests last year, with fast food workers demonstrating for a union and a $15 an hour wage .