McDonald’s Faces New Boycott Amid Growing Economic Activism: What’s Behind the “Economic Blackout” Campaign?

A Grassroots Movement Targets Fast Food Giant Over Corporate Accountability and Rising Prices

McDonald’s is under fire as part of a new wave of grassroots economic activism. A campaign led by The People’s Union USA, headed by activist John Schwarz, has launched a week-long boycott of the fast food chain, calling on consumers to abstain from McDonald’s from Tuesday through next Monday.

The movement, known as the “economic blackout”, is pushing for broad corporate reform, citing demands such as fair taxation, an end to price gouging, stronger commitments to equality, and greater accountability from major corporations.
“This is a show of strength, solidarity, and people-powered change,” Schwarz stated in a recent Instagram post. “Let them feel it. Let them hear us.”

Who Is Behind the Boycott? Understanding The People’s Union USA

The People’s Union USA is a self-described grassroots movement focused on driving economic resistance, corporate reform, and government accountability. Founded and led by activist John Schwarz, the group positions itself as a voice for working- and middle-class Americans who feel left behind by rising corporate profits, inflation, and widening inequality. According to its official website, the organization’s mission is to mobilize everyday citizens against systemic corruption and corporate greed, using organized boycotts and public pressure as tools for change. While still relatively new and loosely structured, the group has gained attention through bold campaigns aimed at major corporations, leveraging social media to spread its message and rally support.

Why McDonald’s? Timing and Consumer Sentiment

The boycott comes at a particularly sensitive moment for McDonald’s, which is already grappling with declining sales for the second straight quarter. Amid ongoing economic uncertainty, many lower- and middle-income consumers have begun to cut back on discretionary spending — including fast food.

One of the biggest criticisms has been McDonald’s rising prices. According to recent estimates, the average cost of menu items has surged around 40% since 2019. The company attributes these increases to rising operational costs, including food, labor, and transportation.

These shifts have hurt McDonald’s value image among price-sensitive customers — a segment that once formed the core of its customer base.

The Broader Boycott Strategy: Can It Make an Impact?

This isn’t the first time The People’s Union has targeted a corporate giant. Earlier in 2024, Schwarz led calls for economic boycotts of Walmart, Target, and Amazon, citing a combination of rising costs and backlash against the companies’ retreat from diversity, equity, and inclusion (DEI) efforts.

While these efforts drew significant media attention, their financial impact was minimal. For example, Amazon’s earnings during the targeted boycott period exceeded expectations, indicating that the campaign had limited influence on its performance.

Still, Schwarz’s movement has sparked important conversations about corporate social responsibility and consumer power. His group describes itself as “a grassroots movement dedicated to economic resistance, government accountability, and corporate reform.”

The DEI Debate: A Catalyst for Economic Pushback

Part of the frustration directed at McDonald’s stems from changes in its approach to diversity and inclusion. In January, the company abandoned several DEI-related goals, including DEI requirements for suppliers, and withdrew from external corporate diversity rankings. It also rebranded its internal diversity team, following trends seen at other large corporations.

These decisions came amid shifting national sentiment, influenced by political developments — such as the Supreme Court’s affirmative action ruling and a broader conservative backlash against corporate DEI initiatives. Companies like Ford, Harley-Davidson, and John Deere have similarly scaled back such programs in recent months.

This political and cultural shift has added fuel to boycott movements, especially among groups like Schwarz’s that view corporate pullbacks on social issues as a betrayal of public commitments.

Can the Economic Blackout Succeed?

Experts remain skeptical. While the “economic blackout” has symbolic power, it lacks the organization and scale of more coordinated efforts. Analysts argue that without clear demands, consistent messaging, and mass participation, such campaigns struggle to gain meaningful traction.

That said, not all boycotts fall flat. A separate 40-day boycott of Target, led by megachurch pastor Rev. Jamal Bryant, coincided with a noticeable decline in sales — a drop the company acknowledged was influenced by consumer backlash over its retreat from DEI.

So while McDonald’s may not see an immediate financial hit, the reputational effects of these campaigns — especially when linked to price criticism and equity issues — could accumulate over time.

Final Thoughts: What This Means for Consumers and Corporations

The McDonald’s boycott highlights a growing trend of consumer activism aimed at holding companies accountable not just for prices, but for their values. In an era where consumers are increasingly aware of corporate policies, brand loyalty is no longer guaranteed.

Whether or not this specific boycott changes McDonald’s direction, it sends a clear message: consumers are watching — and ready to act.