In speaking with CNBC, Joe Erlinger, the U.S. president of McDonald's, stated that the company wanted to "represent the diverse communities we serve."
"We've been thinking a lot about how we can continue to attract and retain the industry's best owner/operators who represent the diverse communities we serve," he wrote.
McDonald's did not respond to Insider's request for comment on the memo's contents right away.
The fast-food corporation has previously been chastised for its treatment of franchised locations.
Last year, a black McDonald's franchisee with 14 stores in the United States filed a lawsuit against the company, accusing it of racial discrimination.
According to Insider's Kate Duffy, Herbert Washington claimed that the chain "steered" him and other black franchise restaurant owners to locations in poorer neighborhoods where they made less profit.
A little more than a year ago, 52 Black former McDonald's franchisees filed a complaint accusing the company of "systematic and covert racial discrimination."
According to the company's website, McDonald's has over 38,000 locations in approximately 100 countries. In the United States, there are 13,000 franchised locations.
The fast-food company has previously announced diversity initiatives, such as changes to the hiring process and the appointment of a new chief diversity officer.
The company also committed $250 million in December 2021 to help franchisees from diverse backgrounds grow their businesses, according to USA Today.
According to the Wall Street Journal, the new franchise plans will also require franchisees to go through a rigorous review every 20 years to determine whether or not they can keep their franchises.
"This change is consistent with the principle that receiving a new franchise term is earned, not given," the Journal reported in an email to franchisees.
Whereas previously, family of franchisees would have been prioritized for open positions, all potential future candidates will be assessed using the same criteria beginning in 2023, according to CNBC.