McDonald’s Pays $26M Settlement After Wage-Theft Lawsuit

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Due to a recent wage theft lawsuit, McDonald’s is paying a $26 million settlement to thousands of their California employees. 

McDonald’s Settles Wage-Theft Lawsuit: 

In accordance with the terms of the wage-theft lawsuit settlement, McDonald’s will pay out $26 million to thousands of their workers. Employees will get checks for as much as $3,900 in lost wages due to violations of labor code. 

McDonald’s Pays California Fast-Food Workers $26 Million: 

McDonald’s agreed to the settlement in November 2019. The $26 million wage-theft lawsuit settlement was approved by a California Supreme Court judge in October 2020 after a year-long battle arguing the wage theft allegations. The original California wage-theft lawsuit claimed the massive fast-food powerhouse failed to pay employees all wages due, failed to give employees legally required meal breaks and rest periods, and failed to provide accurate overtime pay. Eligible California class members will receive checks averaging $333.52. Some class members will receive settlement checks in amounts up to $3,927.91. 

California Class Members for the Class Action Number Roughly 34,000:

There are approximately 34,000 California-based McDonald’s employees at corporate-owned locations in the state that will receive settlement checks as a result of the suit. The original wage-theft lawsuit was filed in 2013. Workers alleged that McDonald’s committed wage theft in numerous ways, but mainly by failing to pay all earned wages when due, failing to give workers required meal breaks and rest periods, failing to pay minimum wage, and failing to pay overtime. 

Additional Terms of the McDonald’s Wage-Theft Lawsuit Settlement: 

In addition to the monetary settlement, McDonald’s agreed to additional requirements included in the terms of the settlement agreement. According to the wage-theft lawsuit settlement, McDonald’s will rework some of their company policies managing and pertaining to overtime, rest breaks, and uniform practices. McDonald’s also agreed to provide training that informs California workers of correct practices.

If you need help with unpaid overtime pay or other California Labor Code violations, get in touch with Blumenthal Nordrehaug Bhowmik DeBlouw LLP today. Experienced employment law attorneys are ready to assist you in any one of various law firm offices located in San Diego, San Francisco, Sacramento, Los Angeles, Riverside, and Chicago.