Workers Hit McDonald’s With Wage Theft Suits

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By Paul Ausick Updated Published
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Workers in three states have filed class-action lawsuits against McDonald’s Corp. (NYSE: MCD) and several franchise owners alleging that they ordered employees to work off-the-clock, failed to pay for worked overtime and underpaid employees by removing hours from workers timecards. The suits were filed in California, Michigan and New York.

In three California lawsuits, McDonald’s workers say that the company and its franchise owners did not pay them for all time worked, failed to pay correct overtime amounts, altered pay records and deprived them of meal and rest breaks. In two Michigan suits, plaintiffs alleged that the company and two Detroit-area franchisees regularly forced workers to show up for work at a specific time but then to wait without pay until customers show up.

The New York lawsuit seeks redress for McDonald’s failures to reimburse workers for the time and cost of cleaning their uniforms.

In an unattributed press release from BerlinRosen, Catherine Ruckelshaus, general counsel at the National Employment Law Project said:

Hidden from view among salaried workers, wage theft is a scourge that eats away at the livelihoods of already-underpaid hourly workers. As these cases show, it’s a persistent problem in too many low-wage industries like fast food, which is why the US Department of Labor has named restaurants and fast food as one of its priority industries for strategic enforcement. McDonald’s requires its workers to work off-the-clock, show up for work without consistent shifts, and deducts expenses from their already-meager pay, chiseling wages while earning billions in profits. These violations can run into the millions of dollars quite quickly, and as one of the largest low-wage employers in the country, McDonalds should be setting standards, not undermining them.

Fast-food workers have been demonstrating against McDonald’s and other fast-food restaurants, seeking a wage increase to $15 an hour. According to The New York Times, the push for a $15-an-hour wage is being financed largely by the Service Employees International Union.

Photo of Paul Ausick
About the Author Paul Ausick →

Paul Ausick has been writing for a673b.bigscoots-temp.com for more than a decade. He has written extensively on investing in the energy, defense, and technology sectors. In a previous life, he wrote technical documentation and managed a marketing communications group in Silicon Valley.

He has a bachelor's degree in English from the University of Chicago and now lives in Montana, where he fishes for trout in the summer and stays inside during the winter.

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