New York: Former CEO of McDonald’s Steve Easterbrook has repayed more than $ 105 million in an equity award and cash to a giant burger after learning that he had lied about the extent of his mistakes when he was the top executive.
“During my term as CEO, I sometimes fail to uphold McDonald’s values and fulfill my responsibilities as company leaders,” said Easterbrook in a statement prepared released by McDonald’s by McDonald’s.
“I apologize to my former colleague, board and supplier of companies and suppliers to do so.” McDonald’s Fired Easterbrook at the end of 2019 after he admitted exchanging videos and text messages in non-physical relationships, consensual with an employee.
At the time of his shot, Easterbrook told the company there were no other similar examples and their cellphone inspections seem to support it.
The McDonald’s Council approved the “without cause” separation agreement that allowed Easterbrook to keep tens of millions in stock-based benefits and other compensation.
Then, in July 2020, the company received an anonymous tip from an employee who claimed that Easterbrook had been involved in sexual relations with other employees.
After the investigation, McDonald’s confirmed the relationship and two other physical, sexual relations with employees in the year before firing the peak executive.
The company said Easterbrook had erased evidence of the relationship from his phone.
The McDonald’s Council sued Easterbrook in August 2020, said it would not stop it for no reason if it was already knowing the extent of the mistake.
The company is looking for a reward of equity awards given in 2018 and 2019, because the Easterbrook separation agreement explains that it will lose them if the company decides that it has been involved in “harmful behavior.” Settlement announced Thursday holding Easterbrook’s accountability and confirmed the council’s decision to pursue this case, Chairman of McDonald’s Enrique Hernandez Jr.
said in a statement prepared.
“This resolution avoids a protracted court process and allows us to move forward,” Hernandez said.
The action against Easterbrook came amid a larger calculation in the company for sexual harassment in its ranks.
Over the past five years, at least 50 workers have submitted charges against the company, accusing physical and verbal harassment and, in some cases, retaliation when they advance.
In October 2019 – a month before Easterbrook was fired – McDonald’s introduced a new harassment training program for 850,000 US employees, but the franchise was not required to provide it.
McDonald’s stepping further this spring, said it would mandate worker training to combat harassment, discrimination and violence in the next restaurants.
Training will be needed for 2 million workers in 39,000 stores worldwide.
Oousted CEO McDonald’s returned $ 105 million after a violation
