McDonald's hit by worker lawsuits claiming it steals wages
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[March 14, 2014]
By Phil Wahba
(Reuters) — McDonald's Corp workers in three U.S. states filed
lawsuits this week against the fast-food chain, alleging it is
stealing wages by forcing them to work off the clock, by cheating
them out of overtime and by denying them rest breaks.
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The seven suits were announced on Thursday by the employees' lawyers
and were filed Wednesday and Thursday in New York, California and
Michigan.
McDonald's spokeswoman Heidi Barker Sa Shekhem said the company is
reviewing the allegations in the suits.
"McDonald's and our independent franchisees are committed to
undertaking a comprehensive investigation of the allegations and
will take any necessary actions as they apply to our respective
organizations," Barker Sa Shekhem said in a statement.
In Michigan, two lawsuits were filed against McDonald's and two
Detroit-area franchise owners by workers claiming they were told to
come to work, only to be told to wait without pay until there were
enough customers in the restaurant.
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In three lawsuits brought in California, the workers claim they were
not paid for all hours worked, were cheated out of overtime
payments, and were not allowed to take meal and rest breaks they
were legally entitled to.
In New York, a suit filed in federal court by several McDonald's
workers said they were not reimbursed for the time and cost of
cleaning their uniforms.
"These are the workers whom McDonald's is deliberately and
systematically denying pay," Joseph Sellers, co-counsel in the
lawsuits filed in California and New York, said on a media call.
"These suits have been filed to stop the widespread wage theft."
The lawyers are seeking class-action status in some of the suits
against McDonald's, saying employees were afraid to file the suits
individually for fear of reprisals.
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Five of the lawsuits are aimed at restaurant franchisees as well as
the company. McDonald's owns 10 percent of its restaurants.
McDonald's has reported nearly two years of turbulent sales at
established U.S. restaurants amid sluggish economic growth,
increased competition and internal missteps that have complicated
its menus and slowed service.
U.S. sales at McDonald's restaurants open at least 13 months fell
0.2 percent last year.
McDonald's shares were down 1.2 percent at $97.48 on Thursday
afternoon.
(Reporting by Phil Wahba in New York;
editing by Bernadette Baum and Peter Galloway)
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