Workers File Lawsuit Against McDonald’s Corporation (MCD)

On Thursday, workers from three states filed lawsuits against fast-food giant McDonald’s Corporation (MCD).

Filing in California, Michigan, and New York, workers are accusing McDonald’s in engaging in a variety of practices to avoid paying employees what they are owed. Some of the violations include the use of software that monitors the ratio of labor costs as a percentage of revenue. Lawyers noted that the class action lawsuits could affect roughly 30,000 workers; the suits seek back pay and other damages [see also A Brief History of JP Morgan's Massive Fines (JPM)].

Commenting on the allegations, a McDonald’s franchise in Oak Brook, Illinois stated that they will be investigating the matter; “McDonald’s and our independent owner-operators share a concern and commitment to the well-being and fair treatment of all people who work in McDonald’s restaurants.”

McDonald’s shares fell 1.38% during Thursday’s session. Year-to-date, the stock is up 2.39%.