McDonald’s Claws Back $105m Settlement From Former CEO

McDonald’s has resolved a case in which its former CEO, Steve Easterbook, has agreed to return equity rewards and cash worth more than $105 million.

According to McDonald’s, Easterbrook allegedly hid and lied about sexual connections with three employees.

Easterbrook expressed regret for failing to respect the firm’s ideals and fulfill his obligations.

Easterbook was sacked in November of that year after confessing to having a consensual relationship with one of the company’s employees.

McDonald’s stated at the time that Easterbrook had “violated company rules” and displayed “bad judgment.”

In July 2019, detectives discovered that Easterbrook had sent sexually graphic images of three colleagues to his personal email via his corporate address, thanks to an anonymous tip.

Investigators also discovered texts indicating that he approved a gift of hundreds of thousands of dollars in company stock to one of the workers “shortly after their first sexual contact.”

McDonald’s stated that the photographs and communications were not first discovered because Easterbrook erased them from his phone.

It was alleged that Easterbrook broke his obligation to the company by lying about his behavior when questioned in order to get a larger severance payment, committing fraud.

Easterbrook’s lawyers, on the other hand, termed the action “meritless,” arguing that McDonald’s had information about his contacts on its computer systems at the time it arranged the severance package.

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