Disgraced Former McDonald’s CEO Gives back $105M

Disgraced Former McDonald's CEO Gives back $105M

(UnitedVoice.com) – A McDonald’s boss fired for inappropriate conduct has handed back a nine-figure sum to the company after it turned out he lied during the disciplinary process.

In November 2019, McDonald’s Corporation terminated its contract with CEO Steve Easterbrook, after he admitted he had a text message relationship with an employee. At the time, Easterbrook said this was the only time it had happened. Easterbrook was terminated without cause, paid 26 weeks’ salary and allowed to keep his stock dividends.

Then, last June, someone sent the company an anonymous tip-off that Easterbrook had also had a relationship with another employee. McDonald’s investigated and says they found evidence of three more relationships. They also found that he had given one of his lovers a significant number of company shares.

Last August, McDonald’s sued Easterbrook for fraud and concealing evidence, arguing that they wouldn’t have terminated him without cause if they’d had all the information at the time.

On December 16, a Delaware state court reached a settlement, and now Easterbrook has been ordered to repay the benefits he kept when he was fired. That includes stock options awarded in 2018 and 2019, plus cash – believed to be his 26 weeks’ severance pay – over $105 million in total.

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