McDonald’s Hit with Seven Minimum Wage Class Action Lawsuits

Fast food workers across the country are rallying together in support of a class action lawsuit filed against McDonald’s, which is facing allegations from its employees across the country, accusing the corporation of stealing wages from minimum-wage employees.

McDonald’s has been accused of running a systematic wage theft scheme, which has been named in seven class action lawsuits — two from Michigan, one from New York, and four in California.  All seven of these lawsuits name the McDonald’s Corporation as the defendant, and five of them have also named the franchises that own and operate McDonald’s locations.

Approximately 90 percent of all McDonald’s locations in the United States are controlled by franchises, which has provided the corporation a protective field against management operations.

However, the McDonald’s class action lawsuits target the computer system the company installs in all of its locations, to monitor labor costs. Former employees explain that managers use this system to find the “labor number,” which shows how much each franchise spends on wages for employees compared to how much money is being made.

According to the plaintiffs’ legal team, the computer system McDonalds uses is primary proof of the wage and hour violations, because it shows that the corporation was using a systematic system to monitor how much each person was making on minimum wage verses actual profit being made.

They allege that this system was not being used to insure that the workers were being paid adequately. Additionally, managers and executives used this system to keep employees from being paid for all of their wages, which directly violates federal minimum wage and hour requirements.

Overview of the McDonald’s Class Action Lawsuit

Evidence shows that when labor reached a certain percentage, the franchises actually electronically took people off the clock to get the cost of labor lower. However, once the profit was adequate, they would put the employees back on the clock.

Legal experts who have commented on the case have stated that wage theft is quite common in low-wage occupations such as McDonalds, and are difficult to enforce due to the large regulation demand.

The McDonald’s minimum wage class action lawsuits were formally announced this past Thursday by the plaintiffs’ legal team, and the organizers of the union movement which is trying to raise the nation’s fast-food wages to at least $15.00 per hour.

The two class action lawsuits filed in Michigan accused the company of making them show up for work on time, but then ordered them to wait an hour or two without pay until more customers arrived.

In the McDonald’s class action lawsuits in California, the workers claimed that the McDonald’s they worked at did not pay them for all hours worked, and even shaved hours they worked from pay records in addition to denying them meal periods and rest breaks.

McDonald’s spokesmen stated that their collective franchises share the same concern and commitment to the welfare and treatment of their employees, and that the corporation is currently reviewing the allegations from the wage-and-hour class action lawsuits.

“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,” said the spokeswoman.

Legal experts contend that McDonald’s should consider a joint employer and share liability with its franchisees, to run a more efficient wage and hour system. McDonalds has argued that it has not been traditionally a joint-employer, and should not be liable for its franchises’ mistakes, on the ground that franchises are independently run businesses.

Wage-and-hour class action lawsuits have become more frequent throughout restaurant locations, making legal experts believe that there is more to come.

File a Restaurant Wage-and-Hour Class Action Lawsuit Today

If you or someone you know was the victim of a Restaurant Wage-and-hour violation, you have legal options.  Please visit the Wage Hour Unpaid Overtime Class Action Lawsuit Investigation.  There, you can submit your claim for a free legal review and if it qualifies for legal action, a seasoned Restaurant Wage-and-Hour lawyer will contact you for a free, no-obligation consultation. You will be guided through the litigation process at no out-of-pocket expenses or hidden fees. The Wage-and-Hour attorneys working this investigation do not get paid until you do.