McDonald’s Reclaims Money from Former CEO

The company reclaimed over $100 million from Steve Easterbrook.

The company reclaimed over $100 million from Steve Easterbrook.

Back in 2019, McDonald’s CEO Steve Easterbrook was terminated from his position after engaging with in illicit relationships with his employees. When Easterbrook was terminated, he left the company with a sizable severance package, totaling $105 million in cash and stock options. The following year, McDonald’s launched a lawsuit against Easterbrook on the grounds that he lied about his relations with his employees, and also engaged in “misconduct, lies, and efforts to impede investigations into his actions.”

Today, that lawsuit came to a conclusion with the ultimate result being Easterbrook surrendering his entire severance package. The entirety of the package, both cash and stock, has been returned to McDonald’s possession.

“This settlement holds Steve Easterbrook accountable for his clear misconduct, including the way in which he exploited his position as CEO,” Enrique Hernandez, Jr., the chairman of McDonald’s board of directors, said in the filing. “The resolution avoids a protracted court process and allows us to move forward.”

Following the settlement, Easterbrook issued a formal apology to the McDonald’s board and his former coworkers, saying that he “failed at times to uphold McDonald’s values and fulfill certain of my responsibilities as a leader of the company.”