McDonald’s Corp. Board Sued for Allegedly Covering Up “Rampant” Sexual Misconduct
A pension fund sued members of the McDonald’s Corp. board in Delaware, claiming they gave its ex-CEO millions in severance pay—instead of firing him outright over workplace affairs—in an effort to cover up the board’s “indifferent approach” to “rampant sexual harassment.”
The “decision to conduct a barebones investigation” into former chief Stephen J. Easterbrook and let him walk away with $56 million “can only be explained by the board’s desire to protect itself at the company’s expense,” according to the complaint made public Wednesday in Delaware Chancery Court.
But “the board’s indifference to C-suite sexual misconduct is just the tip of the iceberg,” the lawsuit says. “Beginning in at least 2015, McDonald’s has faced wave after wave of lawsuits, allegations, and investigations into rampant sexual misconduct, harassment, and discrimination at its restaurants.”
