McDonald's $6.5M CA Labor Law Class Action Settlement

If you were employed by McDonald's Restaurants of California, Inc. in an hourly, non-exempt position between June 2, 2020, and May 7, 2024, you may be eligible to claim an award from a class action settlement.

McDonald's Restaurants of California, Inc. has agreed to pay $6,500,500 to settle a class action lawsuit for alleged violations of California labor laws, including failure to pay wages, provide meal periods and rest breaks, and reimburse business-related expenses.

Who is eligible to receive a payout?

To be considered eligible for a settlement payment, you:

• were employed by McDonald's Restaurants of California, Inc.
• in California
• in an hourly, non-exempt position
• worked at least one day from June 2, 2020, to May 7, 2024
• For PAGA claims, you must have worked during the "PAGA period" from December 13, 2021, to May 7, 2024

Class members do not need to file a claim to receive their award. If you do not opt-out, you will automatically be considered a part of the settlement class and eligible for compensation.

How much are the McDonalds Settlement payouts?

The settlement provides for individual Class Settlement Awards and PAGA Settlement Awards. The exact amount each class member will receive depends on the number of workweeks worked during the class period.

The Net Settlement will be distributed based on the total number of workweeks worked by all class members. For example, if the Net Settlement is $4,000,000 and the total workweeks are 100,000, each workweek would be worth $40. If you worked 50 workweeks, your award would be $2,000.

• Class Settlement Award: Based on workweeks worked during the class period.
• PAGA Settlement Award: Based on pay periods worked during the PAGA period.

How to get a payout

Class members do not need to take any action to receive their compensation. The settlement administrator will automatically send checks to eligible class members at their last known address.

$6.5 Million settlement fund

The settlement fund of $6,500,500 will cover various costs and payments:

• Settlement administration costs: Up to $76,500
• Attorneys' fees: Up to $2,166,666.66 (33% of the settlement fund)
• Attorneys' expenses: Up to $25,000
• Service awards to class representatives: Up to $10,000
• Payments to class members: The remaining amount after deductions

Important dates

Final Approval Hearing: March 13, 2025

When is the McDonald's Restaurants settlement payout date?

The next steps include attending the final approval hearing on March 13, 2025. If the court grants final approval, the settlement administrator will distribute the awards to eligible class members.

Why is there a class action settlement?

The lawsuit was filed due to alleged violations of California labor laws by McDonald's Restaurants of California, Inc., including failure to pay wages and provide required breaks. The parties agreed to settle to avoid the costs and uncertainties of continued litigation.