McDonald’s Ousted CEO Will Get 26 Weeks of Pay
CHICAGO (AP) — McDonald’s ousted CEO Steve Easterbrook will receive 26 weeks of pay but forfeit millions in unvested stock options as part of his severance agreement.
McDonald’s Corp. announced Sunday that Easterbrook was fired for having a consensual relationship with an employee. McDonald’s forbids managers from having romantic relationships with subordinates.
Easterbrook’s 2018 compensation totaled $15.9 million. That included $1.3 million in salary and the rest in stock options and incentive payments.
Under his severance agreement, Easterbrook will be eligible for a prorated incentive payment for the 2019 fiscal year. He can also exercise stock options that have vested or will vest within three years.
At the end of 2018, Easterbrook had unvested options worth $21.8 million.
Easterbrook is also forbidden from working for a competitor for two years.