In 2019, McDonald’s Corporation fired its CEO Steve Easterbrook after it learned he had an inappropriate relationship with a subordinate employee. The relationship came to light when the subordinate employee reported that she engaged in a consensual relationship with Easterbrook that involved explicit text messages and photographs, but no physical contact. Naturally, McDonald’s investigated the
Recent SEC Case Highlights Government Scrutiny of Severance Agreements
By Joel R. Hlavaty on
Posted in EEOC, NLRB, Severance Agreements
On August 10, 2016, the Securities and Exchange Commission issued a cease and desist order against BlueLinx Holdings, Inc. that further demonstrates the scrutiny of various federal agencies with respect to severance agreements.
In BlueLinx, the SEC found a provision in a severance agreement that restricted employees from providing information to the SEC without company…