The California-based fast-food chain repeatedly violated labour legal guidelines governing sick depart and scheduling, New York City investigators declare.
Chipotle Mexican Grill can pay $20m to present and former employees at its New York City eating places for violating metropolis labour legal guidelines, Mayor Eric Adams introduced Tuesday.
According to investigators, Chipotle’s violations of town’s Fair Workweek regulation included failing to put up work schedules 14 days in advance, pay a premium for schedule modifications and supply out there shifts to present staff earlier than hiring new staff.
The settlement between town and the California-based fast-food chain covers about 13,000 staff who labored on the chain’s New York City retailers between 2017 and this yr. It is the results of an investigation by town’s Department of Consumer and Worker Protection into complaints filed by 160 Chipotle employees and Local 32BJ of the Service Employees International Union, metropolis officers mentioned.
“Today’s settlement with Chipotle is not only a victory for workers by securing up to $20m in relief for approximately 13,000 workers, but also sends a strong message, as the largest worker protection settlement in New York City history, that we won’t stand by when workers’ rights are violated,” Adams, a Democrat, mentioned in a press release.
Under the settlement, any hourly New York City Chipotle employee is eligible to obtain $50 for every week labored between November 26, 2017, and April 30, 2022. Chipotle can even pay $1m in civil penalties to town.
“We’re pleased to be able to resolve these issues and believe this settlement demonstrates Chipotle’s commitment to providing opportunities for all of our team members while also complying with the Fair Workweek law”, Scott Boatwright, Chipotle’s chief restaurant officer, mentioned in a press release.
Boatwright mentioned the corporate has taken steps to enhance compliance via measures corresponding to improved time-keeping know-how and appears ahead to “continuing to promote the goals of predictable scheduling and access to work hours for those who want them”.