The parent corporation for such fast food icons as Taco Bell, KFC and Pizza Hut faces a class-action lawsuit alleging numerous wage-and-hour violations in California.
YUM! Brands was originally incorporated in North Carolina, but is now headquartered in Lexington, Ky.
Taco Bell workers filed several class actions between 2006 and 2010, each citing specific violations. YUM! asked to have the suits consolidated and the state court has agreed. The lawsuit alleges a variety of violations including “violations of California labor laws including unpaid overtime, failure to timely pay wages on termination, failure to pay accrued vacation wages, failure to pay minimum wage, denial of meal and rest breaks, improper wage statements, unpaid business expenses,, discrimination, conversion or unfair or unlawful business practices in violation of the California Business & Professions Code Section 17200.”
Note: Multiple layers may make for good burritos, but not for lawsuits. The sheer number of allegations rolled into the lawsuit will work against YUM! as the case progresses. Recognizing a need for a wage-and-hour overhaul earlier would have saved the company years of litigation and solved the problems before they became too large to digest.
- How to Fire an Employee the Legal Way: 6 Termination Guidelines
- Warn bosses: Wage violations could mean personal liability--and they would have to pay!
- Construction firm nailed for worker misclassification
- Your best defense against meritless lawsuits: Proof that your processes are fair, transparent
- Court punts on kosher ministerial exception