A worker at a McDonald’s Corporation (NYSE:MCD) restaurant in Pennsylvania has filed a lawsuit against the owner of the franchise location she worked at. She claims that the owner required her to be paid via a debit card which charged fees. As a result, certain hourly employees were paid less than minimum wage, according to the suit.
Details On The Suit Against The McDonald’s Franchise
ABC News’ Susanne Kim reports that Natalie Gunshannon claims she and other workers at the McDonald’s Corporation (NYSE:MCD)franchise received their wages through a JPMorgan Chase Payroll Card. The card apparently charges $1.50 for withdrawals from an ATM, $10 for cards that are inactive after three months and a 75 cent fee per online payment, as well as other fees.
Gunshannon is reportedly seeking to have her case classified as a class action lawsuit so that it will cover the other workers who were also paid via the debit card. Her lawyer says workers are entitled to choose whether they want to be paid in a check or cash. He says the fees connected with the debit card essentially add up to employees having to pay in order to receive their paychecks.
The McDonald’s Franchisees
She claims to have asked the McDonald’s Corporation (NYSE:MCD) franchisees if she could be paid through direct deposit. Gunshannon also said she requested a paper check from the franchisees, but she claims a manager said that if she didn’t activate the card, there wouldn’t be a way for them to pay her. The complaint states that managers and assistant managers are allowed to receive their paychecks through direct deposit if they choose, but hourly workers are not allowed to do the same.
The suit she filed is under the Pennsylvania Wage Payment and Collection Act, and it alleges unjust enrichment. The franchisees who face the lawsuit are Albert and Carol Mueller. They told ABC News that they had not seen a copy of the suit, so they were unable to make any comments on it.
A Consumers Union attorney said some employers push their employees to use payroll cards so that they can cut the costs associated with distributing paychecks. However, she said sometimes they don’t enter into negotiations with the card provider in relation with the fees that are charged.