McDonald’s CEO Fired Because He Had Relationship with Employee

AAATrade
AAATrade
Nov 6 · 2 min read

McDonald’s chief executive Steve Easterbrook has fired because he had a relationship with an employee, even if the relationship was consensual.

The board of McDonald’s reached this decision on Friday. McDonald’s said that Chris Kempczinski, the U.S. president of McDonald’s, will replace Eastwood.

“This was a mistake,” Easterbrook wrote in an email to employees. “Given the values of the company, I agree with the board that it is time for me to move on.”

“I am excited to take the reins of this incredible company and grateful for the Board’s confidence in me,” Kempczinski wrote in an email to employees.

Steve Easterbrook became the CEO of the company in 2015. Since he took over in 2015, the shares of the company grew 96% to $193.94. However, it wasn’t the first time that Easterbrook worked for the company. In 1993, he had in the position of manager in London.

After McDonald’s announcement, the shares of the company declined by 2% on Monday. On the other hand, the shares of Wendy’s, which is competitor of the company, increased by 1.8%.

TIG analyst Peter Saleh said, “We are definitely surprised by the news and view Mr. Easterbrook’s departure as a loss but also believe the company’s strategy is on very solid footing and the McDonald’s system is much more than just one man”.

Not only Easterbrook, but also McDonald’s global Chief Marketing Officer Silvia Lagnado and Chief Communications Officer Robert Gibbs left McDonald’s last month.

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Last updated: 06 November 2019.

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