Mayor of New York City Eric Adams and other city officials declared on Tuesday that Chipotle had agreed to pay roughly 13,000 workers $20 million in damages for violating their right to regular schedules and paid sick time.
The largest worker protection settlement in New York City history, according to the mayor’s office, and the largest fair workweek settlement in the history of the United States. Additionally, Chipotle will pay $1 million in civil penalties, according to Adams’ office.
According to the mayor’s office, the settlement is the outcome of a city investigation that was started after 160 Chipotle staff members and the 32BJ Service Employees International Union complained about the business.
Chipotle Violated The Law by Failing to Provide Employees With Their Schedules at Least 14 Days in Advance
According to the investigation, Chipotle failed to provide employees with their schedules 14 days in advance, required them to work overtime without getting permission in advance in writing, and prohibited them from using accrued safe and sick leave, among other violations that resulted in overworked workers.
Both the Fair Workweek Law, which went into effect in November 2017, and the Paid Safe and Sick Leave Law, which went into effect in 2014, were broken.
According to the agreement, anyone who held an hourly job at Chipotle in New York City is entitled to $50 for each week they worked between November 26, 2017, and April 30, 2022. The mayor’s office stated that former Chipotle workers must submit a claim in order to receive their payments.
Chipotle is happy to have found a solution, according to Scott Boatwright, the company’s chief restaurant officer.
In order to support our restaurants, we have implemented a number of compliance initiatives, such as more management resources and the addition of new and improved timekeeping technology. We look forward to continuing to support the objectives of predictable scheduling and access to work hours for those who want them, Boatwright said.