McDonald's CEO Resigns Following Policy Violation
On Sunday (3/10), McDonald’s CEO and president, Steve Easterbrook, was terminated by the board after they stated that Easterbrook had breached the company's regulation. McDonald confirmed that Steve Easterbrook, who was the CEO of McDonald's, embroiled in a consensual relationship with an employee. On Monday, McDonald confirmed that the Chief People Officer of McDonald, David Fairhurst also departed the company after this incident happened.
The position of the new president of McDonald's will temporarily be replaced by Mason Smoot who was Easterbrook’s former chief before it will officially be taken over by kempczinski, the former president of McDonald’s USA. Kempczinski had participated as the decision-maker that fueled the company’s turnaround, he is the legacy of Easterbrook since Kempczinski joined McDonald’s in 2015. He stated that he is energized by this challenge and ready to guides McDonald to success. Easterbrook has expressed his regrets through an email, “As for my departure, I engage in a recent consensual relationship with an employee, which violated McDonald’s policy”, Easterbrook wrote. “This was a mistake. Given the values of the company, I agree with the board that it is time for me to move on. Beyond this, I hope you can respect my desire to maintain my privacy.”
Easterbrook also said that his time as CEO has been the most fulfilling years of his working life. Even though he already did a disgraceful action, but previously, he was applauded after bringing McDonald's into a period of growth. He was taking over when sales were plummeting and the stock was underperforming compared to the market. The company’s stocks more or less doubled and the sales were flourishing over the course of Easterbrook’s four-year of incumbency. Easterbrook’s uncertainty leaving drove the stock of McDonald's experiences shrinkage about 3% on Monday.
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