McNib Corp. agrees to $2.4 million settlement over wage claims

McNib Corp., a California franchise operator of McDonald’s restaurants, agreed to a $2.4 million settlement to resolve wage-and-hour claims alleging failures to pay overtime and minimum wages, untimely final wages, unreimbursed business expenses, missed meal and rest breaks, and inaccurate wage statements for nonexempt employees.

The settlement, updated on the administrator’s public case page on January 10, 2026, covers a class of current and former nonexempt employees whose employment records are already in the hands of the settlement administrator, ILYM Group. Because the administrator has payroll and timekeeping records, most class members generally do not need to submit a claim to receive payment. The case notice and settlement documents are available at claimdepot.com/settlements/mcnib-corporation, where administrators list deadlines and procedures for challenging credited workweeks or raising other specific issues.

For workers, the practical effect is a likely payment without filing paperwork in many cases. That reduces friction for employees who were shorted wages or missed meal and rest periods, but it does not replace the value of checking your pay history. Employees who believe time worked was not credited properly, who question how their settlement share was calculated, or who missed the automatic distribution window still have options: the settlement administrator has posted procedures and deadlines for submitting disputes and must be contacted within the specified timeframes listed in the case notice.

The agreement highlights common friction points in hourly fast-food operations: overtime calculation, timely final wage payments after separation, reimbursement for necessary work expenses, and accurate wage statements. These issues affect take-home pay, unemployment filings, tax reporting, and workplace trust. For franchise employees, the resolution underscores that payroll mistakes or policy lapses at the franchise level can trigger costly litigation and regulatory scrutiny even when operating under a national brand.

For managers and franchise operators, the settlement serves as a reminder to audit payroll systems, meal and rest break policies, expense reimbursement practices, and wage statement accuracy. For workers, it is a prompting to keep copies of schedules, time records, pay stubs, and any expense receipts that could be needed to challenge credited hours or verify settlement calculations.

The takeaway? Check the case page at the link above for your specific deadline or dispute procedure, verify your pay stubs against your remembered hours, and keep your records handy. Our two cents? If something on your paystub looks off, document it now—small records save headaches later.