Laid off from McDonald's.

McDonald's U.S. restaurants were 95% franchised at the end of 2025, so most crews answer to a franchisee. The company's own cuts on record hit its offices in April 2023, and its biggest recent WARN filing was a Fresno remodel.

At a glance

What's known about McDonald's severance and layoffs

  • 95% · U.S. restaurants franchised, end of 2025
  • $795 million through June 2026 · Restructuring charges since 2023
  • $96 million · Employee termination benefits, 2023
  • $6 million, then $32 million · Employee termination benefits, 2024 and 2025
  • 7 filings covering 494 jobs, all in California · Filings in our tracker since 2025
  • 105 jobs, Fresno remodel closure, April 2025 · Largest filing since 2025
  • Two weeks of base pay per year of service · Severance formula in the 2016 plan filing
  • On payroll to June 15, then severance, per WSJ · Laid-off U.S. staff, April 2023 round

Recent McDonald's layoffs

McDonald's restructuring charges reach $795 million, with little new termination spending in 2026

In its filing for the six months to June 2026, McDonald's put charges under Accelerating the Organization at $795 million since 2023, $98 million of it in the first half of 2026. Employee termination benefits were $5 million of that, all in the first quarter. The company said it expected about $250 million for 2026, primarily professional services, and anticipated finishing during 2027.

Previous rounds

McDonald's layoff history

Losing a McDonald's job stings, and it's worse when you can't tell who made the call. If you work the grill or the drive-thru, start with the name on your paycheck. McDonald's U.S. segment was 95% franchised at the end of 2025, and the company's own headcount covers corporate roles and the restaurants it operates itself, more than 150,000 people worldwide before the 2023 cuts, about 70% of them outside the U.S. Most crews work for a franchisee, not for McDonald's, so a cut or a closing usually comes from the franchisee. That's how it went in November 2025, when the owner closed downtown Oakland's only McDonald's. McDonald's said the owner had no other locations in the city and the workers could apply to other local stores, and a union organizer said they'd been given ten days' notice.

The corporate side got its warning in January 2023, when McDonald's announced Accelerating the Organization. Chris Kempczinski's message to employees said the company would "evaluate roles and staffing levels in parts of the organization," promised "difficult discussions and decisions ahead," and expected to start communicating them by April 3. The same memo said dropping some initiatives would help McDonald's move faster "while reducing our global costs," and it set up a Global Business Services unit to take in the finance and global people functions first.

That April, McDonald's shut its U.S. offices Monday through Wednesday and notified people virtually. The Wall Street Journal reported hundreds of layoffs reaching the Chicago headquarters, field offices and staff abroad, with some employees offered the chance to stay on reduced pay, titles, bonuses or equity. Restaurant owners were told the field offices would close as underutilized, with the field run under a single national structure. Kempczinski had said in January that he didn't have a set dollar amount or number of jobs in mind, and no company count of the cuts is on record.

The filings show what the program cost. Restructuring charges ran $250 million in 2023, $221 million in 2024 and $226 million in 2025. Employee termination benefits were $96 million of that first year, then $6 million and $32 million, while costs outside termination benefits and contract exits took $214 million and $193 million in the two later years. By June 2026 the total stood at $795 million, and the company said it expected about $250 million for 2026, primarily professional services.

On severance, the one schedule on record is a decade old. A 2016 amendment to the McDonald's Corporation Severance Plan, filed with the SEC, paid two weeks of base pay per year of service in a lump sum, with a floor and a cap for each compensation band. For the 2023 round the reported detail is timing, payroll until June 15 and severance after. Whether the 2016 bands still applied isn't on record, so read the number in your own separation letter, not ours.

The California filings are a different animal. Our WARN filing tracker holds 7 filings covering 494 jobs since the start of 2025, every one in California. The largest, 105 jobs in April 2025, was a southeast Fresno restaurant closing in June for a remodel and reopening about two months later. The state logged an 87-job notice from July 2025, filed by McDonald's Restaurants of California, Inc. for a restaurant on South Vermont Avenue in Los Angeles, as a temporary closure. A California notice has to mark the action permanent or temporary and give the expected first separation date, so those two entries show how the employer classified your restaurant's cut. Where the restaurant had 75 or more employees over the past year, the law covers a closure of any size with 60 days' written notice, and Rapid Response teams offer job search help, training and a walk through unemployment benefits. Headquarters staff in Chicago should start with the Illinois page below.

Reporting on previous McDonald's layoff rounds

What to do after being laid off from McDonald's

  1. File for unemployment in the state where you worked. Benefits run from your filing date, and severance usually doesn't block you. McDonald's's biggest hubs: California, Illinois. Somewhere else? Every state is here.
  2. Apply for financial and hardship assistance. Unemployment supplements income, but food benefits, health coverage and utility help are often available as well. Here's some of what McDonald's's hub states run: California, Illinois, and every other state is here.
  3. Mind the health insurance window. Losing coverage opens a 60-day special enrollment period, and an ACA plan usually beats unsubsidized COBRA. Compare your options before the employer coverage lapses, and read how the COBRA clocks run if you are weighing it seriously.
  4. Get your real runway number. Severance plus savings divided by reality. The calculator takes five minutes.
  5. Know which clocks are already running. Severance review windows, COBRA election, visa grace periods, and 401(k) rollovers all run on federal deadlines that started at termination. All five deadlines are here.

McDonald's layoff and severance questions

Did McDonald's lay off corporate employees in 2023?

Yes. CEO Chris Kempczinski's January 2023 message said roles and staffing levels would be evaluated, and in the first week of April McDonald's closed its U.S. offices for three days and notified people virtually. The Journal reported hundreds of layoffs in the U.S. and abroad. No company count is on record.

What severance did McDonald's give laid-off corporate staff?

For 2023 the reported detail is timing, with laid-off U.S. staff kept on payroll until June 15 and severance after that, per the Wall Street Journal. The one schedule on record, a 2016 plan amendment, paid two weeks of base pay per year of service, from 8 to 20 weeks for associate and coordination bands up to 26 to 52 for officers, plus at least six months of COBRA premiums. Whether it held in 2023 isn't on record.

If my McDonald's closes, am I laid off by McDonald's or the franchisee?

Usually the franchisee. McDonald's U.S. segment was 95% franchised at the end of 2025, and its own headcount covers corporate roles and the restaurants it runs itself. When a franchise owner closed downtown Oakland's only McDonald's in November 2025, McDonald's said workers could apply to other local stores. The name on your paystub tells you which one employs you.

Why did McDonald's file WARN notices in California?

The biggest recent one was a restaurant going dark for a while. That filing, 105 jobs in April 2025, covered a Fresno location closing in June for a remodel and reopening about two months later, and the state typed an 87-job Los Angeles notice from July 2025 as a temporary closure. California's EDD posts its WARN reports for the current and past years.

Is McDonald's still restructuring in 2026?

Its filings say the program ran on into 2026. McDonald's booked $98 million of restructuring charges in the first half of the year, with $5 million of employee termination benefits in the first quarter and none in the second, and said it anticipated finishing during 2027. The only 2026 filing in our tracker covers two jobs.

Where do I file for unemployment after being laid off from McDonald's?

In the state where you worked, not where the company is headquartered. McDonald's's biggest U.S. hubs are California, Illinois. Severance usually doesn't block you from filing, and benefits run from your filing date, so file the same week.

Is it OK to file for unemployment after a layoff at McDonald's?

Yes. Unemployment insurance is funded by payroll taxes employers pay on wages, the claim never appears on credit reports or background checks, and future employers cannot see it. If the hesitation itself is the obstacle, whether filing is OK has its own article.

What happens to my health insurance after a layoff at McDonald's?

Your plan sets the end date rather than the law, so the separation packet is where that date actually lives, and it is often the last day of the month rather than your last day of work. After coverage ends, COBRA lets you keep the identical plan by paying the whole premium yourself, up to 102 percent of what the plan really costs, which lands as several times the payroll deduction you were used to. You get 60 days to elect, counted from the later of coverage ending or the election notice arriving, and electing reaches the coverage back to the day the old plan stopped so no gap exists. How continuation coverage works walks the timing, and whether to take it rather than a marketplace plan is a separate decision.

Should I sign the severance agreement right away?

First pin down how much review time you actually have. If you're 40 or older, federal law gives you 21 days to consider an agreement that waives age claims, 45 in a group layoff, and a waiver signed under a shorter deadline can be invalid. If you're under 40, no federal window applies and the deadline in your packet may be real, so confirm it in writing and ask for more time if you need it. Use whatever window you have to read the release terms, especially non-disparagement and no-lawsuit clauses, and don't stall past a real deadline, because offers can be withdrawn.

Can I collect unemployment if I got severance from McDonald's?

Usually yes, though some states delay benefits until severance pay periods end, and lump sums are treated differently than salary continuation. Check your state's rules on our state benefit pages, and file immediately either way so your claim date is locked in.