March 23 (Reuters) - A Taco Bell and Dunkin franchisee

has agreed to pay more than $1.5 million to settle claims by New

York City that its managers at two dozen restaurants violated a

local law requiring fast food businesses to give workers advance

notice of their schedules and other protections, Mayor Zohran

Mamdani's office said on Monday.

Mamdani, who took office in January, campaigned in part on

strengthening enforcement of worker protection laws.

Salz Management LLC, according to the city's Department of

Consumer and Worker Protection, routinely failed to give workers

sufficient notice of their schedules, pay extra wages for

"clopening" shifts that require workers to close a store one

night and open it the next morning, and offer available shifts

to existing workers before hiring new ones, among other claims.

The city also announced on Monday it is filing suit against

another Dunkin franchisee, QSR Management LLC and its managing

corporate officer Ronny Nader, on allegations that the business

violated New York City scheduling laws for roughly 1,000 workers

at 21 Dunkin stores in Staten Island. The same franchisee was

required by the city in 2022 to pay relief to more than 100

workers.

Neither franchisee responded to a request for comment by

publication time.

In December, New York City announced that Starbucks ( SBUX ) would pay

$38.9 million to settle claims it violated the city's scheduling

law. The office of then-mayor Eric Adams said it was the largest

settlement involving worker protection in the city's history.

On the day the Starbucks ( SBUX ) settlement was announced, Mamdani

praised the agreement at a press conference he held alongside

Senator Bernie Sanders at a picket of striking Starbucks ( SBUX )

workers.

Yum Brands ( YUM ) and Inspire Brands, parent companies for Taco

Bell and Dunkin respectively, did not respond to a request for

comment.

New York City was one of the first in the U.S. to limit

"on-call scheduling," a practice in which retail, fast food and

other service businesses call workers in or cancel shifts with

little notice. Oregon has adopted a similar law, along with Los

Angeles, Chicago, San Francisco and several other U.S. cities.

In 2025, the city opened 57 investigations against fast food

employers for possible violations of the scheduling law,

according to public metrics.

Business groups have criticized the laws, saying they are

unworkable and can lead businesses to cut jobs.