California Gov. Gavin Newsom signed a landmark Labor Day bill into law Monday that could boost the state’s minimum wage for fast-food workers to $22 an hour next year, despite loud protests from the restaurant industry.
AB 257, called the Fast Food Accountability and Standards Recovery Act or Fast Act, will create a Fast Food Council comprised of workers’ delegates, employers’ representatives and state officials. Together, the 10-member council will determine pay, hours and working conditions for fast-food restaurants with more than 26 employees throughout California.
“Today’s action gives hardworking fast-food workers a stronger voice and seat at the table to set fair wages and critical health and safety standards across the industry,” Newsom said in a statement. “I’m proud to sign this legislation on Labor Day, when we pay tribute to the workers who keep our state running as we build a stronger, more inclusive economy for all Californians.”
Newsom’s signing was celebrated by advocacy groups Fight for $15 and the Service Employees International Union which called the new law a “historic victory for fast-food workers’ decade-long fight for fair pay and a voice on the job.”
The regulations will apply to California fast-food restaurants that are part of chains with more than 100 units nationwide. The new law is estimated to impact about 150 companies and 19,000 locations, according to Restaurant Business.
Since California’s state legislature approved AB 257 on Aug. 29, the restaurant industry has blasted the measure saying it will increase fast food prices and hurt smaller franchise operators. The National Restaurant Association warns other states, including New York, Illinois, Oregon and Washington, will likely follow.
“The expected higher wage mandates alone could raise costs for California quick-service restaurants by $3 billion and that cost will likely spread to struggling independent restaurants as well,” Sean Kennedy, the NRA’s EVP of public affairs, said in a statement. “At a time when California restaurants are struggling with skyrocketing inflation in food prices and operating costs, this bill will push many owners closer than ever to shutting their doors in their communities.”
The International Franchise Association also slammed the new law warning consumers can expect to pay 20% more for menu items.
“By signing this bill, Gov. Newsom is siding with special interests rather than the people and small businesses of California,” IFA CEO Matthew Haller said in a statement.
“This bill has been built on a lie, and now small business owners, their employees and their customers will have to pay the price,” Haller said. “This bill is a fork in the eye to franchise owners and customers at a time when it hurts most.”
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I cannot figure out WHAT Californians see in this guy, he is as dumb as a door mat. And he has been listening to Nancy Pelosi too long.
I do not recall anywhere in the Constitution the right of governments to control how business are to be run and how much employees have to be paid. Forget Separation of church and state and go directly to separation of government from control of Ameriacn businesses. Hello! when the government controls the means of production you have no great threats to Democracy,,,YOUR HAWE NO DEMOCRACY, but pure unadulterated Fascist SOCIALISM and all the humanistic deprivations that follow it as night follows day.
If Newsom would look about and see all the fast food restaurants already shut down by COVID unable to reopen because the Democrats have already paid fast food workers more in benefits to stay home, perhaps he is determined to put the final nail in their coffin in forcing them to pay in artificially raised wages that which will cause the businesses to raise prices that nobody in their right mind will ever pay for a meal they can make at home fo 500% less.
SINCE THE LEFT cares not what the constitution says, THAT IS WHY they care not, if it gives them this power…
I think Nancy’s rumored to be his aunt. Scary, but believable.
The only way u can counter act his $ 22.00 /hour is to stop going to fast food places, and start learning how to cook at home. Americans, especially Californians don’t cook, they all go out even to the dirtiest, and unsanitary fast food places. Lazy and dumb! No wonder Newsom gives them the run around. He should be fired!
SO SHOULD the voters!
Sounds more like something out of the USSR or the People’s Republic of China than out of “free” California. Is something like this even legal when franchisees are suddenly shanghaied into being instruments of state policy? How about discriminating against too identical owners except one’s franchise is one of 101 and the other 1 of 99?
YOU VILL PAY VHAT VE DEMAND.. Tavorisch…
Yeah, I want to pay $15 plus for a whopper or a big mac and yeah $5 tacos sound good too. I already cut way back on eating this kind of food.
I used to do lots of fast food, when driving. BUT with the sheer costs that most have gone up by, i’ve not ate at one in months.. AND THIS IS NOT LIKELY TO make me go back…
They won’t have to worry about fast-food places paying $22/hr….
Most will either be out of business or 100% automated.
OR just flat out move OUT OF commiefornia!
That is correct! Many will loose their jobs to robots ……looks good on California!
the state of californiastan is stuck on stupid.
Didn’t this fool go to college and take Economics 101 (it was a required course for me). Grewsome’s bill willl destroy jobs and business because it will rase prices. Higher prices = Less business. Eco101 Grewsome.
Might as well make it $100/hr. No food will be in the coolers, restaurant owners won’t be able to pay the huge taxes and people who still have cars won’t be able to afford to buy anything anyway…
Why this guy wasn’t sent running when the recall vote was held is beyond me.
Because the voters out there, are brainless.
The word that comes to mind is RIGGED!
it was rigged..
The bigger the government, the smaller the individual. The smaller the government, the bigger the individual. Unfortunately, there’s too many STUPID people in the Peoples Republic of California that are too short sighted to realize that artificially raising the minimum wages of entry level jobs is bad for business, and for the workers (many will be laid off, or lose jobs because of closures).
If you want to just stay in an entry level job, don’t complain that you get entry level wages. Go to trade school and learn to do a skilled job so you can earn 50 – 100 K/year honestly!