Things are already rough for local restaurant owners, our employees and our customers. The Fast Food Council should not make a bad problem even worse.
California Gov. Gavin Newsom signs the fast food bill surrounded by fast food workers at the SEIU Local 721 in Los Angeles, on Thursday, Sept. 28, 2023. Republican leaders in California are calling for an investigation into why a new state law requiring a $20 minimum wage for fast food workers includes an exemption for restaurants like Panera Bread. There has been widespread attention on the state’s new $20/hour fast food workers minimum wage effective April 1.
But now, the climate is too risky for small business owners like me. I’ve turned down opportunities to open more restaurants in California. I’ve had to raise my prices six percent and cut each of my employees’ hours about five hours per week. I used to have up to five employees per shift. Now it’s typically one or two. My wife, daughter and I fill gaps where we can to offset costs.
A recent survey of California franchisees found that a majority said they raised menu prices due to the wage increase, and 73% reduced staff. Additionally, their unadjusted employment data does not account for regular seasonal increases every summer when kids are out of school, tourism is at its peak, people eat out more, and restaurants need extra staff.
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