Posts tagged AB 1228
How McDonald’s, Chipotle, Starbucks are preparing for the fast-food worker battles to come in 2024
January 4, 2024 // “Anyone looking at this in the industry, now that emotion has been removed from the negotiation, sees this as the least bad option or worst good option, depending on which side you’re on,” said Matt Haller, president and CEO of the International Franchise Association, a trade group that represents franchisors, franchisees and franchise suppliers. In exchange for concessions, and staring down a very uncertain outcome on the referendum, “We have this very predictable business environment for our members moving forward,” he said.
Pizza Hut franchisees lay off more than 1,200 delivery drivers in California as restaurants brace for $20 fast-food wages
December 26, 2023 // Mark Kalinowski, a restaurant-industry analyst, wrote in a note this week that he expected "more harm to come" in various ways as fast-food chains "take action in an attempt to blunt the impact of higher labor costs." Chains such as Chipotle and McDonald's said they planned to pass the costs of higher wages in California to customers by raising menu prices. In 2022, Gov. Gavin Newsom of California signed the FAST Act into law. It called for the minimum wage for fast-food workers to increase to $22 an hour in 2023. But corporate chains such as McDonald's, Chipotle, and Chick-fil-A, as well as franchise advocacy groups, fought the law. A coalition of restaurant-industry organizations said the law could raise costs for fast-food restaurants by $3 billion. They rallied to get a referendum on the ballot.
Gavin Newsom signs law raising minimum wage for California fast food workers. Here’s how much
September 28, 2023 // Future increases will be determined by the new nine-member council consisting of two representatives of the industry, two franchisees or restaurant owners, two employees, two advocates for employees and one neutral member of the public, who will serve as chair. It is set to hold its first meeting by March 1. Newsom pushed back against criticism that Californians will pay more for their Starbucks and McDonalds. He cited the The Fight for $15 movement, which raised the minimum wage to $10 per hour in 2016 and and $15 per hour last year.
California’s on the cusp of transforming America’s fast food industry — again
August 16, 2023 // “Because it’s so many stores, and going store to store would be difficult, the path to unionization here is basically through legislation,” said Brandon Dawkins, SEIU 1021 vice president of organizing. “After we get the council together and force the employer to the table, then the unions — we can come in and really sit down and negotiate with the corporations to, number one, create a union and, number two, address issues like safety and wage theft.” A labor council’s purview extends to workplace conditions like predictable scheduling — a longstanding goal for labor — noted California Labor Federation Executive Officer Lorena Gonzalez, a former state lawmaker who carried an earlier version of the bill when she served in the state Assembly. “If you get joint employer liability, it’s more likely McDonald’s would want to talk about a national agreement or strategy because now they’re on the hook for every labor violation,” Gonzalez said. That tactic has angered restaurant operators who have rallied against the legislation. Marisol Sanchez, a second-generation McDonald’s franchise owner, has appeared in advertising opposing the 2023 bill. Sanchez said she believed SEIU was acting on its own political agenda rather than in response to worker demands.
SEIU: ‘California’s Fourth Branch of Government’
July 13, 2023 // Notably, Manzo said businesses with labor union agreements usually don’t have to labor under the same strict state labor laws they force on other non-union private sector businesses – they receive exemptions in unholy deals with Democrat lawmakers. For more information on California’s Fourth Branch of Government and how to fight it, visit CABIA.org CABIA is calling out unscrupulous trial attorneys, paid politicians, and their allies that want to maintain the status quo in California. Our lawsuit tracker is the only one of its kind that provides public data on the amount of Private Attorneys General Act (PAGA) suits law firms file each year. We also publish information on which politicians are backed by trial lawyer advocacy groups and other interests groups that would like to keep PAGA intact.