Posts tagged fast food workers
Commentary California’s $20 Minimum Wage Is a Cautionary Tale for Los Angeles’ Olympic-Sized Wage Hike
July 22, 2025 // In a classic case of central planning, lawmakers in Los Angeles passed a bill in May to bring the minimum wage for hotel and airport workers to $30 by 2028, while also imposing a new $8.25 per hour mandatory health care contribution. Implementation of that bill is currently on hold as the city clerk reviews the signatures of a referendum petition that would bring the bill to a public vote in June 2026. Los Angeles’ sector-specific wage hike follows on the heels of California’s statewide $20 minimum wage mandate for fast-food workers that went into effect in April 2024. The consequences of that wage hike on the fast-food industry should be a warning sign to Los Angeles, especially as it prepares to host the 2028 Summer Olympics. Crucial to the success of those Olympic games will be the capability of the city’s hotels and its Los Angeles International Airport to serve an estimated 15 million visitors.
California’s fast-food minimum wage is super-sizing job losses
July 15, 2025 // The damage for California doesn’t stop at job losses, as CEI has noted previously. The vast majority of California’s fast-food workers, 89 percent, have had their work hours reduced. Another 35 percent have seen their supplemental benefits reduced. Customers suffer as well. Menu prices for Golden State restaurants rose 14.5 percent between September 2023 and December 2024, nearly double the national rate of 8.2 percent for restaurants. Prices jumped 3 percent in the month after the minimum wage hike went into effect. Americans across all income groups eat fast food, but the core consumers are low-income families according to the Morning Consult. Any price increase is going to hit them the hardest.
Restaurant Minimum Wage Hurting Businesses and the Workers Proponents Seek to Help
January 10, 2025 // For fast food operators, it’s not just this latest minimum wage increase. Since 2013, their minimum wages have increased from $8 to $20, which is 2.5 times. It’s unsurprising that they’re slashing jobs, cutting hours and raising prices. This also coincides with a major turn towards automation. Of course, automation is driven by many factors, not just increased labor costs – but they certainly don’t help.
One-day strikes are in: Why unions are keeping it short on the picket line
December 4, 2024 // When it comes to getting employers to cave to demands, the success of one-day strikes is mixed — especially for those low-wage, low-leverage workers. Short work stoppages failed to unionize Walmart in the 2010s, along with those fast food workers from Fight for 15. Starbucks and its unionized employees are still negotiating a first contract. Long strikes are still happening — just ask SAG-AFTRA — and probably won’t be phased out entirely because they still carry much more leverage. Instead, one-day strikes often have a different goal in mind that’s still essential for a union victory — getting workers excited.
A major Burger King franchisee in California says he can’t roll out order kiosks fast enough due to the state’s new $20 fast-food minimum wage
April 19, 2024 // "We can't move fast enough on this," Harsh Ghai told Business Insider in an interview in early April. "We have kiosks in probably about 25% of our restaurants today," he said. "However, the other 75% are going to have kiosks in the next probably 30 to 60 days." Ghai said he owns 180 fast-food restaurants in California, including about 140 Burger King locations and numerous Taco Bell and Popeyes restaurants. Ghai said that he was the largest Burger King franchisee on the West Coast, though BI was unable to independently verify this. "We are installing kiosks in every single restaurant," he said.
COMMENTARY: Like AB5, CA’s Fast-Food Minimum Wage Hike Results in Layoffs, Closures, and Higher Prices
April 4, 2024 // It certainly wasn't a victory for the consumer. First, the prices of fast food started to tick up, then Pizza Hut drivers were laid off. The FAST Act is now fully in effect, and so are the unintended consequences. Tuesday, April 2 saw reports of fast-food restaurants cutting hours, laying off workers, and some completely shuttering their businesses. Welcome to California, where a Big Mac combo will cost you $25.00 and be served to you by a robot. Stevie Wonder could have seen this coming; but hey, power to the people, and all that.
TV Commercial Slams SEIU for $20 Minimum Wage Hike
April 1, 2024 // The SEIU was behind the bill that created the California Fast Food Council as well as the new $20 wage—a hike that continues to be championed by Gov. Gavin Newsom despite fierce opposition from impacted workers, employers, and economists. The California Fast Workers Union is based in Washington, D.C., not California; it’s not a legal labor union and can’t bargain with employers; and it represents far less than one percent of the state’s fast food workforce. For more on CUF’s take on the SEIU’s fake union, read our recent OC Register op-ed here. A CUF survey of California restaurant workers released in March found that the workforce isn’t aligned with the SEIU’s agenda. We asked restaurant workers what they thought of the $20 wage hike and its potential consequences.
PODCAST: An Unholy Incubator, Will Swaim breaks down the new regulation that took effect on March 15 which affects every independent contractor in America.
March 21, 2024 // The President of the California Policy Center, host of National Review’s Radio Free California podcast, and watchdog journalist warns about the new federal regulation that effectively makes CA-AB5 national and ends independent contractor status as we know it. As goes California, so goes the nation—from a $20 minimum wage for fast-food workers to rampant homelessness, crime, and reparations—the recovering communist dissects examples of what’s happening in the Golden State and yet to come nationally.
California fast food workers form statewide union
February 11, 2024 // The union comes at a time when fast food wages and pricing are top of mind in California. A $20-dollar minimum wage takes effect in April. And a backlash to meal price increases has caused viral anger online.
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.