California Fast Food Workers Receiving $20 Per Hour, Leading to Hour Cutbacks by Franchisees
Money | July 10, 2024, 1:14 a.m.
After a recent increase in the minimum wage for fast-food workers in California, restaurant owners like Lawrence Cheng are feeling the impact. Cheng, who owns several Wendy’s locations, has had to cut staff hours and raise menu prices to cover the increased labor costs. While some experts argue that past wage hikes have not necessarily led to job losses, many restaurant owners are struggling to adjust. Some are cutting hours, reducing staff, and increasing prices to stay afloat. Despite the challenges, there are also positive stories - like employees being able to spend more time with their families or invest in stocks. As the industry navigates these changes, the long-term impact remains uncertain. Governor Newsom defended the wage increase as crucial for fast food workers to earn a living wage. The industry continues to evolve, with some owners adapting while others face tough decisions to survive.