California Gov. Newsom signs fast-food worker $20 minimum wage bill into law
International Franchise Association president and CEO argues franchise owners are better at identifying the needs of their employees.
Fast-food workers in California will see a nice increase in their paychecks beginning next year following the passage of a law signed Thursday by Gov. Gavin Newsom that increases the minimum wage to $20 per hour.
The new wage takes effect on April 1, 2024, and applies to workers at restaurants that have at least 60 locations nationwide, except those that make and sell their own bread.
The minimum wage for workers in other industries across the state stands at $15.50, among the highest in the nation.
«This is a big deal,» Newsom said during an event in Los Angeles where he signed the fast-food minimum wage bill, AB 1228, into law.
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California Gov. Gavin Newsom signs the fast-food bill surrounded by fast-food workers at SEIU Local 721 in Los Angeles on Thursday. (AP Photo / AP Images)
He also dismissed popular views that fast-food jobs are meant for teenagers just entering the workforce.
«That's a romanticized version of a world that doesn't exist,» Newsom said. «We have the opportunity to reward that contribution, reward that sacrifice and stabilize an industry.»
In exchange for higher pay, labor unions have dropped their attempt to make fast-food corporations liable for the misdeeds of their independent franchise operators in California, an action that could have upended the business model on which the industry is based. The industry, meanwhile, has agreed to pull a referendum related to worker wages off the 2024 ballot.
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