Grim new survey shows how California Gov. Gavin Newsom's $20-an-hour minimum wage for fast-food workers has helped tank the industry
California fast-food restaurants have been forced to cut back on employee hours, shut down, or consider moving out of state completely because of Gov. Gavin Newsom's new $20-an-hour minimum wage law, a new study has shown.
The Employment Policies Institute survey of nearly 200 fast-food companies found that 89 percent of those eateries polled have already been forced to reduce scheduled hours for their employees, less than a year since it was passed.
Some have had to lay off staff completely - a prospect many had warned about when the progressive signed the bill into law in the fall.
Others complained that the concerns of small franchisees and their staffers would not be met - something the survey suggests is already occurring as officials continue to bill the law as a success.
The study, meanwhile, also found that of those who remain employed, there's been less access to overtime and opportunities for extra shifts, limiting their overall take-home.
To better understand the impact brought by the increase in minimum wage, the fiscally conservative non-profit looked at 182 limited-service restaurant operators in The Golden State.
The analysis took place between June and July, after new data released by the state revealed more than 6,000 fast-food jobs have already been lost since January.
The month the survey started, one of the most recognizable fast-food storefronts in all of Hollywood lost its long-held spot on Sunset - as Arby’s Roast Beef closed its doors after 55 years.
'Farewell Hollywood,' the eatery, owned solely by 91-year-old Marilyn Leviton, told customers in a sign on its shuttered door on June 15.
'TY for 55 great years.'
At the time, Leviton, the longtime holder of the lease, revealed to KTLA that she had been struggling to stay open for years.
'Truth is, I think it was the pandemic that did us in. I really feel we would have closed during the pandemic [if it weren’t] for the federal loans,' she said….
https://www.dailymail.co.uk/news/article-13673233/survey-california-gavin-newsom-minimum-wage-fast-food-workers.html
A number of fast food stores have folded here in GA, and doubled their price in GA, without the wage hike.