Opinions

Small businesses and consumers in California are feeling the negative effects of the fast food minimum wage law.



California’s attempt to set a $20-an-hour fast-food minimum wage is causing significant damage to the industry.

This law, championed by Governor Gavin Newsom, has only been in place for a little over two months and has already resulted in the loss of 10,000 jobs at these establishments.

Even large chains like McDonald’s are feeling the impact, with increased prices, reduced worker hours, and accelerated moves towards automation.

If major chains are struggling, smaller chains are likely facing even more difficulties.

For example, Rubio’s California Grill closed 48 locations across the state in May and filed for bankruptcy shortly after.

Great job, Gavin!

Consumers are also feeling the impact, with Chik-fil-A prices rising nearly 11% between February and April, and Taco Bell prices increasing by 3%.

It’s no surprise that 78% of consumers now consider fast food a “luxury” purchase, according to a recent survey.

This law, like many other woke initiatives, assumes that all low-skilled, entry-level workers should earn a high wage.

However, this only leads to fewer job opportunities (or higher prices for consumers) since higher minimum wages increase labor costs.

This ultimately results in negative consequences for consumers and young individuals seeking their first job or those without extensive training or education trying to make a living.

Furthermore, the law is riddled with corruption, as it includes a strange exemption for businesses that bake and sell their own bread as a standalone item, such as Panera Grill.

These businesses are not required to adhere to the increased minimum wages, likely due to close ties between a major Panera franchiser and Newsom.

In essence, this law is not about fairness or equality; it’s just another example of Newsom’s progressive corruption: benefiting his allies while causing economic harm to everyone else.



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