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California Restaurants Lay Off Workers as $20 Minimum Wage Arrives

California restaurants are laying off workers ahead of a new $20-an-hour minimum wage law for the fast food industry that goes into effect in April. wall street journal.

As reported by Breitbart News, California will raise its minimum wage by 25% to $20 an hour starting April 1st under AB 1228, a law signed by Gov. Gavin Newsom (D) in 2023. It’s planned.

of journal report:

California restaurants, particularly pizza parlors, have outlined plans to cut hundreds of jobs in the coming months. April 1 wage directive, according to state records. Other employers said they have stopped hiring or reduced work hours.

New food worker minimum wage and council of national appointees The regulator said the measure would help improve the lives of hundreds of thousands of local workers. Organized labor groups say they want the law to be similar in other states.

There were 726,600 people working in fast food and other limited-service restaurants in California in January, down 1.3% from last September, when the state supported a deal to raise wages. Total private sector employment in the state decreased by 0.2% over the same period, according to state statistics.

Economists have debated whether raising the minimum wage hurts or helps workers, but one of the areas where the negative impact is most felt is usually on small profit margins. This is the restaurant industry.

A study sponsored by the city found that if Seattle raised wages to $15 an hour in 2017, the city’s average low-skilled worker would have lost 1,500 jobs per year as employers cut their hours. Turns out it was costing US$. Many of the businesses hardest hit by local governments across the country raising their minimum wage laws are the restaurant industry.

California’s unemployment rate is the highest in the nation. the bestreached 5.3% in February, according to the latest employment figures.

Joel B. Pollack is a senior editor at Breitbart News. Breitbart News Sunday Sunday nights from 7:00 PM to 10:00 PM ET (4:00 PM to 7:00 PM PT) on Sirius XM Patriot. He is the author of a new biography, Rhoda: “Comrade Cadderly, you are abnormal.”. He is also the author of a recently published e-book. Neither Free nor Fair: The 2020 US Presidential Election. He is the recipient of the 2018 Robert Novak Journalism Alumni Fellowship. Follow him on Twitter @joelpolak.

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