As I stated earlier, the wage increase will take time to see its full impact and will have negative economic impact. And will this lead to MORE inflation? YES.
AND, how much is a fast food worker worth? I would argue to let the free market decide; the actions of CA government is NOT a free market action.
California’s Fast Food $20 Hour Wage Hike Leads To Almost 10,000 Job Losses
In a bold move that seemed aimed at improving the lives of fast food workers, California recently implemented a law raising the minimum wage for fast food employees to $20 per hour. The decision was celebrated by many as a victory for labor rights and economic justice. However, the unintended consequences of this wage hike are now becoming apparent, with nearly 10,000 jobs lost in the fast food industry alone.
https://www.msn.com/en-us/money/markets/california-s-fast-food-20-hour-wage-hike-leads-to-almost-10-000-job-losses/ss-BB1ngsav?ocid=msedgntp&pc=HCTS&cvid=b51e4f5e3af64565e864be4fd578cf3f&ei=113#image=1Chick-fil-A
California's raise in fast-food worker salaries has influenced consumer prices, with Chick-fil-A notably increasing prices by 10% statewide.
Price hikes
Other fast-food chains like Starbucks, Shake Shack, Chipotle, and Taco Bell have also implemented substantial price hikes. The California Restaurant Association cautions against further raises in the state minimum wage, emphasizing the potential negative impact on businesses.
Job losses
In a statement, the California Restaurant Association said, "Daily headlines have chronicled job losses, reduced working hours, restaurant closures, and higher prices for California's inflation-weary consumers as a direct result of this minimum wage hike."
A better wage
Saru Jayaraman from One Fair Wage said, "Non-fast food restaurant workers are saying, 'What about us? We, too, we deserve to be paid $20 an hour, too. We shouldn't all have to go to fast food to get a better wage.'"
The implementation
The implementation of the $20 minimum wage in California has been accompanied by a wave of job cuts in fast-food establishments, with approximately 9,500 jobs being eliminated between last fall and January.
Labor costs
The substantial increase in labor costs has compelled many fast-food chains to reevaluate their operational strategies, leading to widespread price escalations and the expedited deployment of automation technologies, such as robotics, to mitigate the impact of soaring labor expenses.
Notable franchises
Notable franchises, including Pizza Hut, Round Table Pizza, El Pollo Loco, and Jack in the Box, have initiated workforce reductions and the integration of automation solutions in response to the new wage mandate.
Competitive landscape
Moreover, concerns have emerged regarding the competitive landscape, as California's fast food now boasts the highest prices in the country, prompting apprehensions about the sustainability of further price escalations and their impact on consumer behavior.
https://www.msn.com/en-us/money/companies/california-s-20-wage-ignites-disastrous-unintended-consequences/ss-BB1nh3mB?ocid=winp2fptaskbar&cvid=47bdac4ea4a043b98980e7320271ff9f&ei=49#image=11And as usual, having just read the latest comments by p-mac and p-rat, I see more of the usual worthless drivel and continued personal attacks. Deal with the issue presented here and stop attacking me with your LIES. You are wasting your time and your very limited brain power. Or perhaps you lack the brains to deal with issues and facts that I presented. NOW back to putting both on IGNORE. Please note how long it takes for one or both to respond HERE.
