{"id":29496,"date":"2024-07-10T17:20:00","date_gmt":"2024-07-10T22:20:00","guid":{"rendered":"https:\/\/ustower.net\/?p=29496"},"modified":"2024-07-10T20:56:09","modified_gmt":"2024-07-11T01:56:09","slug":"california-fast-food-franchisees-forced-to-cut-employees-hours-due-to-20-minimum-wage","status":"publish","type":"post","link":"https:\/\/ustower.net\/?p=29496","title":{"rendered":"California Fast Food Franchisees Forced to Cut Employees\u2019 Hours due to $20 Minimum Wage"},"content":{"rendered":"\n<p class=\"has-medium-font-size wp-block-paragraph\"><a href=\"https:\/\/www.breitbart.com\/economy\/2024\/07\/10\/california-fast-food-franchisees-forced-cut-employees-hours-20-minimum-wage\/\"><br><\/a>California fast food franchise owners are being forced to cut their employees\u2019 hours following Gov. Gavin Newsom\u2019s (D) $20 minimum wage law, which went into effect in April.<\/p>\n\n\n\n<p class=\"has-medium-font-size wp-block-paragraph\">Lawrence Cheng, whose family owns several Wendy\u2019s restaurants in southern California, has had to fill in behind the register to make up for the dramatic cuts, he&nbsp;<a href=\"https:\/\/www.actionnewsjax.com\/news\/california-fast-food\/6F4NIHBSCJFRVLSIO7DZKIQBZM\/\">told<\/a>&nbsp;the Associated Press.&nbsp;<\/p>\n\n\n\n<p class=\"has-medium-font-size wp-block-paragraph\">While he used to have \u201cnearly a dozen employees\u201d working the afternoon shift at his Fountain Valley location, he is reportedly down to just seven per shift.<\/p>\n\n\n\n<p class=\"has-medium-font-size wp-block-paragraph\">\u201cWe kind of just cut where we can,\u201d Cheng told the outlet. \u201cI schedule one less person, and then I come in for that time that I didn\u2019t schedule and I work that hour.\u201d<\/p>\n\n\n\n<p class=\"has-medium-font-size wp-block-paragraph\">Before&nbsp;<a href=\"https:\/\/www.breitbart.com\/economy\/2024\/04\/02\/california-raises-minimum-wage-for-fast-food-workers-despite-highest-unemployment-rate-in-the-nation\/\">Newsom\u2019s mandate<\/a>, he was paying his 250 workers $16 an hour. Now, the only way he can keep up with paying them $20 is to simply have them work fewer hours.&nbsp;<\/p>\n\n\n\n<p class=\"has-medium-font-size wp-block-paragraph\">Cheng also said he had to raise menu prices by about 8 percent three months before the law went into effect to offset the increased costs.<\/p>\n\n\n\n<p class=\"has-medium-font-size wp-block-paragraph\">In addition to raising the minimum wage for fast food workers,&nbsp;<a href=\"https:\/\/leginfo.legislature.ca.gov\/faces\/billTextClient.xhtml?bill_id=202320240AB1228\">Assembly Bill 1228<\/a>&nbsp;also established the&nbsp;<a href=\"https:\/\/www.dir.ca.gov\/AB1228\/AB1228.html\">California Fast Food Council<\/a>, a group of bureaucrats who have the power to continually raise the minimum wage even higher.&nbsp;&nbsp;<\/p>\n\n\n\n<p class=\"has-medium-font-size wp-block-paragraph\">\u201cI\u2019ve been in the business for 25 years and two different brands and I never had to increase the amount of pricing that I did this past time in April,\u201d said Juancarlos Chacon, the owner of nine Los Angeles Jersey Mike\u2019s locations.<\/p>\n\n\n\n<p class=\"has-medium-font-size wp-block-paragraph\">Due to the price increases, he said he noticed that customers are now less likely to purchase a drink or sides with their sandwiches.&nbsp;<\/p>\n\n\n\n<p class=\"has-medium-font-size wp-block-paragraph\">Like Cheng, Chacon has also been forced to slice the number of hours he gives his employees.&nbsp;<\/p>\n\n\n\n<p class=\"has-medium-font-size wp-block-paragraph\">Unlike Cheng, he has unfortunately had to let go around 20 of his 165 employees.<\/p>\n\n\n\n<p class=\"has-medium-font-size wp-block-paragraph\">\u201cI\u2019m very nervous,\u201d the Jersey Mike\u2019s owner said of the major wage increase\u2019s impact.<\/p>\n\n\n\n<p class=\"has-medium-font-size wp-block-paragraph\">Jot Condie, president and CEO of the California Restaurant Association, said businesses have been forced to make these tough decisions due to the costs the law imposes on them.<\/p>\n\n\n\n<p class=\"has-medium-font-size wp-block-paragraph\">\u201cWhen labor costs jump more than 25 percent overnight, any restaurant business with already-thin margins will be forced to reduce expenses elsewhere,\u201d Condie told the AP. \u201cThey don\u2019t have a lot of options beyond increasing prices, reducing hours of operation, or scaling back the size of their workforce.\u201d<\/p>\n\n\n\n<p class=\"has-medium-font-size wp-block-paragraph\">By June, approximately 10,000 California fast food jobs had been&nbsp;<a href=\"https:\/\/www.breitbart.com\/economy\/2024\/06\/09\/report-10000-california-fast-food-jobs-cut-due-to-20-minimum-wage\/\">cut<\/a>&nbsp;since the minimum wage went up, the California Business and Industrial Alliance (CABIA) said.<\/p>\n\n\n\n<p class=\"has-medium-font-size wp-block-paragraph\">\u201cCalifornia businesses have been under total attack and total assault for years,\u201d CABIA founder and president Tom Manzo&nbsp;<a href=\"https:\/\/www.foxbusiness.com\/economy\/california-fast-food-wage-hike-detrimental-impact-businesses-jeopardy-critic-says\">told<\/a>&nbsp;Fox Business. \u201cIt\u2019s just another law that puts businesses in further jeopardy.\u201d<\/p>\n\n\n\n<p class=\"has-medium-font-size wp-block-paragraph\"><a href=\"https:\/\/www.breitbart.com\/economy\/2024\/07\/10\/california-fast-food-franchisees-forced-cut-employees-hours-20-minimum-wage\/\">breitbart<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>California fast food franchise owners are being forced to cut their employees\u2019 hours following Gov. Gavin Newsom\u2019s (D) $20 minimum wage law, which went into effect in April. Lawrence Cheng, whose family owns several Wendy\u2019s restaurants in southern California, has had to fill in behind the register to make up for the dramatic cuts, he&nbsp;told&nbsp;the [&hellip;]<\/p>\n","protected":false},"author":5,"featured_media":29497,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1155],"tags":[1189,1410,28308,29590],"class_list":["post-29496","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-california","tag-cuts","tag-fast-food","tag-working-hours"],"_links":{"self":[{"href":"https:\/\/ustower.net\/index.php?rest_route=\/wp\/v2\/posts\/29496","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ustower.net\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/ustower.net\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/ustower.net\/index.php?rest_route=\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/ustower.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=29496"}],"version-history":[{"count":1,"href":"https:\/\/ustower.net\/index.php?rest_route=\/wp\/v2\/posts\/29496\/revisions"}],"predecessor-version":[{"id":29498,"href":"https:\/\/ustower.net\/index.php?rest_route=\/wp\/v2\/posts\/29496\/revisions\/29498"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/ustower.net\/index.php?rest_route=\/wp\/v2\/media\/29497"}],"wp:attachment":[{"href":"https:\/\/ustower.net\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=29496"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ustower.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=29496"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ustower.net\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=29496"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}