California Senate Passes Bill to Regulate Fast-F

We are talking $22 restaurant minimum wage in CA. Even though min wage is something like $15.50. Both sides are outraged. LOL

https://www.nytimes.com/2022/08/29/business/economy/californ…

snippet

The California State Senate passed a bill on Monday that could transform the way the service sector is regulated by creating a council to set wages and improve working conditions for fast-food workers.

The measure, known as A.B. 257, passed by a vote of 21 to 12. The State Assembly had already approved a version of the measure, and it now requires the approval of Gov. Gavin Newsom, who has not indicated whether he will sign it. The bill was vehemently opposed by the fast-food industry.

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We are talking $22 restaurant minimum wage in CA. Even though min wage is something like $15.50. Both sides are outraged. LOL

Require profits to be divided 60/40 between workers and mgmt+“JCs”. Suddenly, it gets “interesting”.

“It gives workers a formal seat at the table with employers to set standards across the industry that’s not limited to setting minimum wages.”

If every fast food chain in California closed and moved out of the State, the health care and MediCal costs would plummet dramatically

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Part of the bill included cost of living adjustments. This was a driver of wage-price spiral inflation in the 1970s.

Whether or not a person approves of the $22 per hour minimum wage, it is inflationary.

Wendy

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We are talking $22 restaurant minimum wage in CA.

Sounds like (imbedded) inflation.

DB2

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If every fast food chain in California closed and moved out of the State…

Or the chains could do a Standard Oil kind of split, with each company having less than 100 locations.

DB2

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Wendy,

Anything can be inflationary.

That never stopped an oil company from jacking up prices.

That never stopped an executive from taking pay.

Not sure that should stop most Americans from getting paid more adequately.

So let me ask should most Americans also be allowed to make a living if they work hard?

We all worked hard to make a living. If someone said your getting a raise was inflationary to them did you ignore them and take your raise? Or say oh I work hard but do not want the money because it is inflationary?

When there is no face on who gets screwed over at lower pay that is not fair to them. It is a very substantial number of working adults. That does not mean teenagers should be denied, the age old nonsense.

It does mean those who constantly get cheap with the $7.25 minimum wage for “women” and “minorities” in other places are messing up royally.

It does mean those in our age group who constantly kept their fist figuratively on people to hold down their pay have saved too little for their retirements in a lot of cases. But that is no reason for anyone who would get $22 to not take the $22 hour. That just explains people in our age groups not getting it and keeping the real GDP growth down when it was our turn to take care of the US economy for the American public. We collectively failed now there is no make up exam.

We do owe people a living when they work. We do not owe people an easy retirement by cutting off the current workers from making a living. Calls of “inflationary” while the same sorts are speculating in higher oil and NG prices…c’mon…really?

BTW it does not actually add up as inflationary because CA is such a large manufacturing hub there are major economies of scale with a better paid workforce. It can pay for more factories in the US in quicker time place a deflationary factor into the US economy.

It is important to fully see the positive externalities first.

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If the governor signs this bill…

there will likely be two things happening

Over time, fewer and fewer fast food places and fast food workers

An immediate push to more automated burger flippers, one line only ordering (no ordering at counters), fewer hours of operation, and less hours per worker paid than now. No night service, maybe no breakfast hours with counter service - just drive through.

Probably fewer and fewer part time jobs for high school age folks - or fewer hours.

We’ll see. Minimum wage in CA is now $15/hr going to $15.50 on Jan 1 next year.

t.

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The bill was vehemently opposed by the fast-food industry.

Ha! Ask me if I give a McNugget.

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Over time, fewer and fewer fast food places and fast food workers

The Food trucks Industry in California is growing fast. There’s food trucks at microbreweries, street corners, golf clubs, there are even whole venues that are designed for multiple food trucks. They’re everywhere, poor neighborhoods, wealthy neighborhoods, Home Depots, Wal-Marts; There’s no where you can go that you can’t find food trucks, and! many serve beer.
More and more trucks are taking apple pay, PayPal, Google Pay. A $8.00 phillycheese beats a Big Mac any day.
These trucks are family run, or self owned run with three owners together. $22/Hr? Damn these people are pulling in $250,000 a year before costs.
So don’t let the door hit you on the rear mickey d’s

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“Over time, fewer and fewer fast food places and fast food workers”

They hire CEOs they will hire anyone!