On Labor Day, California Governor Gavin Newsom signed AB 257 (also known as the FAST Recovery Act) into law which dramatically impacts the fast food industry in the state.
Under the new law, a ten member council made up of fast food workers, franchisees, franchisers, advocates for fast food workers, and representatives from the Governor’s office will be formed. This council will be charged with establishing minimum standards on wages, working hours, and other conditions related to the health and safety of fast food workers.
Many observers suspect (or should I say, expect) that this council will move to raise hourly wage rates for fast food workers to $22/hour next year. Whether that happens remains to be seen. However, I can envision a situation where this wage rate goes into effect in the not too distant future.
Note, this new law applies to fast food employers with more than 100 workers.
For additional information: https://leginfo.legislature.ca.gov/faces/billTextClient.xhtml?bill_id=202120220AB257
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