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[Eiknarf]

New $20 minimum wage for fast food workers in California is set to start today​

$20 per hour minimum wage starting for California fast food workers Monday

Beginning Monday, most fast food workers in California will be paid at least $20 per hour, marking one of the highest minimum wages in the country. A law increasing the minimum wage, signed by Cali…

thehill.com

New $20 minimum wage for fast food workers in California is set to start Monday

Most of California's fast food workers are set to be paid at least $20 per hour. A new law mandating the minimum wage increase for fast food workers is scheduled to take effect on Monday.

apnews.com

 

[AREYOUOKAY?]

 

[Quasicat]

I’m not sure how much public school teachers make in California, but that is more than I made in Ohio for my first 8 years…that’s including the once mandatory Master’s degree I had to get in order to be licensed. I can’t imagine that the teachers are getting an increase along with minimum wage.

 

[Mistake]

I do agree that people should be paid enough to live if working 40+, but this won't do anything

 

[dorkimoe]

I get its not a "hard" job, but half of you wouldn't want to do these jobs. Nobody should have to work 2 full time jobs to support a family. This should not impact any of the massive food franchises in anyway other than if they want to stay greedy

 

[Maiden Voyage]

The cost of living in CA is unsustainable for these types of jobs. Hell, across the US $20/hr isn’t sustainable.

 

[Mistake]

I get its not a "hard" job, but half of you wouldn't want to do these jobs. Nobody should have to work 2 full time jobs to support a family. This should not impact any of the massive food franchises in anyway other than if they want to stay greedy

I've been there. I worked two full time jobs just to support myself. The only real solution I see to this problem is to not work for a big corporation. Smaller businesses are more likely to pay people fairly if they get to where they want to be.

California is getting so expensive, it's almost becoming its own country with how different it is compared to other states.

 

[Maiden Voyage]

Smaller businesses are more likely to pay people fairly

At least where I live this isn’t true. I can make $50-60k working for small to medium size companies in my field. Working for a large corp I can make $120-140k. And I live in a place that is very low cost of living. $50k is not enough to get by anymore. $120k allows me to live comfortably and allows for me to be able to retire. No small business around here can match the benefits of a larger company either.

 

[mortal]

They'll raise the minimum wage and proceed to replace many of those jobs with automation over the next 10+ years to cut costs.

 

[Mistake]

At least where I live this isn’t true. I can make $50-60k working for small to medium size companies in my field. Working for a large corp I can make $120-140k. And I live in a place that is very low cost of living. $50k is not enough to get by anymore. $120k allows me to live comfortably and allows for me to be able to retire. No small business around here can match the benefits of a larger company either.

Depends more or less on the type of business, of course, but with franchises and restaurants this seems to be the case. My current job, a franchise which was independently owned, got bought out recently and first thing they did was cut everyone's pay. Now we rely on tips

 

[Maiden Voyage]

Also I don’t get people who get upset with wages for minimum pay. Get mad at the C-suites—that’s what is driving these prices.

Realize this stuff starts at the bottom and works its way up. It’s just matter of time before it hits you and fucks you over too.

Depends more or less on the type of business, of course, but with franchises and restaurants this seems to be the case. My current job got bought out recently and first thing they did was cut everyone's pay. Now we rely on tips

Oh yeah, large companies are squeezing pay now more than ever. As I say above, it’s only a matter of time before everyone gets swallowed up.

 

[Cyberpunkd]

Man, it’s crazy how Europe has mandated minimum wage and yet businesses are thriving, including the same fast food chains that are present in the US!

 

[dave_d]

I'll go with what my Econ102 professor basically said. Pretty much most governments set it at a level where it doesn't really do anything because everybody already makes at least that much anyway. Since I'm not from Cali what's the typical starting wage anyway?

 

[StreetsofBeige]

Crazy. That’s the equivalent of $27/hr cdn to flip burgers.

I hope all you Californians know as wages go up so do prices.

But there is hope to keep prices down. It goes like this:

McDonald’s: Hello, I’d like to place an order.

Sales guy: According to our systems your restaurants have an average of one self serve screens per store.

McDonald’s: Yes. I’d like to make it 4 self serve double sided screens per store please

Sales guys: Thank for the order!

 

[Mistake]

Man, it’s crazy how Europe has mandated minimum wage and yet businesses are thriving, including the same fast food chains that are present in the US!

I think the argument is that small businesses will have a harder time and maybe close, but tbh, most businesses will charge what they need to, regardless of what the minimum wage is.

Crazy. That’s the equivalent of $27/hr cdn to flip burgers.

I hope all you Californians know as wages go up so do prices.

But there is hope to keep prices down. It goes like this:

McDonald’s: Hello, I’d like to place an order.

Sales guy: According to our systems your restaurants have an average of one self serve screens per store.

McDonald’s: Yes. I’d like to make it 4 self serve double sided screens per store please

Sales guys: Thank for the order!

I have noticed a large increase of self checkout kiosks. You know what's funny though? I was in cali a few months ago, and they had an employee at each one doing the scans because too many people used them to steal

 

[Cyberpunkd]

I think the argument is that small businesses will have a harder time and maybe close, but tbh, most businesses will charge what they need to, regardless of what the minimum wage is.

But again, this is not some socialist utopia, you have a continent of hundreds of millions of people where all countries instituted minimum wage. Life goes on, businesses are not closing left and right.

I hope it’s not politics but this is the same argument as “if only we could solve the problem of mass shootings” - you can, there are millions of people living in countries without them that all have one thing in common.

 

[Mistake]

But again, this is not some socialist utopia, you have a continent of hundreds of millions of people where all countries instituted minimum wage. Life goes on, businesses are not closing left and right.

I hope it’s not politics but this is the same argument as “if only we could solve the problem of mass shootings” - you can, there are millions of people living in countries without them that all have one thing in common.

I don't think that's an apt comparison. The whole point of raising minimum wage in the eyes of many is to offset the cost of living. Europe is no better than the US in that case.

Cost of Living Index by Country 2024

By Country : Cost of Living Index, Rent Index, Restaurant Prices Index, Transportation Price Index, Grocery Price Index, Local Purchasing Power Index, ...

www.numbeo.com

 

[willothedog]

Flippy the chef incoming

 

[jshackles]

They started trying to raise the national minimum wage to $15 in 2016. Accounting for inflation, that same $15 in 2016 is $19.39 in today's dollars.

 

[jason10mm]

I need to know if this applies to sit down restaurants so I know when I don't need to tip on top of that $26 burger n'fries.

 

[starfire1978]

Greedy corporations/franchises can just go the way of sizzlean. GREED is good for shareholders and such but oh no not the people who actually run the business.

 

[Clear]

Here's the thing, everyone wants more money. But that money has to come from somewhere, and nobody wants it to be from out of their pockets by way of taxation, general cost of living, etc.

Realistically the pro's and con's are down to looking at who's burden paying the new minimum wage is, and how they are going to respond to their payroll costs potentially increasing. Because its who those people are (small business versus corporate employers) and how they react, being the significant thing as its where policy directly affects employment and economy.

 

[Vicetrailia]

To live in Cali I wouldn’t be surprised if they are all already making over $20 an hour.

 

[Unknown Soldier]

 

[Hawking Radiation]

Wow $20 doesn't sound like much.

 

[Pejo]

This is going to completely kill 'Mom n' Pop' standalone restaurants and mildly inconvenience the big chains until they get the kinks worked out of the kiosks and robots.

Fucking hate this state outside of the weather and scenic views. They always fuck things up for everyone in the name of progress.

 

[NoLootBoxDev]

Let's see a bit:

• Global comparable sales have grown 9% for the year and over 30% since 2019

• Systemwide sales* to loyalty members were over $20 billion for the full year and over $6 billion for the quarter across 50 loyalty markets, with full year growth of more than 45% over prior year
• U.S. increased 8.7%

• Kempczinski, who took the helm of the Chicago-based company in late 2019, was paid almost $17.8 million in cash, stock and options awards in 2022, down from the $20 million he made the year prior, according to McDonald's proxy statement, filed last week with the U.S. Securities and Exchange Commission
• The fast-food giant reported fourth-quarter net income of $2.04 billion, or $2.80 per share, up from $1.9 billion, or $2.59 per share, a year earlier.
• Excluding the write-off of software that’s no longer in use, restructuring costs and other items, McDonald’s earned $2.95 per share.
• Net sales rose 8% to $6.41 billion.

I do not see how at least McDonald's cannot pay that salary a $4 increase (from what I google). Of course, this could affect other low level companies.

 

[analog_future]

The top 1% wealthiest individuals have more wealth than the bottom 90% of households combined.



The issue is not fast-food workers making $41,600/year full-time in one of the most expensive to live in states in the country.


Like, how brainwashed do you have to be to believe that the poorest people in our society making slightly more money is somehow the cause of our financial problems?

 

[HoodWinked]

Let's see a bit:

• Global comparable sales have grown 9% for the year and over 30% since 2019

• Systemwide sales* to loyalty members were over $20 billion for the full year and over $6 billion for the quarter across 50 loyalty markets, with full year growth of more than 45% over prior year
• U.S. increased 8.7%

• Kempczinski, who took the helm of the Chicago-based company in late 2019, was paid almost $17.8 million in cash, stock and options awards in 2022, down from the $20 million he made the year prior, according to McDonald's proxy statement, filed last week with the U.S. Securities and Exchange Commission
• The fast-food giant reported fourth-quarter net income of $2.04 billion, or $2.80 per share, up from $1.9 billion, or $2.59 per share, a year earlier.
• Excluding the write-off of software that’s no longer in use, restructuring costs and other items, McDonald’s earned $2.95 per share.
• Net sales rose 8% to $6.41 billion.

I do not see how at least McDonald's cannot pay that salary a $4 increase (from what I google). Of course, this could affect other low level companies.

That's corporate earnings. Franchise owners are the ones that pay for wages.

 

[Eiknarf]

McDonald’s admitted they are going to pay the $20 an hour but cut staff

So those remaining employed will have to work harder and the customers will suffer

They’ll need more Order Yourself LED Screen things

 

[Quasicat]

A local White Castle now has a robotic burger flipper and has almost completely automated the fry cooking process.
Chick Fil A just opened a store in NYC which the customers are required to use the app to order and pay.
My local McDonalds has a drive thru AI called Archie which had a rough start a couple of months ago, but “learned” from its mistakes and now runs almost flawlessly in taking orders.

These places have been working hard to figure out how to eliminate people from their payroll. This will just speed this up.

 

[Raven117]

The top 1% wealthiest individuals have more wealth than the bottom 90% of households combined.



The issue is not fast-food workers making $41,600/year full-time in one of the most expensive to live in states in the country.


Like, how brainwashed do you have to be to believe that the poorest people in our society making slightly more money is somehow the cause of our financial problems?

They aren’t. They are about to be out of what job they had

 

[Pegasus Actual]

Starbucks Lemon Loaf was up 10% in pricing this morning, the McDonald's was clearly understaffed and overwhelmed but the large frozen Coke for $1.69 deal was still there... I think a large unsweetened iced tea was up some, and then well I was redeeming some points for a 6-piece nuggets so I don't know anything about the food pricing but it was already crazy high in the post COVID era.

Oh and the dude at the Chick-Fil-A drive thru completely unprompted started complaining to me about how badly his hours have been slashed due to the new pay increase and I think Chick-Fil-A was already at like $18 starting. But dude was not happy as he's making less money overall now. I usually get the salads and they were both 10% more expensive than a week or two ago as well.

That's my day 1 report of the fast food minimum wage wars here on the front lines, a bit concerning, and I am considering cleaning up my kitchen as a contingency plan.

But hey man I guess like 18 years ago now Sony FPQA was only giving me $9 an hour and I could make that shit work...

 

[Nydius]

Caught a segment on this during CBS Evening News (which I almost never watch but was keeping the TV local due to severe weather). They interviewed a guy who is a franchise owner of Cinnabon and Auntie Anne's Pretzels and he already admitted they're planning to cut staff and raise prices to combat the forced minimum wage increase.

This should come to no surprise to anyone who studied basic economics -- or who worked in a fast food place at any level higher than the basic shift worker. Labor is the second most expensive factor of running a restaurant, fast food or otherwise, behind only facility costs. Franchise owners often manage on slim margins -- they're not doing bad for themselves but they're not making CEO level money. Increase labor costs across the board and they have to adjust to work within their margins. Or go out of business.

By the by, if you want to know how absolutely batshit insane $20/hr for fast food workers is, I'll just leave this here...

 

[jufonuk]

Man, it’s crazy how Europe has mandated minimum wage and yet businesses are thriving, including the same fast food chains that are present in the US!

Also universal health care.

 

[Cyberpunkd]

Also universal health care.

 

[Blade2.0]

New $20 minimum wage for fast food workers in California is set to start today​

$20 per hour minimum wage starting for California fast food workers Monday

Beginning Monday, most fast food workers in California will be paid at least $20 per hour, marking one of the highest minimum wages in the country. A law increasing the minimum wage, signed by Cali…

thehill.com

New $20 minimum wage for fast food workers in California is set to start Monday

Most of California's fast food workers are set to be paid at least $20 per hour. A new law mandating the minimum wage increase for fast food workers is scheduled to take effect on Monday.

apnews.com

Nice. Prices go up. Wages should too.

 

[tamago84]

fast food just needs to be automated 100%.

 

[Bojji]

fast food just needs to be automated 100%.

Damn, with this logic almost anything can automated or replaced by ai and most jobs will disappear.

 

[HoodWinked]

This bill is completely insane even if you support higher minimum wage. First this fast food minimum wage law had an exception for baked bread so arbitrarily it gave Panera Bread a carve out AND it even has a provision so it wasn't proactive so other fast food restaurants couldn't then also bake bread to get the exception . Only until there was a shit storm they agreed to not use the loophole which they obviously put in due to how rotten and sludge the state is. (I don't think they fixed the loophole so they could theoretically use it a couple months when people forget)

Then also this $20 minimum wage is only for FAST FOOD workers. The minimum wage state wide is $16. This retarded state has anointed fast food service a pedestal job. For the government to act this way is jaw droppingly stupid, this is not a high functioning government which is even more insane considering they have super majority control.

 

[Mr Reasonable]

We've ended up in a crazy position where the top earners are taking so much money out of businesses and indeed the economy in general that at every other level people are fearful that the lowest paid getting enough to live will cause a drop in living standards for everyone else.

It's a masterful play.

 

[OmegaSupreme]

I remember when I was making 9 dollars an hour when I was 20 years old and I thought I was the cat's pajamas lol.

 

[JCK75]

My Girlfriend works in a Clinical Laboratory and they can't keep workers because Chic-Fila pays more.

 

[StreetsofBeige]

Caught a segment on this during CBS Evening News (which I almost never watch but was keeping the TV local due to severe weather). They interviewed a guy who is a franchise owner of Cinnabon and Auntie Anne's Pretzels and he already admitted they're planning to cut staff and raise prices to combat the forced minimum wage increase.

This should come to no surprise to anyone who studied basic economics -- or who worked in a fast food place at any level higher than the basic shift worker. Labor is the second most expensive factor of running a restaurant, fast food or otherwise, behind only facility costs. Franchise owners often manage on slim margins -- they're not doing bad for themselves but they're not making CEO level money. Increase labor costs across the board and they have to adjust to work within their margins. Or go out of business.

By the by, if you want to know how absolutely batshit insane $20/hr for fast food workers is, I'll just leave this here...

Long term it’ll be a blessing for other workers. Fast food workers who kept their job and hours might be laughing but many will be cut or reduced hours.

Wages will go up for other sectors as low skilled workers start migrating to McDonald’s and Wendy’s to work so other industries with higher skilled jobs at reasonably close wages will start amping up to keep them or get new hires.

And when there’s more and more worker money floating around that just increases prices so those $20/hr fast foodies will be back to square one.

No different then years back when the fight for $15 was like the holy grail. Fast forward to recent times and $15 isn’t holding up well when prices and rent have moved up fast.

But long term too as any state keeps upping low skill wages it still takes time to adjust so what happened is you get a lot of dumbing down of skilled output jobs as those fringe workers just say fuck it and prefer flipping burgers.

For society and economy to forge ahead, you need a system where people are incentivized to strive for better. Not strive for worse.

As for the economics of higher wages fire people or cut hours that’s a common sense strategy. Anyone who doesn’t understand that is either lying to play dumb for pity points or doesn’t grasp basic concepts from high school economics class 101 which practically all of us took at some point. And they wonder why. It’s as if they think everything is a vacuum and no matter what pay hike they get that the parent company or franchisee who owns it will just go with the flow, pay more and nothing else changes in life. Absurd mentality to have.

 

[Faust]

At least where I live this isn’t true. I can make $50-60k working for small to medium size companies in my field. Working for a large corp I can make $120-140k. And I live in a place that is very low cost of living. $50k is not enough to get by anymore. $120k allows me to live comfortably and allows for me to be able to retire. No small business around here can match the benefits of a larger company either.

Depends on where you live. 50,000 is more than enough to live off of. I was making 19,000 in grad school just before covid and I was still able to live/function. It all just depends on where you are in the US. If you want to live in San Fran? Well you see shit out of luck. Kansas? You will be more than fine.

 

[ProtoByte]

We've ended up in a crazy position where the top earners are taking so much money out of businesses and indeed the economy in general that at every other level people are fearful that the lowest paid getting enough to live will cause a drop in living standards for everyone else.

It's a masterful play.

Can we quit it with the Marx-larping here?

 

[Chaplain]

When I read these stories it seems Oxford University's 2013 AI study is coming to pass and the elite are doing nothing to stop it:

"In the 19th century the Industrial Revolution created a huge urban proletariat, and socialism spread because no other creed managed to answer the unprecedented needs, hopes and fears of this new working class. Liberalism eventually defeated socialism only by adopting the best parts of the socialist program. In the 21st century we might witness the creation of a massive new unworking class: people devoid of any economic, political or even artistic value, who contribute nothing to the prosperity, power and glory of society. This “useless class” will not merely be unemployed — it will be unemployable. In September 2013, two Oxford researchers, Carl Benedikt Frey and Michael A. Osborne, published “The Future of Employment,” in which they surveyed the likelihood of different professions being taken over by computer algorithms within the next 20 years, and they estimated that 47 percent of US jobs are at high risk. For example, there is a 99 percent probability that by 2033 human telemarketers and insurance underwriters will lose their jobs to algorithms. There is a 98 percent probability that the same will happen to sports referees. Cashiers — 97 percent. Chefs — 96 percent. Waiters — 94 percent. Paralegals — 94 percent. Tour guides — 91 percent. Bakers — 89 percent. Bus drivers — 89 percent. Construction laborers — 88 percent. Veterinary assistants — 86 percent. Security guards — 84 percent. Sailors — 83 percent. Bartenders — 77 percent. Archivists — 76 percent. Carpenters — 72 percent. Lifeguards — 67 percent." (Historian Yuval Noah Harari)

I assume most fast food workers will be out of a job within the next 5-years:

 

[Billbofet]

I think in a vaccum, this is great news, but the reality is it will drive costs up further, fast-track automation, reduce hours for those workers, etc. - especially in a poorly managed state like California.

 

[Trogdor1123]

I’d be terrified if I was one of those employees. Many of those jobs were already on the way towards automation and this will increase it. This makes the machines look more and more appealing.

 

[Heimdall_Xtreme]

The cost is being exposed to smoke and breathing for years.