The minimum wage for fast food in California is 18,000 jobs, according to the survey.
President Donald Trump remains uncommitted about Missouri Republican Sen. Josh Hawley’s proposal to raise the federal minimum wage.
This month, a new study published by the National Bureau of Economic Research (NBER) shows that California’s 2023 was evident. Minimum wage hike It will cost thousands of jobs in the state.
Researchers found that since the state’s $20 minimum wage fast food hike came into effect in April 2024, employment of 18,000 people in the fast food sector has been costly, representing a 3.2% decline in that sector compared to the fast food sector in other parts of the country.
“Our median estimates lead to 18,000 job losses compared to counterfactual in the fast food sector in California,” wrote researchers Jeffrey Clemens, Olivia Edwards and Jonathan Meer. Their paper.
Restaurant surcharges cause controversy: “Business owners are embarrassed”
The minimum wage of $20, approved by Gavin Newsom, costs the state’s employment of 18,000 people, a new study found. (Getty Images/Fox News Digital/Photo Illustration/Fox News)
The California Legislature passed AB 1228 in September 2023, establishing its ability to set and adjust the state’s “fast food council” and sector minimum wage.
Additionally, the bill was signed into law by California. Gov. Gavin Newsom The following April, a new minimum wage was established for fast food workers. This was previously $16 per hour.
“The hourly minimum wage for fast food restaurant employees will be $20 ($20) per hour, effective April 1, 2024. The Council will then be able to establish a minimum wage for fast food restaurant employees, which is valid on an annual basis, starting on January 1, 2025, in accordance with this subdivision,” the bill’s text.
Research shows that since the bill came into law, fast food employment contracted in California, expanding fast food employment across the country.
“Following the establishment of AB 1228, employment in California’s fast food sector has dropped significantly, and estimates are between 2.3-3.9% across specifications, even if employment in other sectors of the California economy tracks domestic employment.”
Politicians push for a job-killing minimum wage hike while ignoring catastrophic economic realities
A new government survey found California’s fast food sector has signed more than 3% after the state raised its fast food minimum wage to $20. (Getty Images/Michael Nagle via Getty Images/Bloomberg)
The paper stated that before AB 1228 came into effect, the California fast food division was “in a similar pathway to other parts of the United States prior to the establishment of AB 1228.”
Critics condemned wage hikes in the wake of research.
In a column in Daily Signals, Heritage Foundation’s Economic Expert Writed by Rachel Gresler“When it comes to central planning, history maintains receipts. Wage management never works because policymakers can set wage laws, but they can’t ban the outcome.”
Gresler added: “The consequences of wage hikes in the fast food industry should be a warning sign, especially for the city of Los Angeles.”
Wall Street Journal editorial board On Monday, the concept said a significant minimum wage hike would help the economy be “magic thinking.” Also criticised New York City candidates Andrew Cuomo and Zoran Mamdani for proposing similar wage increases if elected.
“Zoran Mamdani, the Democratic Socialist candidate for New York City, is hoping to raise the city’s minimum wage to $30. His more moderate competitor, Andrew Cuomo, wants a minimum of $20.
Newsom’s Director of Communications Tara Gallegos disputed the findings of the work, noting that the research paper is linked to Hoover institutions to Fox News Digital.
R-ALA Sen. Tommy Tuberville discusses the Supreme Court’s Tiktok decision to ban Red Dye No. 3 due to potential cancer risk, and the latest FDA decision.
Gallegos also shared an article about the San Francisco Chronicle since October 2024. This stated that wage results “contradict many predictions of fate and Grome made when Gavin Newsom signed AB1228 in September 2023. “The magazine as a ‘wage warrior’ who has been publicly railing against the idea of minimum wage since at least the late 1980s.”
For more information about media and culture, click here
Additionally, Newsom staff cited the study from a UC Berkeley He was a professor of wage hikes of $20 starting in February, and pointed out some of his findings.
“Workers covered by the policy saw an 8-9% increase in wages, but she said there was no negative wage or employment impact on non-covered workers. Fast food facilities have grown faster in California than in other parts of the US.”
She also pointed out, “The menu prices only increased by 1.5% on average, which is about 0.06 cents for a $4 burger.”
The Berkeley survey looked at data from the fast food sector from the time the bill was re-enacted in April 2024 until mid-December. 2024.