$20 minimum wage for fast food workers in California….thoughts?

[Anonymous]

Anonymous wrote:its crazy. I saw a sign at the safeway that they are paying $15 for starting pay....
MY first job was at Giant in Annadnale( H Mart took over that place now.) I was getting $1.40 an hour............................... They are making more in a two hours that I did in a week. I worked 20 hours a week. I was attending Annandale High School....

I guess you never heard of the concept of inflation. You must vote blue.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Seems to me those businesses will just pass on those higher labor costs in the prices of their food and then the cycle begins all over again. Fast food preparation is unskilled labor.

Of course they will.. It’s all over the headlines now. Five guys a meal at five guys is $25 now. A McDonald’s value meal is about $12. Fast food is starting to become a luxury.

I grew up poor. It was a luxury when I was a child.

I'm middle class and pretty much never buy happy meals for my 3 kids and it's because of cost. We mostly only eat fast food when we're in the middle of a long road trip. Kids prefer PBJs or sandwiches that we make prior to the trip though.

[Anonymous]

https://www.businessinsider.com/fast-food-isnt-cheap-anymore-2023-11?amp


https://investorplace.com/2024/03/3-fast-food-restaurants-planning-to-hike-prices-to-offset-new-20-minimum-wage/

California increased the minimum wage for fast-food workers to $20 per hour on April 1, potentially prompting higher restaurant prices. The new law also establishes a fast-food council authorized to annually adjust wages by up to 3.5% based on inflation. California’s minimum wage is $16 hourly, surpassing the federal rate of $7.25.

Fast-food restaurants intend to raise menu prices to counterbalance the increased wages. According to Jon Tower, a Citi analyst specializing in restaurants, these higher prices, ranging from 5% to low-double-digits, may deter some customers, potentially resulting in reduced foot traffic.

That said, three fast-food chain restaurants came forward with the idea that price hikes might soon be happening to their menus to cope with the $20 minimum wage increase.

[Anonymous]

I made $4.25 minimum wage in CA in 1994. Have things gone up 5X in price since then? Probably.

[Anonymous]

Does CA still have a tipped wage or is this what everyone is getting?

[Anonymous]

Anonymous wrote:https://www.businessinsider.com/fast-food-isnt-cheap-anymore-2023-11?amp


https://investorplace.com/2024/03/3-fast-food-restaurants-planning-to-hike-prices-to-offset-new-20-minimum-wage/

California increased the minimum wage for fast-food workers to $20 per hour on April 1, potentially prompting higher restaurant prices. The new law also establishes a fast-food council authorized to annually adjust wages by up to 3.5% based on inflation. California’s minimum wage is $16 hourly, surpassing the federal rate of $7.25.

Fast-food restaurants intend to raise menu prices to counterbalance the increased wages. According to Jon Tower, a Citi analyst specializing in restaurants, these higher prices, ranging from 5% to low-double-digits, may deter some customers, potentially resulting in reduced foot traffic.

That said, three fast-food chain restaurants came forward with the idea that price hikes might soon be happening to their menus to cope with the $20 minimum wage increase.

It will only benefit people’s health if they eat less fast food.

[Anonymous]

Anonymous wrote:Seems to me those businesses will just pass on those higher labor costs in the prices of their food and then the cycle begins all over again. Fast food preparation is unskilled labor.

Not a problem.

[Anonymous]

California is ridiculously expensive, $20/hr in CA translates to $12-15 in VA. If people want services, fast food workers, they have to start paying.

Personally, I very rarely eat at a fast food place but I am not begrudging the increase in wages. If someone doesn’t like the increase, they can opt to eat at home.

[Anonymous]

Anonymous wrote:I made $4.25 minimum wage in CA in 1994. Have things gone up 5X in price since then? Probably.

$4.25 in 1994 would be equivalent to $8.94 today.

But thirty years ago no one thought you should be able to support a family by working at McDonalds.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Seems to me those businesses will just pass on those higher labor costs in the prices of their food and then the cycle begins all over again. Fast food preparation is unskilled labor.

Not a bad thing to reduce fast food consumption. And there's enough room in the labor market that relatively unskilled labor can get another job.
Then again I haven't eaten from a fast food restaurant in 30 years so my opinion doesn't really matter.

You completely missed the point of OP. Sure fast food isn’t healthy but it isn’t going away anytime soon. No one puts a gun to these workers heads and forces them to work for that pay (unless perhaps they are illegal aliens) . If they don’t like the pay move on and let the market decide but govt mandating minimum wage by law will only exacerbate the inflation problem.

It’s actually the opposite. It helps inflation. If you increase the money rolling through your community it decreases inflation.

Minimum wage workers spend their money, which goes to someone who will s as Leo spend their money, and so on and so on

Giving money to rich people goes into the market or saving and doesn’t help the economy.

Mathis is why BBB helped stop inflation l

Oh wow… the reply is quite something. Please go study basic economics and stop watching CNBC.

Book recommendation for PP: https://www.amazon.com/Economics-Dummies-Sean-Masaki-Flynn/dp/1119476380

[Anonymous]

The fast food prices must rise. There’s no way a business can survive otherwise. Then less people can’t afford it, so they will have to close. The raises are not sustainable. These are not top level chefs.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Seems to me those businesses will just pass on those higher labor costs in the prices of their food and then the cycle begins all over again. Fast food preparation is unskilled labor.

Of course they will.. It’s all over the headlines now. Five guys a meal at five guys is $25 now. A McDonald’s value meal is about $12. Fast food is starting to become a luxury.

That’s an exaggeration. It’s a step below places like Applebees and other chains. Why shouldn’t a complete meal cost $12?

[Anonymous]

Anonymous wrote:I made $4.25 minimum wage in CA in 1994. Have things gone up 5X in price since then? Probably.

Have you been to a supermarket lately?

[Anonymous]

Anonymous wrote:I’m in CA. It’ll be a bonanza for our teenagers with part-time jobs! They make good money!

I am in CA also. Do they even hire teens anymore? Most fast food workers I see are grown a** men and women who barely speak any English.
Were all the nice good looking teens?!

[Anonymous]

Anonymous wrote:

Anonymous wrote:Seems to me those businesses will just pass on those higher labor costs in the prices of their food and then the cycle begins all over again. Fast food preparation is unskilled labor.

Of course they will.. It’s all over the headlines now. Five guys a meal at five guys is $25 now. A McDonald’s value meal is about $12. Fast food is starting to become a luxury.

For these prices they should be paying $20+ an hour. They just have to sell one meal to cover the salary per hour.