California fast-food workers next year will see a minimum wage of $20, nearly 19% above recent statewide industry averages.
Fast food workers just got a McRaise. Beginning next April, California’s minimum wage for the state’s 500,000 fast-food workers will increase to $20 per hour, according to an announcement from the Office of Gov. Gavin Newsom.
Newsom signed the fast-food pay-increase legislation, AB 1228, Sept. 28.
That’s a nearly $4 an hour increase over recently reported average hourly wages for fast-food workers which, up through 2022, had been $16.21.
Proposed by Assemblymember Chris R. Holden (D-Pasadena), the legislation authorizes the newly established Fast Food Council to set fast-food restaurant standards for minimum wage, and develop proposals for other working conditions, including health and safety standards and training. The council will consist of nine representatives in total, with two members from the fast-food industry, two representing franchisee groups, two representing employees, two from employee-advocate groups, and one member of the public.
Newsom said fast-food workers have been “fighting” for better wages and working condition for decades. “Today, we take one step closer to fairer wages, safer and healthier working conditions and better training by giving hardworking fast-food workers a stronger voice and seat at the table,” Newsom said after signing the legislation.
Here’s what AB 1228 does:
- Establishes a minimum wage of $20 per hour for fast-food workers beginning April 1, 2024 and allows the council to increase this wage annually.
- The annual wage increase is capped at the lesser of 3.5% or the annual increase in the US-CPI for Urban Wage Earners and Clerical Workers.
- Allows the council to develop and propose other labor, health or safety standards for rule-making by the appropriate body.
- Ensures consistency for a statewide industry wage by stating only the council may set wages for fast food workers until Jan. 1, 2029.
- The council and its authority sunset Jan. 1, 2029.
