{"id":603281,"date":"2023-01-31T19:49:40","date_gmt":"2023-02-01T01:49:40","guid":{"rendered":"https:\/\/news.sellorbuyhomefast.com\/index.php\/2023\/01\/31\/mcdonalds-presidents-says-california-fast-act-will-kill-restaurants\/"},"modified":"2023-01-31T19:49:40","modified_gmt":"2023-02-01T01:49:40","slug":"mcdonalds-presidents-says-california-fast-act-will-kill-restaurants","status":"publish","type":"post","link":"https:\/\/newsycanuse.com\/index.php\/2023\/01\/31\/mcdonalds-presidents-says-california-fast-act-will-kill-restaurants\/","title":{"rendered":"McDonalds Presidents Says California FAST Act Will Kill Restaurants"},"content":{"rendered":"
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Published: Jan 30, 2023<\/span><\/span>
\nby Lisa Price<\/a><\/span><\/span>
\nIn Small Business News<\/a><\/span>
\n0<\/a><\/span><\/span><\/p>\n

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The California FAST act \u2013 which would raise minimum wages<\/a> up to $22 an hour for fast food workers \u2013 is on the back burner for now.<\/p>\n

McDonald\u2019s President Joe Erlinger said the FAST Act, legislation known as AB257<\/a>, would make it \u201cimpossible to run small business local restaurants.\u201d<\/p>\n

California\u2019s AB257 actually passed in fall 2022, but more than 1 million opponents signed a petition requiring the matter to be put to vote. California voters will let their opinions known in November 2024.<\/p>\n

Opponents were represented by a group called Save Local Restaurants.<\/p>\n

\"mcdonalds<\/p>\n

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Similar Legislation Introduced in Virginia<\/h3>\n

Virginia\u2019s House Bill 2478 was introduced January 20, 2023. Parts are identical to California\u2019s AB257 \u2013 it would create a governmental fast food industry workers standard board, which would oversee wages and working conditions.<\/p>\n

Virginia HB2478 is currently in the House Committee on Rules.<\/p>\n

What is AB257?<\/h2>\n

Proponents of the legislation are calling AB257 the Workers Rights Bill. What are the key parts?<\/p>\n

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  1. Would create a 10-person, state-run council to negotiate wages, hours and working conditions for 500,000 fast food workers in California<\/li>\n
  2. Hourly wages could be up to $22 per hour, with capped annual increases.<\/li>\n
  3. AB257 would apply to restaurants with more than 100 locations nationwide.<\/li>\n<\/ol>\n

    Would Higher Wages Mean Higher Prices?<\/h3>\n

    According to McDonald\u2019s president Joe Erlinger, the increase in the employees\u2019 hourly wages would raise the cost of quick-serve restaurant meals by 20% or more.<\/p>\n

    The increased prices would cause consumers to cut down their visits to the establishments, which could then lead to a reduction in employees, Erlinger feels.<\/p>\n

    Erlinger also questioned what he terms \u201cfinal hour exemptions\u201d which were tacked on to the existing legislation:<\/p>\n

    It would exempt restaurants with fewer than 100 locations nationwide.<\/p>\n

    It wouldn\u2019t apply to restaurants that bake bread on site.<\/p>\n

    Erlinger said that he would supports \u201cresponsible increases to minimum wage.\u201d But, he added, such increases should be applied to all industries and workers.<\/p>\n

    For the latest, follow us on Google News<\/a>.<\/p>\n

    Image: Depositphotos<\/small><\/em><\/p>\n

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