After opposition from the sector, a new law intended to increase pay for fast food employees has been postponed for almost 2 years.
The measure was approved by the governor this past year, Gavin Newsom. He established a council with the authority to increase the state’s minimum wage for some workers over $15.50 an hour to a maximum of $22. Fast-food owners and franchisees claim that the rule will prevent the success of their businesses since they will be forced to pay higher wages to employees.
Business organizations were certain that the measure would ultimately be defeated at the polls. However, there is a possibility to reactivate a long-dormant regulatory commission, which is thought to have authority comparable to the Fast Food Council, concealed in California’s over $300 billion in its annual budget.
The commission has the authority to look into how much people are earned in different occupations. If it finds that earnings are “not enough to meet the cost of living,” an industry pay committee may be established to collect information and offer suggestions.
The European Commission can then make accurate guidelines about pay, hours of employment, and circumstances. Additionally, the committee was told to finish its work by the last day of October 2024, which is the final month when the fast food law is put to a vote in the general election.