California fast food workers now earn $20 per hour. Franchisees are responding by cutting hours
California fast food workers are now earning $20 per hour, but franchise owners are responding by cutting hours. This cycle of increasing wages and reducing hours seems to be the new norm in the fast-food industry. The logic behind this response is confusing; cutting hours means there are fewer employees working, which ultimately leads to a decrease in revenue. So, are these franchisees shooting themselves in the foot?
It’s important to note that the $20 minimum wage in California only affects chain restaurants with 60 or more locations, not all fast food workers in the state. However, stories of franchisees cutting hours for their staff have been making headlines.… Continue reading
John Q. Hosedrinker