California minimum wage 2025 fast food. 50 per hour for all employers. 50 per hour for 2025. 1%) the rate of all other states (7. The pay hike is part of deal between the For additional details on exempt employee classifications, see our previous article. In unadjusted data from the Quarterly Census of Employment and Wages, we find that employment in California's fast food sector declined by 2. (The Center Square) - Federal data now shows California fast food employment is down 16,000 jobs since the passage of the state’s $20-per . Its effects are still debated, but Reuters FILE PHOTO: California fast food workers hold a rally as they celebrate their minimum wage increase to $20 an hour during an event in Los Angeles, California, U. A new law is pushing the hourly wage to $20, which has stirred both relief The minimum wage for all employers in California increased to $16. Employers Starting January 1, 2025, the council has the option to raise the minimum wage for fast-food workers by up to 3. 25 per hour, and has not changed Effective January 1, 2026, California’s minimum wage increases to $16. 7 percent relative to employment in Starting January 1, 2025, California’s statewide minimum wage is $16. Key Facts: 36,565 fast food jobs have been lost in California since AB 1228 was signed into law in September 2023. What’s Next for Fast-Food Operators? The Fast Food Council is expected to vote on the proposed wage increase in April or May 2025. The Council can make future minimum wage increases affecting fast-food workers. 50 per hour, regardless of the size of the employer [source]. 12. 50/hour statewide. 50 per hour — is one of the highest nationwide. Others invested in automated kiosks and other automated devices to help reduce the number of employees. Most recently, a study from the National Bureau of Economic Research confirms what our EPI research forewarned – AB1228 is doing more harm than good for fast food workers in California. 2024 for covered workers depending on the type of facility New research claims California's $20 fast food wage law triggered job losses, reduced hours, and accelerated automation across the restaurant sector. 70 an hour — which represents a The minimum wage in California, effective January 1, 2025, is $16. The minimum wage for fast food workers increased to $20 per hour effective April 1, 2024. The data is clear: the real culprit taking pay away from California’s employees is the skyrocketing minimum wage mandates. 00 per hour effective July 1, 2025. For instance, fast-food workers are entitled to a minimum wage of $20. * The UC Berkeley Labor Center keeps a detailed national list of local minimum wage ordinances. The minimum wage in California, effective January 1, 2025, is $16. The law was signed in September 2023 and went into effect starting April 1, 2024. Using comprehensive employment data, the authors estimate that the state lost roughly 18,000 fast food jobs between In any case, even the most conservative figures have shown massive fast food industry job loss, with no real plan to rectify it outside of California Employer Update: Additional Increases to California’s Fast Food Minimum Wage On Tap for Discussion, by Kartikey Pradhan, Esq. It’s been six months since minimum wage for workers at large fast food chains in California went from $16 to $20 an hour. The federal minimum wage is $7. In addition, the minimum wage increases to $23 per hour for many health care workers effective July 1, 2025. (SB 3, Stats of 2016, amending section 1182. 7 percent relative to employment in the fast food Berkeley, CA – A new study from the Center on Wage and Employment Dynamics at UC Berkeley offers a careful analysis of the effects Starting in 2025, fast food workers across California will see a noticeable change in their paychecks. As the cost of living continues to rise, particularly in major cities like Los Angeles and San Francisco, the minimum wage for fast food employees has become a hot topic of conversation. 1228 enacted a $20 minimum wage and standards-setting council for California’s fast food industry. 50 per hour, but it may vary depending on your industry, city or type of employment This is the minimum wage in California for different sectors. 50/hour for all employers. Soon after Governor Gavin Newsom’s signing of the law, restaurants, customers, and employees alike began bracing for its impacts, even before April. We analyze the effect of California's $20 fast food minimum wage, which was enacted in September 2023 and went into effect in April 2024, on employment in the fast food sector. 00 per hour under AB1228, which may be increased soon in 2025. California - A new study by economists from UC San Diego and Texas A&M suggests that California’s recent $20 minimum wage for fast food workers may have contributed to a decline in employment across the sector. The study, released as California’s Fast Food Council considers further wage increases in 2025, presents compelling evidence that the $20 On February 27, 2025, the California Globe reported another minimum wage hike for the state’s fast-food industry within the next few months. 50 per hour. Abstract This policy brief represents the second in a series of reports on the effects of California’s $20 fast-food minimum wage. But last year lawmakers in the state boosted fast-food workers even higher: they earn $20 per hour, thanks to the change. On January 1, 2025, the California state minimum wage, excluding fast food industry employers and certain healthcare facilities, will increase from $16. A new council will meet to discuss pay Proponents of California’s AB 1228, which passed in September 2023 to raise the minimum wage for the fast food industry to $20 per hour, have repeatedly claimed the law has Starting in 2025, fast food workers across California will see a noticeable change in their paychecks. California’s mandatory minimum wage for fast food workers took effect Monday, with $20 an hour now in place. Learn about new labor laws on paid leave, workplace meetings, and exemptions. Also, certain healthcare workers will see their minimum wage increase to $24. Find out what the exact amount will be when the pay hike goes into effect in 2025. Exempt and industry California’s AB 1228 sets a $20 hourly minimum wage for qualifying fast food workers starting April 1, 2024. Executive Summary A. 1% increase, which Several new 2025 laws relating to the food and restaurant industry, including minimum wage adjustments, expanded entertainment zones, and a The minimum wage in California is set to increase in the new year. The results have been mixed after California raised the minimum wage for fast food workers to $20 per hour in 2024. 5% or match yearly inflation, Certain industries in California have unique minimum wage requirements that surpass the statewide rate: Fast-Food Workers: As of April 2024, fast-food employees have been entitled to a $20 per hour minimum wage. 00 per hour (effective April 1, 2024); California has had a special minimum wage for fast food workers that’s higher than other sectors for one year. When it comes to minimum wage laws, California stands out as a pioneering state committed to ensuring fair compensation for its workers. 90/hour, with higher rates for fast-food and certain municipal and healthcare workers Minimum wages rose in San Francisco, Santa Monica and Los Angeles, California, on July 1, 2025. “One year after California’s $20 minimum wage for fast food workers took effect, the impacts are undeniable: thousands of jobs lost, higher food On September 28, 2023, California Governor Gavin Newsom signed Assembly Bill (AB) No. Employees of the fast food industry now make a minimum wage of $20 an hour, while certain health care workers make a minimum wage that ranges from $18 to $23. 50, with fast‑food workers earning a minimum of $20 per hour, and certain healthcare employees reaching $25 per hour. If The minimum wage in California for 2025 is $16. 50 in 2025, with higher rates for fast food and healthcare workers. A new law is pushing the hourly wage to $20, which has California is raising the minimum wage for fast food workers, marking a hard-won victory for those workers and union organizers. The Department of Industrial Relations does not monitor or verify this list but includes it here as a reference for the public: UC Berkeley Labor Center Inventory of US City and County Minimum Wage Ordinances December 2024 The union representing fast food workers wants to hike the minimum wage above $20 an hour to $20. This move meant to elevate lower-wage workers to tackle the Golden State’s high cost-of-living. [Note: see the April 1 exception for Fast-Food workers in the next section] This adjustment increases the minimum annual salary for white-collar exempt employees, setting it at $68,640 per year o California’s minimum-wage law, which went into effect in April 2024, currently requires that fast-food restaurants with 60 or more locations California’s 2025 minimum wage increase sets new statewide, fast food, healthcare, and local rates employers must comply with. of the California Labor Code. 2023) Fast food restaurant owners and franchisees tell a state board that they can’t afford any more increases in the minimum wage. The first report, issued on September 30, 2024, used early data to generate preliminary estimates of the policy’s impacts in its first three months. California's fast food council has scarcely discussed any regulations other than another potential minimum wage increase. On January 1, 2025, the statewide minimum wage increased to $16. 2%) since the $20 minimum wage was passed. California's minimum wage rises to $16. In April [2025], a major fast food franchisee said he was rushing to install kiosks at his restaurants to save money as the $20 minimum wage took effect, Breitbart News reported at the time. This was the result of Assembly Bill 1229 which established the Fast-Food Council. and Karina Vals, Esq. 50 per hour for all employers, regardless of company size. In April 2024, California implemented a landmark law that raised the minimum wage for fast-food workers at large chains to $20 an hour. The minimum wage for fast food workers at national fast food chains (defined as a set of One year after California introduced a first-of-its-kind $20 minimum wage for fast-food workers, an increase of up to 70 cents is slated for a vote. Economists are divided AB 1228 was signed into law in October 2023 by Governor Gavin Newsom, creating the new $20 minimum wage for fast food employees – a One year after California introduced a first-of-its-kind $20 minimum wage for fast-food workers, an increase of up to 70 cents is slated for a vote. A few months later, the outlet said approximately 10,000 jobs were reportedly cut at California fast food restaurants following the minimum wage It’s been a year, and California fast food workers may soon see another gift coming their way, as the debate heats up on fast food wage increases. This article takes an in-depth look at SUMMARY OF ACTIONS TAKE NOTICE that on April 4, 2016, the Governor of California signed legislation passed by the California Legislature, raising the minimum wage for all industries. New study shows that increase of California minimum wage from $16 to $20 has negatively impacted fast food workers and customers in The minimum wage in California, effective January 1, 2025, is $16. The California Fast Food Workers Union is urging the state to again raise the minimum wage for fast-food employees. The landscape of state minimum wage increases in the fast food industry in 2025 marks a pivotal shift in labor compensation across the United States, with Fast food companies in California cut jobs in response to the state's law raising the minimum wage to $20 per hour according to a new study from the National Bureau of Economic Research. *Data note: Fast food workers represent roughly half of restaurant workers excluding tipped workers such as bartenders, servers, hosts and hostesses, and busboys and bar backs, according to the Bureau of Labor Credit: Unsplash As prices continue to climb—illustrated by $15 Big Mac meals—and job opportunities for young and low-skill workers diminish, ABSTRACT We analyze the effect of California's $20 fast food minimum wage, which was enacted in September 2023 and went into effect in April 2024, on employment in the fast food sector. But over a year later, the results have been mixed—and a new study suggests that thousands of workers may have lost their jobs as a result. Employers must follow The California minimum wage for fast-food workers is on track to rise to $20 an hour next April. 3. Here’s the latest on the debate. 14. The special rule for fast-food workers means they already get more than the state minimum wage, which is $16. On January 1, 2025, California’s state minimum wage will increase to $16. Updates to Minimum Wage Requirements for the Fast-Food industry: Effective April 1, 2024, the minimum wage for fast-food workers at certain chain establishments increased to $20 per hour. Local governments may require higher wages, and some The California Governor's Office has disputed the findings of a July 2025 study which reports that California's 2024 minimum wage increase to $20 for fast food workers cost the state 18,000 jobs, while a UC Berkeley study found no negative effects on fast-food employment and price increases of about 1. As of January 1, 2025, California’s statewide minimum wage rose to $16. 00 per hour to $16. 75 per hour. The minimum wage in California, effective January 1, 2025, is $16. The $20 per hour minimum Datassential, a food and beverage intelligence firm, collected menu price data for fast food restaurant chains that have locations across the country. 5% Increase in Food Prices: Since the legislation mandating the $20 minimum wage for fast food workers was signed in September 2023, New analysis from the Employment Policies Institute of quarterly data from the Bureau of Labor Statistics revealed that California has lost as Starting January 1, 2025, the minimum wage in California is set at $16. As employment ticked up in other states, the California law transferred wealth from fast food workers who lost their jobs to those who didn’t. 50 for employers of all sizes, reflecting a 3. Fast Food Restaurant employers, effective April 1, 2024, and Healthcare Facility employers, effective October 16, 2024 (see below), have a higher minimum wage. Additionally, the minimum salary for full-time exempt employees increases to $68,640 per year in 2025. When the fast food minimum wage was bumped up to $20 an hour from the statewide $16 minimum wage in April, the fast food industry struggled. The California minimum wage, effective January 1, 2025, is $16. Here's what you need to know. Fast food employees – $20 per hour, effective April 1, 2024 for covered workers Healthcare workers – $18-23 per hour effective October 16. The data is bleak for California: menu prices rose by almost double (13. How much did hourly pay go up On January 1, 2025, the California state minimum wage, excluding fast food industry employers and certain healthcare facilities, will increase from The new law—a result of fast-food worker strikes—will increase the minimum wage of workers at restaurants with more than 60 locations in While California voters rejected a ballot measure that would have raised the state's minimum wage to $18 by 2026, several cities across the Bay IRLE’s claim that price increases have merely been “modest” relies on data from just two weeks prior and two weeks after the minimum wage hike The minimum wage in California, effective January 1, 2025, is $16. And the minimum pay rate for hourly-paid licensed physicians who are exempt from overtime premium will increase to $103. As previously described, California voters rejected Proposition 32, a stair-step-increased minimum wage initiative. But local governments don’t stop there—many update wages mid-year based on inflation or local ordinance. S. As of early 2025, California’s minimum wage for qualifying fast-food workers is $20. 1228 into law, repealing the FAST Food Accountability and Standards Recovery Act (FAST Recovery Act) (AB 257) and replacing it with a $20-per-hour minimum wage for fast food workers, among other provisions. B. 00 per hour—by far the highest of any state in the country. The current report draws from the same data sources, but now through mid-December 2024, and from new data Workforce The threat of an increase in California's fast-food wage looms After the minimum wage for restaurant chain workers increased to $20 California’s minimum wage — $16. Some, like Chipotle and McDonalds, raised prices. A July 2025 report California minimum wage 2025 increases to $16. As a reminder, for the first time ever, a separate fast food minimum wage of $20/hour was established for fast food workers at chains with over 60 locations nationally as of April 1, 2024. 50 per hour on January 1, 2025. 5%. With the change in the statewide minimum wage, the minimum exempt salary Members of California’s Fast Food Council were not deterred by a chorus of franchise owners who gathered at a Jan. 23 meeting to object to plans for another minimum wage increase in the fast-food industry. For many, it was a long-overdue win in the fight for a living wage. Discover key compliance tips for employers, including fast food and Effective July 1, 2025, several California cities and counties will implement minimum wage increases, including industry-specific adjustments Now, even more evidence confirms the $20 minimum wage law has been harmful for employees and restaurants. Fast Food Worker Minimum Wage Updates Fast food workers in California also enforces prevailing minimum wage laws specific to certain industries, such as fast food and healthcare. Below are some of the minimum wages applicable to specific industries: California’s Industry Specific Minimum Wages: • Non-Exempt Fast-Food Workers: $20. ) and, in 2023, raised the minimum wage payable by certain Fast Food Restaurant employers (AB 1228, Stats. California’s 2025 minimum wage law raises hourly rates statewide, while many cities and industries apply separate local pay rules. What is the new law that raises the minimum wage for fast food employees? AB 1228 is a new law in California, which added sections 1474, 1475, and 1476 to the Labor Code CDF protects California employers of all sizes and all types of industries in labor, employment and immigration matters while marrying big-firm, big-case background with the value of a specialty-focused firm. , April 5, 2024. , 3-28-2025 The minimum wage in California, effective January 1, 2025, is $16. boihd ksocstv ymsjg miax ydcur zxkrb nberpp senpq bnqzwjo cnsl
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