California Fast-Food Chains Increase Prices Following Minimum Wage Hike
As California's minimum wage for fast-food workers rises to $20, businesses adjust with significant menu price increases and staff reductions.
- California's new law raises the minimum wage for fast-food workers to $20, impacting chains with over 60 locations.
- Prices at major chains like Chipotle and Chick-fil-A have seen increases between 6% and over 10% since the law's implementation in April.
- Some chains, including a Pizza Hut franchisee, have responded with layoffs, citing increased labor costs.
- Prior to the wage increase, California already led the nation with a 7% rise in fast-food menu prices.
- The wage hike aims to support nearly 10 million workers nationwide, including a significant number of women and working parents.