California's $20 Minimum Wage Prompts Fast Food Chains to Cut Hours, Raise Prices
Franchise owners adjust operations to manage increased labor costs, citing challenges and early benefits.
- Wendy's and Jersey Mike's franchisees have reduced staff hours and increased menu prices.
- Some operators, like Lawrence Cheng, are filling in shifts themselves to manage costs.
- The new wage law has led to job cuts, with one Jersey Mike's owner reducing part-time staff by 20 employees.
- Despite operational challenges, the fast food sector added 8,000 jobs in the first two months post-law.
- Higher wages are attracting better job candidates, potentially reducing turnover rates.