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California's New Minimum Wage Law Sparks Controversy Over Panera Bread Exemption

Governor Gavin Newsom faces allegations of favoritism as Panera Bread's exemption from the state's new $20 minimum wage law for fast food workers raises questions.

  • California's new law raises the minimum wage for fast food workers to $20 per hour, but includes an exemption for restaurants that sell bread as a standalone item.
  • Governor Gavin Newsom and Panera franchise owner Greg Flynn, a significant donor to Newsom's campaigns, deny any wrongdoing amid accusations of favoritism.
  • Republican lawmakers call for an investigation into the exemption, labeling it as potential 'pay to play' politics.
  • Newsom's office claims Panera Bread may not qualify for the exemption, as their bread is not produced entirely on-site.
  • The controversy highlights the influence of special interests in the legislative process, with both labor unions and business owners seeking exemptions to the law.
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