Prices at Chipotle, McDonald’s and other fast-food giants in California are rising after a minimum wage hike went into effect.
“The state isn’t making it easy,” Chipotle Chief Executive Brian Niccol reportedly said.
CALIFORNIA’S $20 MINIMUM WAGE FOR FAST-FOOD WORKERS GOES INTO EFFECT “I feel ripped off a little,” Greg LaVay said of rising prices at McDonald’s.
“Chick-fil-A’s prices increased 10.6% on average in California during that time period, Gordon Haskett found.”
California’s new law boosting the minimum wage for fast-food workers in the state to $20 an hour went into effect on April 1, impacting restaurants that have at least 60 locations nationwide, except those that make and sell their own bread.
The overall minimum wage for other workers in California is $15.50 an hour, among the highest of any state.
The federal minimum wage, which has remained unchanged since 2009, is $7.25 an hour, or $15,080 a year for an employee working 40 hours a week.
CALIFORNIA FOOD CHAINS LAYING OFF WORKERS AHEAD OF NEW MINIMUM WAGE LAW Other companies, including Chick-fil-A, Domino’s, Burger King, Pizza Hut, and Jack in the Box have also raised prices since September, The Journal reported.
After California’s minimum wage increase went into effect, prices at Chipotle, McDonald’s, and other fast-food chains increased.
“The Wall Street Journal reported on Sunday that Chipotle revealed in an investor call on Wednesday that prices across its entire menu increased by 6 to 7 percent at its nearly 500 California locations during the first week of April compared with the same period last year.”.
According to reports, Brian Niccol, the CEO of Chipotle, stated, “The state isn’t making it easy.”.
Laurie Schalow, Chipotle’s chief corporate affairs officer, told Fox News Digital in a statement, “Like others in the restaurant industry, we implemented a statewide price increase in light of new legislation in California increasing the wages of restaurant workers.”.
The $20 MINIMUM WAGE for workers in the fast food industry in California is now in effect.
“I feel ripped off a little,” Greg LaVay said of rising prices at McDonald’s.
Additionally, customers are feeling the pinch from Chick-fil-A’s prices in Los Angeles.
According to research conducted by Gordon Haskett Research Advisors, “the price for a spicy chicken sandwich at that location had gone up to $7.09 from $6.29, or 13 percent, since mid-February,” the Journal reported. Gordon Haskett discovered that during that time, the average price increase at Chick-fil-A in California was 10.6%. “.
Effective April 1, restaurants with at least 60 locations nationwide—aside from those that bake and sell their own bread—will be impacted by California’s new law raising the minimum wage for fast-food employees in the state to $20 per hour.
Gov. In September, AB 1228 was signed into law by Gavin Newsom.
California has one of the highest minimum wages in the nation, $15.50 per hour, for all other workers. The federal minimum wage, which hasn’t changed since 2009, is $7.25 per hour, or $15,080 annually, for a worker who puts in 40 hours per week.
Ahead of the new minimum wage law, food chains in California are terminating employees.
According to The Journal, since September, price increases have also been made by Chick-fil-A, Domino’s, Burger King, Pizza Hut, and Jack in the Box.
McDonald’s together with Gov. Fox News Digital requested comment from Newsom’s office, but they did not reply.
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