Reality intrudes yet again: California’s $20-an-hour fast-food-minimum-wage experiment is smashing up the industry.
The law — a pet project of French Laundry-loving Gov. Gavin Newsom — has only been in effect for a bit more than two months, yet these eateries have already cut 10,000 jobs.
Even huge chains like McDonalds have taken the hit, raising prices,cutting worker hours and expediting franchise moves to automation.
If the law’s hitting the major guys that hard, imagine what it’s doing to smaller chains.
Actually, no need to imagine: One chain, Rubio’s California Grill, shuttered 48 locations across the state at the end of May — and filed for bankruptcy Wednesday.
Great work, Gavin!
It’s hurting consumers too: Chik-fil-A prices spiked almost 11% between mid-February and mid-April;Taco Bell prices have gone up by 3%.
No wonder 78% of consumers say fast food is now a “luxury” purchase, per a recent survey.
The law, like so many other pieces of woke insanity, is premised on the idea that everyone working low-skill, entry-level jobs “should” earn a ton.
But all that guarantees is fewer such jobs (or higher prices at the counter), since higher minimum wages raise the cost of labor.
Which means consumers suffer and so do kids looking for their first job.
Or anyone without a ton of training, experience or education who’s just trying to earn a living.
Worse, the law’s utterly corrupt: It contains a bizarre carveout for places that bake and sell their own bread as a standalone item, like Panera Grill.
They don’t have to jack up minimum wages, because a major Panera franchiser is an old buddy and big donor of Newsom’s.
In other words, the law’s not about justice or privilege or any other lefty buzzword.
It’s just more of Newsom’s progressive corruption: a gravy train for my friends and economic pain for everyone else.






