Fast food franchisees confirm that they will be increasing menu prices to offset the staggering increase in labor costs due to California’s new $20 minimum wage for all fast food workers. However, the California legislature, in establishing California’s new fast food worker minimum wage, may have failed to deliver high wages to California fast food workers. If the menu prices increase significantly, the fast food workers may find that their higher wages do not significantly increase their buying power at their own workplace- and perhaps in other areas of their life. In addition, if fast food franchisees choose to go fully automated and not hire employees, there are no higher wages for these workers because there will be no wages at all.
Read MoreRecently in February of 2023, in a rare moment of support for the California employer, a California appellate court explicitly held that the employer is not liable for waiting time penalties or wage statement penalties if, at the time, the employer had a good faith dispute as to whether or not the employee was entitled to additional wages.
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