About a year ago, I signed into law an increase in the minimum wage for fast-food workers. The legislation created new protections for these hard-working people and gave them a greater voice in establishing workplace standards.
That bill, which took effect on April 1, increased the minimum wage to $20 per hour for workers at fast-food chains with 60 or more locations and created new health and safety standards.
Predictably, this modest law prompted fainting spells from conservatives and their enablers in the media. Even before I signed the bill, they quickly said it would lead to devastating job cuts and cause scores of businesses to close.
California Gov. Gavin Newsom greets people, Monday, July 8, 2024, near the Common Man Roadside Market and Deli, in Hooksett, New Hampshire. (AP Photo/Steven Senne)
It was used as a scapegoat for businesses declaring bankruptcy, firing workers and more. As reported by the Los Angeles Times, the corporate restaurant industry evenpushed outfake numbers to make it seem like thousands had been fired because of the wage increase.
NEWSOM, CALIFORNIA BUSINESS GROUP SPAR OVER CONTRASTING JOB NUMBERS AFTER MINIMUM WAGE HIKE
Now, the data is in. It shows that the opposite is happening: California now has more fast-food jobs than ever.
In fact, fast-food jobs have increased every month this year. Since the law was enacted, California has added 11,000 new jobs in the industry. As of July, our state boasts a historic 750,500 fast-food jobs.
Customers can be seen walking outside one of the nation’s largest fast-food chains, McDonald’s. (Getty Images)
But the benefits of a higher minimum wage extend well beyond these job numbers. A quarter of fast-food workers are the primary income earners for their families, and two-thirds are women. These workers are more likely than most to deal with workplace retaliation, extreme heat, unsafe working conditions, wage theft and more.
Because of California’s compassion for working people, these men and women living paycheck to paycheck now enjoy better working conditions, reduced financial stress and greater opportunities for upward mobility. Families are finding it easier to make ends meet, reducing their reliance on public assistance programs and contributing to a healthier, more prosperous state.
US STATES LOOKING TO BOOST MINIMUM WAGE TO $20 AS INFLATION ISSUE CONTINUES
This is an industry that has seen profits soar while wages stagnate. Last year, the top 10 fast food chainssaw surging growth, including McDonald’s, which had a63% increase in profits. Also, last year, the 10 biggest fast-food companies spent$6.1 billion on stock buybacks – largely benefiting Wall Street investors.
Contrast those profits with the stories of real people working to support themselves and their families.
California Gov. Gavin Newsom talks to journalists before the debate between former President Trump and Vice President Kamala Harris on Sept. 10, 2024, in Philadelphia. (Chip Somodevilla/Getty Images)
Julieta Garcia, a Los Angeles Pizza Hut worker, said, “Before the increase I had to choose between paying rent or bills on time every month.” Dionicia Cerbacio, who works at a McDonald’s in San Jose, said she’s “hoping to save up and take my grandkids to Disneyland for the first time.” Karina Ceballos, who works at a Castro Valley Jack in the Box, saw $400 extra in her check and said, “I might be able to even save some money.”
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Our commitment to raising the minimum wage is a testament to California’s values. We believe in fairness, equity and the idea that everyone deserves a chance to succeed. And these results dispel the cynics who say we must choose between protecting workers and growing the economy.
The positive impacts we are seeing – job growth, improved working conditions and enhanced economic stability – prove that this policy is not only economically sound but the right thing to do for California families.
Democrat Gavin Newsom is governor of California.
