California Fast-Food Workers Set For 25% Wage Boost, So Chains Are Gutting Employees and Automating

Beginning in April, California fast-food employees at large chains with 60+ locations will see their hourly pay increase from $16 to $20… assuming they haven’t been canned by then. A recent survey by the Center for Union Facts indicates that only 41% of workers expect their total earnings to go up, while 46% foresee fewer working hours and 40% predict staff cuts.
Classic debate… How will minimum wage increases impact employment and overall earnings? Leading up to the change, California has already seen a 1.3% decrease in the number of workers as of January compared to last September. In December, Pizza Hut said it would lay off 1.2K drivers in favor of using third-party delivery apps, and some chains are shifting expansion plans outside of California. While Uber drivers still have work (for now), just wait until the food-delivering robots and self-driving cars arrive.
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