California fast food workers to get $20 minimum wage under new deal

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California fast food workers to get $20 minimum wage under new deal
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Most fast food workers in California would be paid at least $20 per hour next year under a new bill in the state Legislature aimed at ending a standoff...

SACRAMENTO, Calif. — Most fast food workers in California would be paid at least $20 per hour next year under a new bill in the state Legislature aimed at ending a standoff between the industry and labor unions over wages and working conditions.

“A lot of us have to have two jobs to make ends meet, this will give us some breathing space,” said Vilorio, who also works as a nanny. “For us the big victory here is a seat at the table with employers,” said Mary Kay Henry, international president of the Service Employees International Union. “We think the lesson here is major corporations in the United States that operate globally can sit down and think through common issues in their industry with workers.”

Raising the minimum wage can both benefit and hinder the economy, according to Sung Won Sohn, an economist at Loyola Marymount University. He said any time wages increase in one sector, it tends to increase salaries in other sectors, too — meaning many other workers will benefit. But higher wages generally mean higher inflation, which increase the price of goods for everyone.

Before the law could take effect, the fast food industry gathered enough signatures to qualify a referendum on the law in the November 2024 election. That meant the law would be on hold until voters could decide whether to overturn it.

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