Industry lobbyists say states like New York and Michigan could pass similar legislation to California's FAST Act.
Employees prepare food orders at a Portillo's restaurant in Chicago, Illinois, on Tuesday, Sept. 27, 2022.hike their minimum wage this yearCalifornia's state minimum wage rose to $15.50 an hour on Jan. 1, but depending on the results of an ongoing court battle, fast-food workers in the state could find themselves earning as much as $22 an hour this year. And industry lobbyists say similar legislation could pass in states like New York and Michigan.
Meanwhile, average hourly wages for the industry have climbed 21% in the same period, reaching a projected $18.99 in November. And while labor costs are hard to cut since restaurants need enough workers to keep up with orders, other costs to keeping a restaurant open, like ingredients and electricity, have also grown more expensive, further eating into operators' profits.
Last year, Gov. Gavin Newsom signed a bill into law that creates a 10-person council to govern the wages and working conditions for workers of restaurant chains with more than 100 locations nationwide.
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