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Some California fast-food locations are letting go of workers ahead of a new $20 minimum wage law slated to take effect in April that could dramatically impact their bottom lines.
Several eateries, particularly pizza chains, have begun to cut jobs, in an effort to get ahead of the possible financial repercussions, The Wall Street Journal reported.
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In December, Southern California Pizza Co. announced layoffs of around 841 drivers across the state. The moves will impact Pizza Hut locations in Los Angeles, Orange, San Bernardino, Riverside and Ventura counties.
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FAT Brands acknowledged that delivery fees may increase and customers could see higher prices as a result of the shift.
Brian Hom, owner of two Vitality Bowls restaurants in San Jose, said he runs his stores with two employees instead of the typical four. The staff shortage means longer wait times for customers and increased prices to cover the added labor costs.
"I’m definitely not going to hire anymore," he told the paper.
The continuing perils of over-regulations by authoritarians. Raise your hand if you saw this coming...
I'm sorry but HAHAHAHA. This is exactly what anyone with a clue has been saying for years. You can't simply just pay people more and not expect that money to come from somewhere. Kind of like Obama mandate that full timers had to get health insurance and then the companies just cut the hours of the employees. Viola.
I distinctly remember when this was 'tried' in Seattle, and the left told us that nothing of the sort would happen, we just didn't want people to 'succeed'.
How about now?
I DO understand what they are saying - wages have not kept up with the cost of living, but the culprit is not necessarily 'minimum wage'. They should be looking into WHY the cost of rent and homes has skyrocketed. Surely there's an answer there, somewhere.
Why is food so expensive these days? Surely there's an answer there, somewhere.
Let's leave 'inflation' to the side for now, and think, really hard, what could possibly be the reason for housing and food to be so expensive!? Who allows it to happen? Why would they do that?
The craziest thing was when was in San Francisco got a 10% tax bill on my restaurant check for the waiters healthcare bill. Last time I ever eat in San Fran.
We're all guilty! Almost every state has a minimum wage law. As does the Federal government.
"Will you sleep with me for a million dollars, he asks! Sure, she replies. Will you sleep with me for $5? What do you think I am, a wh@re? We've already determined that, just haggling over the price!"
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