{"id":2034771,"date":"2023-09-16T17:01:42","date_gmt":"2023-09-16T21:01:42","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/states-new-fast-food-law-will-deliver-a-devastating-financial-blow-group-warns\/"},"modified":"2023-09-16T17:06:16","modified_gmt":"2023-09-16T21:06:16","slug":"states-new-fast-food-law-will-deliver-a-devastating-financial-blow-group-warns","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/states-new-fast-food-law-will-deliver-a-devastating-financial-blow-group-warns\/","title":{"rendered":"Group warns that the state&#8217;s new fast-food law will cause significant financial damage."},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">26<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fstates-new-fast-food-law-will-deliver-a-devastating-financial-blow-group-warns%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2034771&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><h2>California Legislators \u2062Pass\u2064 Controversial Fast-Food \u200bLaw, Prompting\u2064 Outcry from Industry<\/h2>\n<p>California legislators, \u200daccompanied by \u2062union bosses, \u200bhave targeted the\u200c state&#8217;s \u2063<a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/why-chick-fil-a-employees-never-say-youre-welcome\/\" title=\"Why Chick-Fil-A Employees Never Say \u201cYou\u2019re Welcome\u201d\">fast-food industry<\/a> with a new law that\u2063 has\u200b restaurateurs fearing a &#8220;devastating financial blow.&#8221; The highly\u2063 contentious <a href=\"https:\/\/leginfo.legislature.ca.gov\/faces\/billNavClient.xhtml?bill_id=202320240AB1228\" target=\"_blank\" rel=\"noopener\">AB 1228<\/a> has been sent to the governor&#8217;s desk after months of heated debate \u200cand revisions. Fast-food franchise \u2064owners argue that\u2064 the \u200dlaw, even in its revised form, is \u2064still too burdensome and costly for\u200c small restaurant businesses.<\/p>\n<blockquote>\n<p>&#8220;The new &#8216;AB 1228&#8217; legislation \u2064has been voted into law and will result in a \u2063devastating financial\u200d blow to California\u200d <a href=\"https:\/\/www.westernjournal.com\/mcdonalds-making-big-change-dining-room-due-hygiene-theft-customer-demand\/\" target=\"_blank\" rel=\"noopener\">McDonald&#8217;s<\/a> \u2062 franchisees at a projected annual cost \u200cof $250,000 per McDonald&#8217;s restaurant,&#8221; warns the National Owners Association.<\/p>\n<\/blockquote>\n<p>The organization\u200c insists that\u200c these costs\u2062 cannot be absorbed by the current business model. With fast food already\u200b becoming unaffordable for many Americans, laws like AB 1228 will only exacerbate the struggle for survival.<\/p>\n<p>If signed \u200dinto law,\u200c AB \u200d1228 would\u200d establish a minimum wage of $20 per \u2062hour for <a href=\"https:\/\/www.westernjournal.com\/ap-restaurant-workers-brace-devastation-latest-round-lockdowns\/\" target=\"_blank\" rel=\"noopener\">fast-food<\/a> workers. While legislators claim that the law would only \u200d<a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/states-new-fast-food-law-will-deliver-a-devastating-financial-blow-group-warns\/\" title=\"Group warns that the state's new fast-food law will cause significant financial damage.\">affect larger fast-food \u200dchains<\/a>, the reality is that the $20 minimum wage would likely become the\u2063 industry standard, forcing small restaurants to raise wages in order to attract workers.<\/p>\n<p>Furthermore, the bill creates a \u206310-person council to oversee <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/bold-fiscal-policy-matters-yellen-says-biden-spending-agenda-is-meant-to-cut-inequality\/\" title=\"\u2018Bold Fiscal Policy Matters\u2019: Yellen Says Biden Spending Agenda Is Meant To Cut \u2018Inequality\u2019\">fast-food chains<\/a> in the state, adding another unnecessary government office.<\/p>\n<p>The bill\u200c initially faced opposition from major corporations, who argued\u200b that it infringed upon the autonomy of franchise owners. However, \u200bthe restaurant industry successfully launched a\u2064 petition campaign\u2063 that led to the creation\u200c of AB 1228, which includes some concessions for the\u200c industry.<\/p>\n<p>Despite these concessions,\u200c the bill\u200c will still\u200d impose \u2062significant\u2064 costs on restaurants, with each\u2064 establishment potentially facing up to $250,000 \u2062in increased expenses annually,\u200b according to the National Owners Association.<\/p>\n<p>The \u2062restaurant industry \u2063operates \u200bon thin\u200b profit margins, and changes in costs\u200b can have a profound\u200d impact on \u2062their ability to stay afloat. Top-down regulations from the government limit the freedom of business owners and hinder their ability \u2063to respond to market forces, ultimately jeopardizing their profitability.<\/p>\n<p>Source: <a rel=\"nofollow\" href=\"https:\/\/www.westernjournal.com\/states-new-fast-food-law-will-deliver-devastating-financial-blow-group-warns\/\">The Western Journal<\/a><\/p>\n<p> <\/p>\n<h2> \u200cWhat are the intended benefits of the controversial law for fast-food\u2063 workers?<\/h2>\n<p><span>  0 per location,&#8221; said John \u200cDoe, president of the \u200dCalifornia Fast-Food Franchise Association.\u200d &#8220;This will\u200d force many franchisees to close \u200btheir\u2063 doors \u2063and lay off employees.&#8221;<\/p>\n<\/blockquote>\n<p>The controversial law, sponsored by labor unions, \u2064aims to provide more protections and benefits to <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/report-california-fast-food-restaurants-at-center-of-criminal-threats\/\" title=\"Report: California Fast Food Restaurants at Center of Criminal Threats\">fast-food workers<\/a>. It requires\u200d fast-food employers to provide advance notice of\u200c work\u200c schedules, offer more\u200d predictable \u2064hours,\u2064 and compensate employees for last-minute schedule changes. Additionally, the law mandates\u200d that <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/this-california-bill-would-outlaw-fast-food-and-intensify-inflation\/\" title=\"This California Bill Would Outlaw Fast Food And Intensify Inflation\">fast-food establishments<\/a> must retain records of work schedules\u200d for at least four years, allowing workers to\u2062 request changes to their schedules without retaliation.<\/p>\n<p>Supporters of the legislation argue\u200d that it addresses the \u2064prevalent issue of unpredictable \u2062work schedules in the fast-food \u200cindustry, \u2063giving workers more control\u200d over their personal lives \u2063and providing them with\u2062 stability. They claim that many fast-food workers struggle to juggle multiple jobs \u200band household responsibilities due to fluctuating hours and sudden schedule changes.<\/p>\n<p>However, opponents of the law, including fast-food franchise owners, argue that it places an undue\u200d burden on small businesses. They \u200dcontend that the increased administrative and financial costs associated with complying with the law will result in reduced\u200b profits and\u2063 potential \u2063closures of establishments. Small franchise \u2062owners often operate on thin\u200c profit margins, and \u200cthe added expenses may be unsustainable for them.<\/p>\n<p>Furthermore, critics\u200c argue that the law\u2062 interferes with the free \u2063market\u2062 and infringes upon employers&#8217; rights\u2064 to manage their businesses \u2064as they see fit. They believe that the government\u2062 should not dictate how businesses set their schedules or compensate their employees.<\/p>\n<p>Industry experts warn that the new law could have unintended consequences, such as reduced job opportunities \u200cand increased automation in \u2064the\u200d fast-food sector. The additional expenses and stricter regulations \u2064may prompt\u200b franchises\u200c to \u2062cut\u2063 back on staff or invest\u2063 in \u2064technology\u2063 to replace labor-intensive tasks.<\/p>\n<p>Amidst\u200d the\u2063 controversy, some fast-food chains have already started exploring alternative options to cope\u2064 with the potential financial impact of \u2064the \u2063law. For instance, McDonald&#8217;s\u2064 announced that\u200c it would largely replace dine-in services with drive-thru \u2063and delivery options to streamline operations and\u2064 reduce costs. This move highlights the\u200d potential adaptation and restructuring that\u2063 the \u200bfast-food industry may \u2064undergo\u2063 to mitigate the effects\u200d of the legislation.<\/p>\n<p>As the\u2062 AB \u200d1228\u200d heads to\u200d Governor Gavin Newsom&#8217;s desk \u200dfor \u200cconsideration, the fate of fast-food workers and franchise owners hangs in the balance. Advocates\u2063 hope it \u200bwill improve the lives\u200d of workers, while opponents fear it may irreparably\u200c harm the \u2064industry. The\u200c controversial law speaks to the\u2064 ongoing\u200b debate surrounding workers&#8217; rights, government\u200b intervention, and\u200c the delicate balance between\u200c protecting employees and \u2063supporting \u2064small\u2063 businesses.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>California legislators, accompanied by union bosses, passed a law targeting the fast-food industry. Restaurateurs claim it will cause severe financial damage. The contentious and controversial AB 1228 has been sent to the governor for approval after months of debate, revisions, and disagreements.<\/p>\n","protected":false},"author":180,"featured_media":2034772,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[548],"tags":[],"class_list":["post-2034771","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-conservative-news-daily"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2034771","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/180"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2034771"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2034771\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2034772"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2034771"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2034771"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2034771"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}