Burger Chain In-N-Out Raises Prices Due to Minimum Wage Hike – What You Need to Know

Oakland, California – In-N-Out Burger recently increased prices for some items in its California locations following a minimum wage hike for fast food workers in the state. The chain raised prices for a Double-Double burger, fries, and a drink by $0.25 to $0.50, depending on the location.

According to the chain’s Chief Operating Officer, Denny Warnick, the price adjustments were made to align with a pay raise given to associates at those specific restaurants. This move came after the Fast Act, which took effect on April 1, mandated a wage increase for fast-food employees in California, setting a new starting wage at $20 per hour, up from $16.

Reports indicate that these price increases were observed in various locations, including Los Angeles, San Francisco, and Daly City. The Double-Double combo now costs $11.44 in Los Angeles County, marking a $0.76 increase from the previous year. In San Francisco and Daly City, prices have also gone up, reflecting the impact of the wage increase on consumer costs.

Despite these price adjustments, In-N-Out President Lynsi Snyder has pledged to maintain reasonable prices for customers in California. In an interview, Snyder emphasized the company’s commitment to minimizing the impact of the minimum wage law on prices, reflecting a dedication to customer satisfaction.

Recent data from the Bureau of Labor Statistics shows a 4.8% increase in fast food prices since 2023 and a 47% increase since 2014, outpacing general inflation rates. A comparison of prices over the past decade in 18 markets across the country revealed significant price hikes in popular fast-food items, such as the Big Mac meal, which has seen a 70% increase in price from 2014 to 2024.

As the debate over the impacts of wage increases on consumer costs continues, the fast-food industry grapples with finding a balance between fair wages for employees and affordable prices for customers. The ongoing trend of rising fast food prices underscores the complexities of navigating labor costs in the food service sector, posing challenges for businesses and consumers alike.