Los Angeles, California – A fair wage advocacy group in California is pushing for the extension of the state’s new $20 minimum wage law for fast food workers to all sectors, citing the high cost of living in the state. President of One Fair Wage, Saru Jayaraman, highlighted the challenges faced by working-class people post-pandemic, emphasizing the need for higher wages to combat rising levels of home and food insecurity.
Jayaraman pointed out that in some counties in California, individuals would need a $40 an hour salary to live comfortably, reflecting the immense financial strain faced by many residents. The $20 minimum wage for fast food workers was just the starting point, she noted, underscoring the broader need for fair compensation across various industries to support workers in the state.
California Governor Newsom signed AB 1228 into law, which recently went into effect, applying to workers at restaurants with at least 60 locations nationwide. However, concerns have been raised by restaurant owners and industry insiders regarding the potential negative impact of the new law on small businesses and consumers.
Despite these concerns, Jayaraman dismissed the notion that increasing the minimum wage would lead to job losses or business closures, citing past experience with such wage hikes. She argued that higher wages would inject more money into workers’ pockets, stimulating economic growth and benefiting industries as a whole. Additionally, she addressed the argument that raising wages would result in higher prices for consumers, pointing out that inflation has already affected prices in various sectors.
Small businesses, Jayaraman noted, have been proactive in offering better wages to employees, emphasizing the need for policy changes to ensure a level playing field and attract workers back to the restaurant industry. Ultimately, the call for fair wages extends beyond fast food workers, advocating for equitable compensation across all sectors to address the economic challenges faced by many in California.