🔑The new $20 minimum wage in California applies only to fast-food restaurants.
🤔Franchisees, who are small business owners, will face the most serious challenges due to the wage increase.
💼The majority of fast-food restaurants in California are family-owned and operated.
⚖️The new wage mandate is unprecedented and only benefits employees, not franchise owners.
🔁Franchisees will need to find labor efficiencies and accelerate digital channels to drive top-line revenue.
Who does the new $20 minimum wage in California apply to?
—The new minimum wage applies to fast-food restaurants in California.
Which businesses will face the most significant challenges due to the wage increase?
—Franchisees, who are small business owners, will face the most serious challenges.
What percentage of fast-food restaurants in California are family-owned and operated?
—The majority of fast-food restaurants in California are family-owned and operated.
Who benefits from the new wage mandate?
—The new wage mandate only benefits employees, not franchise owners.
How can franchisees mitigate the impact of the wage increase?
—Franchisees can find labor efficiencies and accelerate digital channels to drive top-line revenue.
00:01The new $20 minimum wage in California puts fast-food franchisees at a significant disadvantage.
00:10The majority of fast-food restaurants in California are family-owned and operated.
00:36The new wage mandate only benefits employees who work in franchise restaurants.
01:27Franchisees will need to find labor efficiencies to make up for the 25% increase in wages.
02:23Some fast-food restaurants have already laid off employees ahead of the wage increase.
