California Governor Gavin Newsom Faces Minimum Wage Crisis
Story by GistFest • 19h •
Once known for its scenic landscape, diversity, and powerful politics, California is now a shadow of itself. In 2022, the state boasted a higher GDP than most countries, becoming the fifth-largest economy in the world. However, the state has been tossed into chaos since Governor Gavin Newsom introduced a new minimum wage law.
The new minimum wage law increased the minimum wage for fast-food workers from $15.50 to $20 per hour. While the increase seems to benefit fast-food workers, its ripple effects have sparked discussions about its impact on the broader economy.
Many economists have different opinions on its implications and consequences. Since the minimum wage increase, the fast-food industry in California has witnessed a rollercoaster of effects. With the increment came multiple layoffs as restaurants grappled with the increasing running costs while battling inflation.
Besides the economic downturn, Newsom’s minimum wage increase has raised eyebrows among lawmakers for allegedly playing favorites. The wage hike law contains an exemption that benefits Panera Bread Franchise, owned by Greg Flynn.
https://www.msn.com/en-us/money/markets/california-governor-gavin-newsom-faces-minimum-wage-crisis/ar-BB1mal2m?ocid=widgetonlockscreen&cvid=e186ac99b1474df29b2cd55a7af7358a&ei=90
