California fast food workers will be paid at least $20 per hour next year under a new law signed Thursday by Gov. Gavin Newsom.

When it takes effect on April 1, fast food workers in the state will have among the highest minimum wages in the country, according to data compiled by the University of California-Berkeley Center for Labor Research and Education. The state’s minimum wage for all other workers is at $15.50 per hour and is already among the highest in the nation.

Newsom’s signature on Thursday reflects the power and influence of labor unions in the nation’s most populous state, which have worked to organize fast food workers in an attempt to improve their wages and working conditions.

    • atzanteol
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      1 year ago

      Why would you assume increasing the cost of labor won’t increase the cost of the service?

      • Cheems@lemmy.world
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        1 year ago

        In Denmark McDonald’s employees make $20~ an hour and a big Mac costs less. The only reason prices need to go up is to keep profits at an all time high to satisfy the Almighty shareholder. It’s just greed.

        Edit: an extra $4.5 on a 40 hour a week is $180 or $360 pretax. The average rent in Cali as per Google is $1,726. 160~ hours a month ASSUMING you are allowed to work 40 hours you’d make $3200~ a month pretax after tax (per Google) it’s $2,608. Which leaves you $882 after paying rent (around 64% of your income). This part I don’t know about, but around $322 per month for one person for groceries. Leaving you $560 if you are just one person, if you’re a single parent with one or more kid you’re pretty much out of money at that point. Car payment, gas, you have zero extra money at all.

        • slackassassin
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          1 year ago

          I’m not sure their point was that prices should go up, but that they will go up. Which you seem to agree with, you even cited greed as the explanation.

          • Cheems@lemmy.world
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            1 year ago

            I cited that if they did, it would be because of greed. If you have to stop paying slave wages, record profits go away. If they want to pass 100% of that cost onto the consumer, then sure prices will go up to keep those record profits. In no way does it need to though.

            • slackassassin
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              1 year ago

              So, either you think these companies will accept that loss, or you agree with the person you were arguing with.

              Unless there is some wording in this legislation that dictates that the wage increase comes from profitability.

              • Cheems@lemmy.world
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                1 year ago

                I never said it won’t increase prices. What I am saying is that supporting record profits on the backs of people that are unable to afford to pay rent is fucked up. If they can’t supply a product that people can afford without basically using slaves to do it, then they shouldn’t exist. The fact that McDonald’s can exist in other countries and supply a product that is cheaper than it is here is proof that it doesn’t have to be the way it is. Despite doubling cost of wages they should have never been that low in the first place. If you have to eat into your record profits to have people be able to afford to live then that’s your problem Mr every corporation.

                • slackassassin
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                  1 year ago

                  That’s all well and good. But nobody was arguing otherwise.

        • atzanteol
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          1 year ago

          That’s awesome. Nowhere near answered the question but thanks for all the facts.

          • Neve8028@lemm.ee
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            1 year ago

            Your question was literally answered in the first sentence lmfao. Learn to read?

            • atzanteol
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              1 year ago

              I was unaware that Denmark was in the US now.

              • Neve8028@lemm.ee
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                1 year ago

                The point is that they’re able to raise wages and keep prices the same. It has nothing to do with being in a different country. Why would it not be the same case in the US?

                • atzanteol
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                  1 year ago

                  There are many factors that affect price. Wages is one of them.

                  Do you dispute that wages affect price? Why would you expect an across the board increase in labor costs to have zero affect on prices?

                  To take it to an extreme - if CA raised the minimum to $100/hr would you expect a 1$ burger still?

                  • tigeruppercut@lemmy.zip
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                    1 year ago

                    To take it to an extreme - if CA raised the minimum to $100/hr would you expect a 1$ burger still?

                    How about the opposite? To take it to an extreme, if CA raised the minimum to $100/hr would you expect a 100$ burger?

                    There’s obviously a price that consumers won’t accept and so some of the cost of the wages need to start coming out of the pockets of people making millions.

                  • Neve8028@lemm.ee
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                    1 year ago

                    Obviously wages can effect price but the wages and cost of food in Denmark is proof that fast food joints can afford $20/hr without raising prices. You’re bringing up extremes without looking at the reality that exists in other countries. Get out of here with your bad faith arguments.

            • atzanteol
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              1 year ago

              Is Denmark in California? These are completely different economies with entirely different systems of benefits.

              • Cheems@lemmy.world
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                1 year ago

                Ok so you’re just making up a reason to be pissed off. Good luck with that.

                • atzanteol
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                  1 year ago

                  … what? What do you think I’m pissed off at?

                • atzanteol
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                  1 year ago

                  Let me ask this. If Denmark doubled the cost of labor would you expect to see the cost of services increase?