On Monday, California Governor Gavin Newsom signed the Fast Food Accountability and Standards (FAST) Recovery Act into law, creating sweeping new regulations for the state's fast food industry.
The primary effect of the legislation, for at least the next six years, is the creation of a new ten-member Fast Food Council with the stated goal of establishing "sectorwide minimum standards on wages, working hours, and other working conditions related to the health, safety, and welfare of, and supplying the necessary cost of proper living to, fast food restaurant workers" — specifically applying to any chain with 100 or more locations nationally.
The resulting council — which is primarily selected by the governor and includes two representatives each from fast food restaurant franchisors, franchisees, employees, and employee advocates, alongside one each from the Governor's Office of Business and Economic Development and the Department of Industrial Relations, which oversees the council — could have far reaching implications, but one of the most discussed is their power to dictate a statewide minimum wage for the industry, which the law states cannot exceed $22 per hour for 2023.
"California is committed to ensuring that the men and women who have helped build our world-class economy are able to share in the state's prosperity," Governor Newsom stated. "Today's action gives hardworking fast-food workers a stronger voice and seat at the table to set fair wages and critical health...
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