Employment lawyer breaks down FAST Recovery Act and how it may pave the way for other industries
On Labor Day, California Gov. Gavin Newsom signed AB 257, a bill to not only regulate the fast-food industry, but also give unprecedented power to the 556,000 Californians working in fast-food restaurants.
The Fast Food Accountability and Standards Recovery Act (aka the “FAST Recovery Act”), which enacts specific workplace rules and standards for fast-food companies with 100 or more restaurant locations nationwide, is one of the most significant pieces of employment legislation passed in a generation.
Read more: Schitt’s Creek star: ‘There are workplaces where nobody thinks about the employee’
The law, which goes into effect next year, authorizes the creation of the Fast Food Council, comprised of representatives from labor and management to set minimum standards for wages, conditions related to health and safety, security in the workplace, the right to take time off from work for protected purposes and protection from discrimination and harassment.
Most newsworthy is that the council may raise the minimum wage for fast-food workers up to $22 per hour on January 1, 2023. Every year thereafter, the council can bump up the minimum wage by the lesser of 3.5% or the increase in the Consumer Price Index (CPI).
Given that the state minimum wage will be $15.50 per hour on Jan 1., the council could cause a historic jump in minimum wages that employers will have to scramble to comply...
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