With the minimum wage in California increasing to $20 an hour for fast food workers in 2024, some Pizza Hut franchisees say they're preparing to eliminate jobs as well as delivery options for customers.
As first reported by ABC News Los Angeles station KABC, two major Pizza Hut franchisees with restaurants in Orange, Los Angeles, Riverside, San Bernardino and Ventura counties are planning layoffs that would impact 1,200 workers.
The mass layoffs would also reportedly impact another 800 workers at Pizza Hut locations in Sacramento, Central California, Southern Oregon, and the Reno-Tahoe area, according to KABC.
The cuts would eliminate the franchisees' delivery services for customers in those locations, they said. Customers will instead have to rely on services like Uber Eats or DoorDash.
"Pizza Hut is aware of the recent changes to delivery services at certain franchise restaurants in California," a company spokesperson said Thursday. "Our franchisees independently own and operate their restaurants in accordance with local market dynamics and comply with all federal, state, and local regulations, while continuing to provide quality service and food to our customers via carryout and delivery."
The chain, which is owned by Yum! Brands, said access to delivery would continue to be available via the Pizza Hut mobile app, website and phone ordering.
Other fast food companies including KFC and Taco Bell did not immediately respond to ABC News' request for comment.
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