Sign In  |  Register  |  About Santa Clara  |  Contact Us

Santa Clara, CA
September 01, 2020 1:39pm
7-Day Forecast | Traffic
  • Search Hotels in Santa Clara

  • CHECK-IN:
  • CHECK-OUT:
  • ROOMS:

Prices at California Chipotle, McDonald's and other fast-food chains are rising following minimum wage hike

Prices at Chipotle, McDonald's and other fast-food giants in California are rising after a minimum wage hike went into effect in the state.

Prices at Chipotle, McDonald's and other fast-food giants in California are rising after a minimum wage hike went into effect. 

"Chipotle said in an investor call Wednesday that prices at its nearly 500 California restaurants climbed 6% to 7% during the first week of April compared with last year, playing out across its menu," The Wall Street Journal reported Sunday. 

"The state isn't making it easy," Chipotle Chief Executive Brian Niccol reportedly said. 

CALIFORNIA'S $20 MINIMUM WAGE FOR FAST-FOOD WORKERS GOES INTO EFFECT

"I feel ripped off a little," Greg LaVay said of rising prices at McDonald's. 

Prices for Chick-fil-A in Los Angeles are also putting the squeeze on customers. 

"The price for a spicy chicken sandwich at that location had gone up to $7.09 from $6.29, or 13%, since mid-February, according to research by Gordon Haskett Research Advisors," The Journal revealed. "Chick-fil-A's prices increased 10.6% on average in California during that time period, Gordon Haskett found."

California's new law boosting the minimum wage for fast-food workers in the state to $20 an hour went into effect on April 1, impacting restaurants that have at least 60 locations nationwide, except those that make and sell their own bread.

Gov. Gavin Newsom signed the legislation, AB 1228, into law in September.

The overall minimum wage for other workers in California is $15.50 an hour, among the highest of any state. The federal minimum wage, which has remained unchanged since 2009, is $7.25 an hour, or $15,080 a year for an employee working 40 hours a week.

CALIFORNIA FOOD CHAINS LAYING OFF WORKERS AHEAD OF NEW MINIMUM WAGE LAW

Other companies, including Chick-fil-A, Domino's, Burger King, Pizza Hut, and Jack in the Box have also raised prices since September, The Journal reported. 

Chipotle, McDonald's and Gov. Newsom's office did not respond to a request for comment from Fox News Digital

GET FOX BUSINESS ON THE GO BY CLICKING HERE

Fox Business' Breck Dumas contributed to this report.

Stock Quote API & Stock News API supplied by www.cloudquote.io
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.
 
 
Copyright © 2010-2020 SantaClara.com & California Media Partners, LLC. All rights reserved.