Staffing at fast-food restaurants in Southern California has reached record highs, with a $20-an-hour minimum wage mandate causing a slowdown in job growth in the industry. Larger quick-serve chains are required to pay workers at least $4 more than the state’s $16 wage floor, leading to potential staff reductions, reduced hours, and increased menu prices.
In July, the four-county region had 363,500 fast-food workers, setting a new all-time high. However, while job growth has been strong since the wage increase, the annual pace has slowed. Full-service eateries in the region are also seeing steady job growth, while overall employment in Southern California has increased by 1.8%.
The state of California as a whole has also seen record fast-food employment numbers, with 750,500 workers in July. However, the increase in staffing is lower than historical trends, indicating a cooling in the industry’s job growth.
Despite the record staffing levels, restaurant operators are facing challenges in adjusting to the higher wages. It is still early in the experiment of the $20-an-hour minimum wage for fast food workers, and the long-term impact on the industry is yet to be seen.
Overall, dining out remains popular in Southern California, with both fast food and full-service eateries experiencing growth in staffing levels. The industry is navigating through the effects of the wage mandate, with potential implications for job growth and economic trends in the region.
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