The California State Senate on Monday passed a heavily amended version of Assembly Bill 257, which would create a state-run council to set minimum standards for wages, hours and working conditions for the more than 550,000 fast-food employees in California. (File photo by Mindy Schauer, Orange County Register/SCNG)
Gov. Gavin Newsom signed a nation-leading measure that promises to give more than a half-million fast food workers more power and protections.
Restaurant owners opposed Assembly Bill 257, warning it would drive up consumers’ costs.
The new law will create a new 10-member Fast Food Council with equal numbers of workers’ delegates and employers’ representatives, along with two state officials, empowered to set minimum standards for wages, hours and working conditions in California.
A late amendment capped any minimum wage increase for fast food workers at chains with more than 100 restaurants at $22 an hour next year, compared with the statewide minimum of $15.50 an hour, with cost of living increases thereafter.
“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,” Newsom said in a statement Monday. “Today’s action gives hardworking fast-food workers a stronger voice and seat at the table to set fair wages and critical health and safety standards across the industry. I’m proud to sign this legislation on Labor Day when we pay tribute to the workers who keep our state running as we build a stronger, more inclusive economy for all Californians.”
Last week, the bill got full approval from legislators in Sacramento. A labor movement fighting for union status among fast food workers hailed the signature Monday.
“Gov. Newsom’s signature on AB 257 makes this Labor Day a historic one and shows what’s possible when working people unite and raise our voices,” Anneisha Williams, a Los Angeles fast-food worker and leader in the Fight for $15 and a Union, said in statement. “We’ve gone on strike, marched in the streets and rallied across the state to make sure our demand for a voice on the job was heard even as powerful corporations pulled out all the stops to silence us. We look forward to having a say in creating safe and healthy workplaces across the fast-food industry and to AB 257 serving as a model for workers across the country who desperately need a seat at the table.”
The Senate approved the measure on a 21-12 vote, over bipartisan opposition. Hours later the Assembly sent it to Gov. Gavin Newsom on a final 41-16 vote, both chambers acting with no votes to spare.
“It’s innovative, it’s bringing industry and workers together at the table,” said Democratic Sen. Maria Elena Durazo, who carried the bill in the Senate. She called it a “very, very well-balanced method of addressing both the employers, the franchisees, as well as the workers.”
Almost every Republican senator spoke in opposition, including Sen. Brian Dahle, who also is the Republican nominee for governor in November.
“This is a stepping stone to unionize all these workers. At the end of the day, it’s going to drive up the cost of the products that they serve,” Dahle said. He added later: “There are no slaves that work for California businesses, period. You can quit any day you want and you can go get a job someplace else if you don’t like your employer.”
Restaurant owners and franchisers cited an analysis they commissioned by the UC Riverside Center for Economic Forecast and Development saying that the legislation would increase consumers’ costs. Gov. Gavin Newsom’s administration also fears the measure would create “a fragmented regulatory and legal environment.”
The debate has drawn attention nationwide, including on Capitol Hill where Democratic U.S. Rep. Ro Khanna has expressed hope it will trigger similar efforts elsewhere.
It’s “one of the most significant pieces of employment legislation passed in a generation,” said Columbia Law School labor law expert Kate Andrias. She called it “a huge step forward for some of the most vulnerable workers in the country, giving them a collective voice in their working conditions.”
The bill grew out of a union movement to boost the minimum wage and Andrias said it would “work in conjunction with traditional union organizing to give more workers a voice in their working conditions.”
International Franchise Association President and CEO Matthew Haller countered that the legislation “is a discriminatory measure aimed to target the franchise business model to bolster union ranks.”
Organizations representing Asian, Black and LGBTQ businesses sent a letter to senators Monday arguing that the measure would harm minority owners and workers.
Originally published at Staff and news service reports