The ambitious law, which supporters hope will be implemented nationwide, has been sharply criticized by opponents. For advocates, it’s a step toward fair compensation for low-wage workers who have been at significant risk during the pandemic. For opponents, it’s a disastrous move that will drive up food prices, lead to job losses and force some franchisees to consider closing.
“People don’t understand that as wages go up, prices go up,” Bynum said.
Mr. Bynum has raised prices in recent years to maintain profit margins – and each time, he said, he has seen a decline in the number of customers. This in turn forced painful decisions about staff cuts and working hours.
The new minimum wage will increase his monthly expenses by $3,000 to $4,000, he said, and while he hopes to keep all eight of his employees, he doesn’t know if he can add up the numbers.
One employee, Josue Reyes, has worked at the restaurant on and off for the past decade.
He works the evening shift, often takes the bus and rides his hybrid bike the rest of the way to the restaurant. Mr. Reyes, 35, said the steady raises over the years – he now earns $16 an hour – have helped him significantly. He spends much of his salary helping his mother pay rent on the trailer park and tries to save where he can.
While another raise will help him, Mr. Reyes, who has worked in fast food for much of his life, said he fears jobs will soon become more competitive and harder to keep.
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2024-03-28 09:03:11
www.nytimes.com
