[testfoobar]

You can see this in California with its mandated $20/hr fast food minimum wage. Restaurants responded by cutting workers or cutting hours.

https://www.nrn.com/quick-service/california-lost-16-000-res...

"It has been almost one year since California implemented a $20 minimum wage for quick-service restaurant workers, and industry experts have been debating the long-term effects the wage jump would have on the industry’s job market.

As it turns out, thus far, the 33.3% wage increase for fast-food workers in California has resulted in almost 16,000 job losses — a decline of 2.8% — across the limited-service food industry from September 2023 (when AB 1228 was signed into law) until September 2024, according to the latest Bureau of Labor Statistics data. Since the law went into effect in April, California’s limited-service restaurant industry has seen an employment rate decline of 2.5%."

[johnnyanmac]

I think that's a horrible analysis, in a time where all job sectors except healthcare is hiring less. A 2.5% decline sounds pretty good when compared to the rest of the job market. Especially in a high turnover market like fast food.

[kelnos]

That article doesn't even attempt to analyze why those jobs were lost, and just parrots the "minimum wage is evil" talking points of a conservative think tank. Hard to take it seriously.

[johnnyanmac]

Yeah, clearly minimum wage increases is why every other sector is also hiring less and laying off more. I'd love to see that -2.5% statitic compared to the tech industry this year in the US (and industry where you'd scoff at the idea of working for $20/hr.

[janalsncm]

Does that compare to other similar states over the same time? It hasn’t been a great year for restaurants anywhere afaik.

[Spooky23]

That’s not a very robust assessment. And even there, the 2.5% reduction is a nothingburger. A busy fast food has like 50 employees working 15-25 hours on average. That works out to a loss of 2-3 people. These stores have been doing that type of efficiency moves since day 1.

My cousins operate fast food stores, none in California. They are doing the same thing. Starbucks let the genie out of the bottle ~15 years ago with the app. Legacy fast food like McDonalds use apps to reduce labor with the incentives of high prices for counter sales and the perception of easier ordering.