Did California's Fast Food Minimum Wage Reduce Employment?
15 days ago
- #employment
- #minimum wage
- #fast food
- California enacted a $20 fast food minimum wage in September 2023, effective April 2024.
- Unadjusted data shows a 2.7% decline in fast food employment in California compared to the rest of the U.S. from September 2023 to September 2024.
- Adjusting for pre-AB 1228 trends increases the decline to 3.2%.
- Netting out employment changes in non-minimum-wage-intensive industries further increases the decline.
- Median estimate suggests a loss of 18,000 fast food jobs in California relative to the counterfactual.