Big Labor Eats Small Business in California

America’s leading anti-business policy incubator, aka the state of California, is at it again. The State Assembly passed the so-called FAST Recovery Act in January. It was approved by the Senate Appropriations Committee on August 11. The next stop will be a Senate vote, followed by Gov. Gavin Newsom‘s desk. If the law becomes law, it will drive up fast food prices by as much as 22% and wipe out the franchise business model that provides nearly 800,000 jobs in the state.

Why Highlight the Fast Food Industry? Union supporters of the bill, led by the Service Employees International Union, have accused Quick Service franchisees, without evidence, of being particularly vulnerable to labor law violations. In fact, data from the California Department of Industrial Relations shows that the industry commits far fewer labor, wage and hour violations than other industries. Big Labor Eats Small Business in California

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