AB 1228 Increases Minimum Wage to $20/Hour for Fast Food Workers and Establishes Fast Food Council for Stronger Worker Protections

Under Assembly Bill 1228, the minimum wage for fast food restaurant employees will increase to $20 per hour starting April 1, 2024. The bill also establishes a Fast Food Council within the California Department of Industrial Relations, which is empowered to establish annual minimum wage increases of up to 3.5%, with certain limitations, starting on January 1, 2025.  The Fast Food Council also has the authority to establish minimum standards on working hours and other working conditions to maintain the health and safety of fast food restaurant employees through January 1, 2029.  Local governments are not allowed to enact or enforce any laws setting wages and salaries for fast food restaurant employees during this time.

Fast food workers and labor advocates will make up a significant portion of the Fast Food Council.  The Fast Food Council will have 9 voting members, including 2 representatives of the fast food restaurant industry, 2 representatives of fast food restaurant owners or franchisees, 2 representatives of fast food restaurant employees, 2 representatives of advocates for fast food restaurant employees, and 1 unaffiliated member of the public.  The bill also explicitly prohibits employers from retaliating against employees who participate in any proceeding by the Fast Food Council.

This new law not only provides a significant wage increase to fast food restaurant employees, but also empowers them to take a major role in determining their own wages and working conditions in the immediate future.

For more information on this bill, please contact your labor law counsel.