On April 1st, 2024, California’s minimum wage was increased by an astounding 25%, from $16 an hour to $20 an hour. This change has been extremely controversial for many reasons and many business owners have been devastated by this change. The raise took place after protests from countless numbers of fast food workers and some large corporations raising their minimum wage. The affected chains include McDonald’s, Starbucks, Pizza Hut, Papa John’s, Wingstop, Chipotle, and more.

The corporations that were affected by these changes will have to let go of employees and raise food prices. This change also affects small businesses, with employees favoring higher pay in the affected corporations than in the smaller companies that can’t change their pay. We will most likely be seeing many places go out of business, higher prices on food, and many employees either quitting or being fired.

Small businesses might have to raise their minimum wages as well to compete for the leaving employees which could run them out of business and the law could indirectly touch them as well. In a couple of years, it is predicted that all minimum wages, fast food or not, will be $20 an hour or more.