(PatriotNewsDaily.com) – The National Owners Association, which is an advocacy group representing roughly 1,000 McDonald’s franchisees recently put out a memo for its members in which they claim that California’s new “AB 1228” legislation is “draconian” and will cost each McDonald’s restaurant an estimated $25,000. They further pointed out that these additional costs could not be absorbed within the business model followed by franchisees right now.
The bill sets forth a number of new components, including that the minimum wage for fast food workers needs to be increased to $20 per hour. A new 10-person council would also be created to regulate fast-food chains and to oversee wages and working conditions.
California Gov. Gavin Newsom who signed the bill into law after it passed through the legislature claimed that his state was focused on helping build up the men and women who have helped the country’s economy grow. He added that with the new regulations, fast-food workers would be given a seat at the table to discuss fair wages and other important issues in the industry.
The bill was passed by the state Senate on Thursday.
In the memo, the NOA stated that McDonald’s along with franchisees and suppliers should find steps that can be taken to help support the “California McFamily.” As part of the suggestions, they pushed for the creation of a state political action committee that was going to lobby the government.
Suppliers have also pushed for lower operation costs which could help cut the costs for fast-food restaurants.
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