California Restaurants and Unions Reach Agreement: $20 an Hour Pay Increase

Labor groups and fast-food companies in California have reached an agreement that will raise the minimum wage for fast-food workers to $20 per hour. The deal, which includes changes to Assembly Bill 1228, removes a provision that could have held restaurant companies liable for workplace violations committed by their franchisees. The agreement is contingent on the withdrawal of a referendum proposal by restaurant companies that aimed to challenge the legislation in the 2024 ballot. The proposed legislation also establishes a council for overseeing future minimum wage increases and workplace regulations.