Statewide industry reports on restaurant pricing

California Restaurants Raise Prices After $20 Minimum Wage Law and Junk-Fee Ban

May 10, 2024, 02:45 PM

Following the implementation of California's new $20/hour minimum wage law for fast-food workers, Chipotle and other restaurants have increased their menu prices. Chipotle's wage expenses in California rose by 20%, prompting a nearly 7% hike in their menu prices. The state has also enacted a junk-fee ban effective July 1, which is expected to cause further increases in restaurant prices. Previously, the average hourly wage for leisure and hospitality workers in California was $25.82 as of March.