By Ella Stone
Recently California has made the decision to raise the minimum wage in fast food restaurants to 20 dollars an hour, which is expected to decrease poverty levels. But what could this mean for minimum wage workers as a whole?
ABC News says that many low-wage workers around California are soon expecting to see a raise in their paychecks to compete against this offer. People without this pay offer are going to start going around Taco Bell, Wendy’s or other chains asking for a job.
The law to raise minimum wage to $15 to $20.00 an hour was signed into law last September by California Gov. Gavin Newsom, and will go into effect April 1, 2024. Workers still worry that this still isn’t a livable wage. According to the Massachusetts Institute of Technology living wage calculator, the minimum that a single adult with no children could live on in California is $21.24.
Angelica Hernandez, a Mcdonald’s employee who has worked there for 19 years, says she has earned minimum wage at times. Currently she is making $18.18 hourly and says 20 most likely won’t allow her to save money and won’t be life changing, but may allow her to buy a candy bar while grocery shopping without having to overdraw her account. She also hopes that she will be able to live more freely.
Many fast food restaurants employ teens, their first job, as a way for them to gain work experience. If adults are leaving jobs paying less they could potentially take away opportunities for teens or people with less education who aren’t eligible for other jobs. Leaving more people unemployed and possibly on the street.
Raising minimum wage and recent inflation isn’t as beneficial as some may think it is. It can cause higher interest rates and negative economic effects. Will this change in pay really be positive in the long run?
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