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OUCH: Restaurant Industry Collapsing After California Raises Minimum Wage

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Surprise, surprise, the restaurant industry collapses after California hikes minimum wage to $15.

Coastal cities in California are seeing a decline in restaurants with some closing their doors for good. All thanks to their minimum wage hike to $15 an hour. Restaurants cannot keep up with the high minimum wage. California is just a mess.

From The Federalist Papers:

San Francisco, an early adopter of the $15 wage. It’s now experiencing a restaurant die-off, minting jobless hash-slingers, cashiers, busboys, scullery engineers and line cooks as they get pink-slipped in increasing numbers. And the wage there hasn’t yet hit $15.

As the East Bay Times reported in January, at least 60 restaurants around the Bay Area had closed since September alone.

A recent study by Michael Luca at Harvard Business School and Dara Lee Luca at Mathematica Policy Research found that every $1 hike in the minimum wage brings a 14 percent increase in the likelihood of a 3.5-star restaurant on Yelp! closing.

Another telltale is San Diego, where voters approved increasing the city’s minimum wage to $11.50 per hour from $10.50, this after the minimum wage was increased from $8 an hour in 2015 – meaning hourly costs have risen 43 percent in two years.

Run by democrats, elected by democrats, economy destroyed by democrats. No surprise here… I firmly refuse believe that any Burger flipper is worth the same wage as a first responder or our servicemen risking their lives overseas. The thought is just ridiculous!



Skilled professionals with years of experience, who have hard jobs, mentally and/or physically deserve higher wages. How do you do less than nothing and get paid a good wage? This is entitlement at it’s best…

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