Governor Signs Minimum Wage Exemption for Hotels & Theme Parks

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Gov. Newsom tonight signed into law a bill that exempts theme parks and hotels from the law that will require a $20 minimum wage at fast food chain restaurants with more than 60 locations nationwide beginning April 1, 2024. The law, which took effect immediately upon the Governor’s signature, also exempts airports, event centers, and museums.

The Governor also recently appointed the Fast Food Council, which will have broad authority to establish sector-wide minimum standards on wages, working hours, and other working conditions related to the health, safety, and welfare of fast-food restaurant workers. The Fast Food Council (Council) met for the first time on March 15 but did not take any action. Under state law, the Council cannot enact policies related to paid sick or vacation leave or predictive schedules. The Council has the authority to raise fast food workers’ minimum wage on an annual basis, but the increase must not be more than 3.5% or the consumer price index, whichever is less. The increases can also vary by region.
 
Since the law signed today exempts theme parks and hotels, the Council’s work should not have a direct impact on CAPA members’ operations. However, CAPA will continue to monitor the Council’s activities and report on any relevant actions taken.

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