Pizza Hut Operators in California Lay Off All Delivery Drivers After Gov. Newsom Raises Minimum Wage For Fast-Food Workers

 

Thank a Democrat.

Two major Pizza Hut operators in California will be laying off all of their delivery drivers thanks to a new law that raises the minimum wage to $20 per hour for fast food employees.

In September California Governor Gavin Newsom (D) signed a law raising the minimum wage for fast-food workers to $20 per hour.

“Eighty percent of the workforce, these fast food places – 80 percent of people of color, two thirds…are women, the majority are breadwinners and we have the opportunity to reward that contribution, reward that sacrifice and stabilize an industry in turn. What a remarkable moment,” Newsom said in September during the bill signing.

 

More than 1,200 drivers will lose their jobs thanks to California Democrats. The layoffs will continue through February while the new law will be implemented in April.

KTLA 5 reported:

Two large Pizza Hut operators in California are laying off all their delivery drivers ahead of a new state law that raises the minimum wage for fast-food workers to $20 an hour, Business Insider reports.

The layoffs impact hundreds of Pizza Hut locations across the state including Los Angeles, Orange, Riverside, Ventura and San Bernardino counties and Sacramento, and involve more than 1,200 in-house delivery drivers.

The job cuts will take place through February, according to federal employment notices obtained by Business Insider.

The two major franchisees are “Pac Pizza, LLC,” and “Southern California Pizza Co.” They both handle Pizza Huts in California including Los Angeles, Ventura, Riverside, San Bernardino and Orange County as well as Sacramento.

“The Worker Adjustment and Retraining Notification Act (WARN) requires employers to provide notification 60 calendar days before mass layoffs.” KTLA 5 and Business Insider reported.

Watch:

California’s current minimum wage is $16 per hour. The increase was a result of Assembly Bill 1228, which is supposed to help fast food employees with inflation and cost of living.

Some fast-food companies plan on passing the cost to the consumer with higher menu prices since more money will go to employees.