What Fox News won’t report: California’s fast food minimum wage increase helped 730K workers with ZERO job loss
What you need to know: The longest-running study on California’s minimum wage increases recently reported that the state’s worker-friendly wage increases result in no job loss, minimal price increases, and is a win-win policy for workers and the economy.
SACRAMENTO – It’s been just over two years since California increased the minimum wage for fast food workers to $20 an hour — helping to create better working conditions and affordability for roughly 730,000+ workers throughout the state. New data show that the policy continues to deliver benefits for working families – with virtually no negative impact on prices or unemployment.
A new study by the UC Berkeley Center on Wage and Employment Dynamics published this month, found that the policy significantly increased worker pay with no impact on jobs and minimal cost increases, 6 cents for a $4 hamburger.
“This study reaffirms that our commitment to fair wages for fast-food workers is not only lifting up working families but also strengthening our economy. Our economy is thriving because we invest in our people, prioritize sustainability, and believe in the power of innovation. In California, we know what’s good for workers is also good for business, and it’s how we have become the strongest and largest economy in our nation.”
Governor Gavin Newsom
The study is the most comprehensive look at the state’s minimum wage increase to date, analyzing employment data and pricing information from tens of thousands of California restaurants over the last two years.
Here’s what the data says:
- This policy helped 730,000+ workers. California’s fast food minimum wage increase is a first-in-the-nation policy putting California on the forefront of economic policy.
- There is no job loss resulting from increasing the fast-food minimum wage. California’s minimum wage increased wages for covered fast food workers by an average of 11% and did not reduce employment.
- The price of fast food goods did not increase dramatically, despite right-wing doomsday reporting. Price increased by only 1.5%, equal to about 6 cents for a $4 hamburger.
This new addition of data updates a previously published study, which showed that not only were there no negative impacts to jobs or workers, but that the industry absorbed any added costs through monopsonistic (higher than competitive) profit margins” which have “absorbed a substantial share of the cost increase.”
Some recent coverage of the study:
✅Fortune: California’s minimum wage barely raised prices — and proved economics wrong about job loss
✅ Capital & Main: Despite apocalyptic warnings, California’s fast food wage hike didn’t kill jobs
The policy is helping increase affordability for working Californians and helping businesses better retain workers.
Don’t believe us? Ask them:
✅ The Wall Street Journal: “Moments like these are some of the best parts of the job,’ Pizano said, recalling when she notified staffers about the wage increases. Some are moms supporting families…”
“The increased pay is helping with worker retention,’ Raising Cane’s said.”
✅The Business Insider: “It’s attracting better workers.”
✅The Wall Street Journal: “Average profit per restaurant increased $6,000 last year, he said.” Dave’s Hot Chicken
✅ The Guardian: “she said she could pay both ‘at the same time’ and still have money left over ‘to take my family to do things and have quality time with them.”
California’s economy is dominating
California’s policies to support workers has not only made it a great state for working families, but have also helped the Golden State economy to thrive. California’s economy continues to dominate, with the nation’s largest economy outperforming most other developed nations. In 2025, California’s economy grew another 5% to reach a record $4.25 trillion. California outperformed every other state in the nation — continuing a 16-year growth streak, growing faster than the second-largest state, Texas, in 2025.
#1 for workers
Last year, a report designated California as a national leader for workers, the #1 state in the nation, with strong policies on wages, worker protections and labor rights, making the state’s communities, businesses, and families stronger. Strong unions and a strong and empowered workforce makes a strong economy, and supporting and protecting workers is a key component of California’s success. It’s why California’s economic growth outpaces all other large states. It’s also why California’s economy is growing faster than the national economy — and why California successfully rebounded after the COVID-19 pandemic, adding more than 3 million jobs since April 2020.
California creates substantially more businesses than other states, including Florida and Texas — leading to more jobs and opportunities for our workers. California is home to more than 4.2 million small businesses, representing 99.9 percent of all businesses in the state and employing 7 million people. With an increasing state population, California is the nation’s top state for access to venture capital funding, and manufacturing, high-tech, and agriculture.