Fast-food franchisees in California fear they'll lose customers to Chili's and Applebee's as prices soar over $20 wage

Sun, 04/14/2024 - 17:42

Signs for casual dining and fast food restaurants are seen along U.S Route 11 in Bloomsburg PA — Fast-food franchisees in California are raising prices to offset the state's new $20 wage.
Paul Weaver/SOPA Images/LightRocket via Getty Images

Fast-food franchisees in California fear diners will flock to Chili's and Applebee's to avoid price hikes.
Limited-service restaurants are raising prices to offset the state's $20 wage for fast-food workers.
As a result, the price gap between fast-food and casual dining restaurants could narrow.

California recently raised its minimum wage for fast-food workers to $20, and franchisees raising prices to offset this fear they could send some diners into the arms of casual dining chains like Chili's and Applebee's.