Keith Miller on KNX radio
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AAFD in the News: California Minimum Wage Increase

By Published On: January 16th, 2024

In September of 2023, AB-1228 was passed by the California Legislature and signed by Governor Newsom. Central to that legislation was that minimum wage in fast food restaurants would increase to $20 per hour in chains with more than 60 outlets nationwide, including franchised outlets where the franchise exceeds that many outlets nationwide.  

The AAFD expressed its opposition to the legislation after a deal was reached between the Governor’s office, the Service Employees International Union, the International Franchise Association (IFA) and National Restaurant Association (NRA). The AAFD argued that the deal was made behind closed doors without any true franchisee representation who bear the brunt of the impact, and that the increase should not target fast food nor focus on franchised outlets. A link to our opposition statement can be found here (https://backup.aafd.org/wp-content/uploads/2023/09/AAFD-Statement-on-AB-1228-SettlementFINAL.pdf).  

In reaction to the new law, two large Pizza Hut franchisees in California recently disclosed that they would be laying off many delivery drivers and change to third party. This created an increase in interest with the law and the AAFD was contacted for its thoughts. Keith Miller, AAFD’s Director of Public Affairs and Engagement was interviewed by multiple sources on the subject. Below are the links to these stories: 

KNX News Radio: https://omny.fm/shows/knxam-on-demand/ahead-of-california-raising-minimum-wages-for-fast 

One America News TV: https://www.oann.com/video/oan-contribution/pizza-hut-slices-jobs-amidst-californias-new-fast-food-minimum-wage-law/ 

Nation’s Restaurant News: https://www.nrn.com/news/two-california-pizza-hut-franchisees-lay-delivery-workers-ahead-minimum-wage-hike 

Cal-Matters (this story was also reprinted by KQED and LAist): https://calmatters.org/economy/2023/12/minimum-wage-2024/ 

San Diego Tribune (Unfortunately, need a paid subscription to access): https://www.sandiegouniontribune.com/business/story/2023-12-29/fast-food-workers-are-getting-a-huge-raise-will-20-an-hour-become-san-diegos-new-minimum-wage 

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Written by : Keith Miller

Keith is the AAFD preeminent voice for political action in support of franchisee rights at both the Federal and State level. Keith has been an active leader and voice for franchisee causes over the past twenty plus years, with a growing track record of bringing franchisee friendly legislation introduced and adopted throughout the USA. Keith is also a multi-unit Subway franchisee, and understands the challenges and opportunities that come with being in business for oneself. He is passionate about protecting the interests of franchisee business owners, and will work tirelessly to ensure that they are treated fairly under the law.

Keith Miller founded Franchisee Advocacy Consulting to fill a void. Franchise owners, as a class, are the largest investors in the franchise industry. However, franchisees also have the weakest voice with legislators, regulators, and leaders in the franchise industry. This gap, of investor size versus voice, means franchisees have little leverage over how policies directly impact the businesses they have invested in, especially policies that are unique to the franchise industry. Like it or not, special interest groups rule the political landscape. Franchisee Advocacy Consulting will assist franchisees, franchisee groups, and franchisee associations to better engage franchisees in gaining a stronger voice and become a special interest group to be reckoned with. Franchisee Advocacy Consulting only represents franchise owners, working towards their goals. We will not be conflicted by representing other interest groups or claiming we can equally represent all stakeholders in the franchise industry, because we know that is not possible.

Contact us to see how we can help you, or your organization. We are available to speak to your organizations and work with them toward their goals. As our slogan states, we are all about “advancing franchisee causes through engagement and advocacy”.