California food chains laying off workers ahead of new minimum wage law

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California fast-food chains are bracing for a new minimum wage law set to go into effect on April 1 by letting go of employees in recent weeks.

Some California fast-food locations are letting go of workers ahead of a new $20 minimum wage law slated to take effect in April that could dramatically impact their bottom lines. Several eateries, particularly pizza chains, have begun to cut jobs, in an effort to get ahead of the possible financial repercussions, The Wall Street Journal reported. Michael Ojeda, 29, a Pizza Hut driver in Ontario, Calif.

Last year, multiple Pizza Hut franchises in California filed notices to comply with the Worker Adjustment and Retraining Notification Act, saying they were discontinuing their delivery services. Many of the services were delivery driver jobs. In December, Southern California Pizza Co. announced layoffs of around 841 drivers across the state. The moves will impact Pizza Hut locations in Los Angeles, Orange, San Bernardino, Riverside and Ventura counties.

 

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