CA Changes The Game
Will similar legislation be introduced in New York and other states?
U.S. labor and employment laws recognize that more than one entity can be responsible as an employer, even if there is only one "employer of record." One Employer of record means only one entity holds itself as the Employer. Joint Employer destroys the concept of franchising. Joint Employer is a driving force behind everything organized labor proposes. A new way of setting fast-food wages in California was instituted Monday when Gov. Gavin Newsom put his signature on AB 247, popularly known as the Fast Act. The legislation shifts the responsibility of setting the minimum wage for quick-service workers from the state or federal legislature to a council that includes fast-food workers and union representatives, giving them a significant role in setting their pay. Employers will also have four seats on the council, equaling the number of places labor representatives will hold. All panel members will be appointed by state officials rather than elected. Under the setup, the council can raise the pay floor for quick-service workers to as much as $22 an hour in 2023. They can then raise the minimum annually by however much the federal Consumer Price Index increases, up to a rise of 3.5%. The council will also have the power to set workplace standards that fast-food employers need to meet. That function is intended to give workers a loud voice speaking for their safety and comfort. While the regulations will apply only to the CA fast-food sector that is part of chains with at least 100 units nationwide, smaller chains will likely be impacted by wage creep.
A big negative for JACK, CMG, and SBUX
Knapp - high-end steak house
In AUG 2022, high-end steakhouse comp sales were up 6.1%, and comp covers -0.2% decrease.
In August, 4 of 4 weeks had positive comparable restaurant sales results. The comp sales run rate for the first two weeks of August 2022 is 3.7%. The comp sales run rate for the last two weeks of AUGUST 2022 is 8.6%.
HIGH-END STEAKHOUSES WEEKLY USA LEVEL DATA
Comp Sales Comp Covers
Week ending AUGUST 07 2.9% -2.9%
Week ending AUGUST 14 4.5% -2.2%
Week ending AUGUST 21 7.7% 1.4%
Week ending AUGUST 28 9.5% 2.9%
MONTH OF AUGUST 2022 6.1% -0.2%
