SAN DIEGO (KGTV) — California's upcoming minimum wage increase means major life changes for fast food workers like Sergio Valderrama.
"I usually work until 3 o'clock in the morning," Valderrama said.
Valderrama has been a cashier at a McDonald's in Del Mar for 13 years and often works DoorDash late into the night to make extra money. He earns the state minimum wage of $16 an hour, but that's about to go up to $20 dollars next Monday.
"What does it mean to you when you hear $20 an hour?"
"Me getting a raise of four more dollars is the bomb. Basically I can finish DoorDash earlier and go home and sleep."
This $20 wage comes from Assembly Bill 1228. It applies to more than half a million California fast food workers employed by chains with more than 60 locations nationwide. Although this is good news for Valderrama, political analyst Thad Kousser says there will be negative consequences.
"Businesses are saying this is squeezing us and causing us to contract the number of jobs we're able to hire for."
We reached out to a number of fast food chains. Both Chipotle and Jack in the Box stated they will slightly increase prices in the state. A California-based coalition of franchisees called the IFA says this is likely to happen across the industry, along with layoffs and cut down on employee hours. But the long-term economic impact is still unclear and Valderrama says, this money will bring him more freedom.
"I could take maybe a day off and do something with my family or do something with my daughter," Valderrama said.
