California will set the minimum wage for fast food workers at $20 an hour beginning April 1, 2024. The new wage is a nearly $4 increase over the old wage of $16.21, and the highest among fast food workers in the country. Gov. Gavin Newsom signed the bill Sept. 28, taking “one step closer” to better wages and working conditions, Newsom said in a press release from his office.

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The previous wage totaled $34,530 in annual income. Fast food workers with one job earn slightly more than half of the low income threshold, $70,000, for Los Angeles. The cost of living in California exceeds the national average by 42%. Necessities like food and clothes exceed the national average by 10%, and healthcare services do so by 9%.

“We did not just raise the minimum wage to $20 an hour for fast food workers. We helped a father or mother feed their children, we helped a student put gas in their car and helped a grandparent get their grandchild a birthday gift,” said Assemblymember Chris Holden, who authored the bill.

Angela Ren, a freshman majoring in economics and an office worker at the USC Emeriti Center, said the wage increase was especially important for people working two jobs with California’s high cost of living.

“With this higher minimum wage, you just get way more breathing room and more leeway, which makes it way less stressful and can help families,” Ren said.

The new raise carries its many benefits, but also consequences, said Mark Phillips, an associate teaching professor at the Price School of Public Policy. Phillips said the wage increase gives fast food workers a living wage, but could also affect employment levels. 

“If [employers] have to pay their employees more money, [they] might not hire as many people,” Phillips said. 

Phillips also said the increasing prevalence of technology such as self-checkout kiosks replacing humans could give employers more justification to lay off workers in addition to the rise in employee retention costs.

Fast food workers have long been fighting for this wage increase. The Fight for $15, a global movement fighting for fairer wages — including a $15 minimum wage in some regions — has been active since 2012, contributing to the movement by holding over 450 strikes in California since 2020. 

Kayla Magdaleno, a freshman majoring in civil engineering and a student worker, explained the value fast food jobs carry.

“[Fast food jobs] are the types of jobs that need more help with hiring people; [it’s] a good job for students because they need to work to make money to fund their school and personal needs,” Magdaleno said. 

The cost of living in California remains a struggle for college students. The wage increase is a win for those in the fast food industry, but many students are paid less on campus. Ren’s wage as a student worker at the Emeriti Center is $17, and while thankful for the pay, she said that the general minimum wage in California should improve as well.

“So many students are fighting with student loans and debt,” Ren said. “Standardizing the minimum wage would be beneficial, or [having] other initiatives within [USC] that are able to help or give priority employment to students.” 

Ingrid Vilorio, a California fast food worker, led the Fight for $15. In the governor’s press release, Vilorio said the fast food wage bill was “just the beginning.” 

“We hope that what we win here shows workers in other industries and other states that when we fight, we win,” Vilorio said.