California’s family-owned restaurants are struggling to survive.

California’s 34,000+ quick-service restaurants—many locally-owned by people of color, women and immigrants—are the backbone of our communities. But crippling costs, including the state’s $20/hour minimum wage, are threatening their survival. Lawmakers and regulators must stop policies that unfairly single out these small businesses before restaurants are forced to cut more jobs, raise food prices even higher or shut down for good.

Local Restaurant Owner

Julio B.

Local Restaurant Owner
Local Restaurant Owner

Jair P.

Local Restaurant Owner
Local Restaurant Owner

Raj B.

Local Restaurant Owner
Local Restaurant Owner

Kerri H.

Local Restaurant Owner
Local Restaurant Owner

Brian H.

Local Restaurant Owner
Local Restaurant Owner

Christine E.

Local Restaurant Owner

California’s franchise restaurants are independently owned and operated by diverse small business owners.

60%

are owned by people
of color

50%

are owned by
women

70%

only own one
restaurant

Policies that unfairly single-out local restaurants hurt
minority small business owners
, their employees and customers.

Source: California Restaurant Association and International Franchise Association

Key Issues Facing Family-Owned Local Restaurants

  • In September 2023, California passed AB 1228 which:
    • Raised the fast food worker minimum wage to $20/hra whopping 25% overnight wage hike.
    • Created a statewide Fast Food Council to recommend industry-wide standards and wages.
  • Now, the Fast Food Council is considering an additional 3.5% wage increase for fast food workers—further piling on costs for restaurants and consumers.
  • Local ordinances that further single out family-owned restaurants with costly mandates.
Jonathan E. Local Restaurant Owner Sacramento, CA

Jonathan E.

Local Restaurant Owner

Sacramento, CA

California's Local Restaurant Owners are Feeling the Squeeze

Local Restaurant Owner

"After immigrating to the U.S., I worked tirelessly to create opportunities for my family. I invested my life savings into buying a local restaurant, hoping to build a future they could one day continue. But with the Fast Food Council considering another wage increase, everything I’ve worked for is hanging by a thread. This isn’t just about my business—it’s about the livelihoods of my employees and the future my family has worked so hard to build."

Richard T.

Local Restaurant Owner

San Jose, CA

Local Restaurant Owner

"As a small business owner and former teacher, I’ve dedicated my career to creating opportunities—first for students and now for my employees. But with another wage hike on the table, I find myself questioning whether I should have gone into this industry at all. The Fast Food Council should reject additional wage hikes so local restaurants like mine have a fighting chance to survive and keep supporting our communities."

Cesar Z.

Local Restaurant Owner

North Hollywood, CA

Local Restaurant Owner

"As a veteran and small business owner, I take pride in providing for my team and my community, but if the Fast Food Council raises wages again, I’ll have no choice but to cut hours and raise prices—the last thing I want to do. Every day, I worry about the livelihoods of my employees and the future of the business we’ve built together."

Christine E.

Local Restaurant Owner

San Pedro, CA

Local Restauvrant Owner

"As a young Latino business owner, I worked hard to beat the odds and achieve my dream of owning a small business. Now, the $20 minimum wage—a 25% hike—is jeopardizing the employer-provided benefits my staff rely on. Another increase wouldn’t just hurt single-unit owners like me—it would make it impossible to continue offering these supplemental benefits and hurt the very employees it’s meant to help."

Julio B.

Local Restaurant Owner

Los Angeles, CA

Local Restaurant Owner

"As a second-generation franchisee, my family has spent years building this small business. But with costs already skyrocketing, due largely to the $20/hr minimum wage, another wage increase could be our breaking point. With nearly 60% of California restaurants owned by people of color and 50% owned by women, an additional wage increase that singles out local restaurants would further marginalize the communities we should be uplifting."

Nareh S.

Local Restaurant Owner

Los Angeles, CA

Local Restaurant Owner

"My sister and I are proud to be family business owners. We are especially proud to lead an organization predominantly led by women - 80% of our senior leadership team is made up of women. ALL OF THEM are women of color! It’s not often that sisters can combine forces to continue the legacy of their parents - together, harmoniously and successfully. But, we are doing it! Our ability to continue to do so means we need balanced laws that address both the needs of our employees to live and thrive, and our business’s need to be sustainable and profitable. Legislation that does the opposite directly threatens our ability to give our employees as many hours and benefits as we currently do, and to support our communities through donation of our time, talent and treasure."

Kerri H.

Local Restaurant Owner

Los Angeles, CA

The $20/hour minimum wage isn’t just hurting local restaurants—it’s hurting workers and families too. Since AB 1228 became law, California’s quick-service restaurants have been forced to cut over 16,000 jobs and food prices have skyrocketed 14.5%. A survey of local restaurant owners impacted by the wage hike shows the devastating reality:

98%

raised food prices

89%

reduced employee hours

70%

laid off employees

74%

reported an increased likelihood of shutting down

Sign Up to Help Protect Family-Owned Restaurants

1,500+ local restaurant owners and counting

California’s $20/hour minimum wage and other rising costs are pushing local restaurant owners to the brink. More job cuts, price hikes and restaurant closures are on the horizon—unless we take action. Join the fight!

Lawmakers and regulators should protect local restaurants and avoid policies that further threaten or single out these small businesses.

Local Restaurant Owners

Cesar Z.

Local Restaurant Owner

Los Angeles, CA

Latest News and Updates

The impacts of the $20/hour minimum wage are well-chronicled—with more than 16,000 fast food worker jobs cut, food prices at local restaurants up by 14.5% and hundreds of restaurant closures.

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