Politics

State’s New Fast-Food Law Will Deliver a ‘Devastating Financial Blow,’ Group Warns

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California legislators, with union bosses dutifully in tow, took aim at the state’s fast-food industry by passing a law that restaurateurs say will deal them a “devastating financial blow.”

The legislature has sent the highly contentious and controversial AB 1228 to the governor’s desk, but despite the months of wrangling, arguing and revising the bill received, fast-food franchise owners say it is still “draconian” and will be far too costly for marginal restaurant businesses.

After the California State Assembly passed the bill, the National Owners Association put out a public statement blasting the bill.

“The new ‘AB 1228’ legislation has been voted into law and will result in a devastating financial blow to California McDonald’s franchisees at a projected annual cost of $250,000 per McDonald’s restaurant,” the organization said,

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