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Restaurant Brands International Inc
Symbol QSR
Shares Issued 316,802,835
Close 2024-06-24 C$ 95.85
Market Cap C$ 30,365,551,735
Recent Sedar Documents

Globe says wage hike harms McDonald's, rivals

2024-06-24 08:58 ET - In the News

See In the News (C-MCDS) McDonald's CDR (CAD Hedged)

The Globe and Mail reports in its Saturday, June 22, edition that the minimum wage mess in California is a cautionary tale for lawmakers. The Globe's guest columnist Gus Carlson writes that it shows the unintended harm caused by attempting to manipulate free market forces for political gain. Last September, Governor Gavin Newsom increased the minimum wage for the 500,000 workers in the state s fast-food restaurant industry by nearly 25 per cent, bringing it up to $20 (U.S.) an hour. This law went into effect in April and applies to any chain with 60 or more restaurants across the country, including well-known names such as McDonald's, Restaurant Brands International's Burger King and California's own In-N-Out Burger. The backlash from the new law has had a rapid and significant impact. Over 10,000 jobs in the quick-service restaurant industry in the state have been cut since the law was announced. There are plans for more cuts this year, with almost 1,300 drivers at chains like Pizza Hut and Round Table Pizza facing job losses. Even though workers are making a higher wage, those who survived layoffs are often logging fewer hours. As a result, the net gain of the new law is muted.

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