California Fast Food Restaurant Minimum Wage Bill Will Impact Restaurants in Pasadena

PASADENA, Calif.— On September 28, 2023, California Governor Gavin Newsom signed Assembly Bill 1228, raising the minimum wage payable by certain fast food restaurant employers.  Beginning April 1, 2024, all “fast food restaurant employees” in California who are covered by the new law must be paid at least $20.00 per hour. A restaurant must meet ALL of the below criteria to be considered a “fast food restaurant”:

  • Be a “limited-service restaurant” that offers limited or no table service, where the customer’s order food or beverage items and pay for those items before the items are consumed.
  • The restaurant is part of a restaurant chain of at least 60 establishments nationwide.
  • The restaurant is primarily engaged in selling food and beverages for immediate consumption.

California’s fast food restaurant employee’s minimum wage supersedes Pasadena’s local minimum wage for those covered by the new law; however, all other persons who are not considered “fast food restaurant employees” must not be paid less than the Pasadena minimum wage of $16.93 per hour. Beginning July 1, 2024, the Pasadena minimum wage will increase to $17.50 per hour for all other occupations regardless of size. This new wage rate will remain in effect until June 30, 2025, when it will again be adjusted.

The hourly minimum wage for fast food restaurant employees may be increased by a state-appointed Fast Food Council beginning on January 1, 2025, at a rate tied to the Consumer Price Index for Urban Wage Earners and Clerical Workers. The Council and its authority expires at the end of 2029.

Questions about enforcement of this new State law should be directed to the California Labor Commissioner’s Office. Information and the address and telephone number of the office nearest you can be found at Dir.Ca.Gov/DLSE/dlse.html or under a search for “California Labor Commissioner’s Office.”  The Department of Industrial Relations “Fast Food Minimum Wage Frequently Asked Questions” page can be found at: California Minimum Wage.

For more information and to stay connected with the City of Pasadena, please visit our website at CityOfPasadena.net, follow us on Twitter at @PasadenaGov, and find us on Instagram and Facebook at @CityOfPasadena. For inquiries, please contact the City Service Center during business hours at (626) 744-7311.