Business

Voters Will Determine Fate of Fast-Food Workers Pay Raise

Last September, Gov. Gavin Newsom signed Assembly Bill (AB) 257 into law. Supporters of the legislation, authored by Assemblymember Chris Holden (D-Pasadena), hailed it for its promise to provide a minimum wage and improve working conditions for fast food workers.

Published

1 year ago

February 15, 2023

Oakland Post

Fast food workers marching in front of the State Capitol Aug. 17, 2022, Sacramento, CA. CBM file photo.

By Edward Henderson
California Black Media

But late last month, the future of AB 257 — also known as “the Fast Act” or “the Fast Food Recovery Act” — came into question. California Secretary of State Shirley N. Weber’s office announced that a referendum seeking to overturn the law had gathered enough signatures to be placed on the November 2024 ballot.

“To qualify for the ballot,” the Secretary of State’s office wrote, “the referendum needed 623,212 valid petition signatures, which is equal to 5% of the total votes cast for governor in the November 2018 general election.

When AB 257 passed last year along party lines, it authorized the establishment of the Fast-Food Accountability and Standards Recovery Act or FAST Recovery Act. The bill established the Fast Food Council within the Department of Industrial Relations, to be comprised of 10 members appointed by the governor, the speaker of the Assembly, and the Senate Rules Committee.

According to the bill’s language, the purpose of the council is to establish “sector-wide minimum standards on wages (up to $22/hour in 2023 with capped annual increases), working hours, and other working conditions related to the health, safety, and welfare of, and supplying the necessary cost of proper living to, fast food restaurant workers, as well as effecting interagency coordination and prompt agency responses in this regard.” The act prohibits retaliation against fast-food workers for making certain workplace complaints.

Opponents of AB 257, led by a coalition called Save Local Restaurants, gathered more than 1 million signatures on a referendum petition. About 712,000 of them were deemed valid by Weber’s office, thus putting the referendum on the Nov. 5, 2024, ballot.

The Los Angeles Times published an article telling the stories of 14 voters who say they were misled by canvassers collecting signatures for the referendum. Many of them said that information was withheld from them about the nature of the campaign and were simply told it would support fast food workers.

But the laws’ opponents insist that their challenge to AB 257 is widely supported.

“California voters have made clear that they want a say on whether they must shoulder the burden of higher prices and job losses caused by the FAST Act,” said Save Local Restaurants in their press release. “This legislation singles out the quick service restaurant industry by establishing an unelected council to control labor policy, which would cause a sharp increase in food costs and push many Californians, particularly in disenfranchised communities, to the breaking point.”

The referendum means that the law is suspended until the November 2024 election when voters will decide whether to repeal it.

Holden, who is a former franchise owner said he believes AB 257 would protect both owners and employees — if those opposing the law allow it to work.

“Given, the final version of the bill removed many expressed concerns of subpoena power and joint-liability. While, strengthening the oversight role of the Legislature, providing for equal Sector Council representation and adding a sunset clause to evaluate effectiveness. As a result, this first in the nation worker protection bill is worthy to become law in California,” Holden said when Newsom signed the law last year.

Labor advocates believe the legislation could create a precedent in the U.S for negotiating workplace standards, which would, in turn, revolutionize the collective bargaining process.

However, the coalition of businesses opposing the law feel it would leave businesses with higher labor costs and hiked-up food prices.

According to the nonpartisan Fair Political Practices Commission, fast-food corporations and business trade groups including In-N-Out, Chipotle, Chick-Fil-A, McDonald’s, Starbucks and the National Restaurant Association donated millions to support the referendum effort.

“The FAST Act is bad policy that threatens not only quick service restaurants, but the independents operating in the same neighborhoods,” National Restaurant Association Executive Vice President for Public Affairs Sean Kennedy said in a press release. “There is no way that the regulations passed by this unelected council would not damage the state’s restaurant industry, harm its workforce, and leave diners paying the bill.

“We’re pleased that Californians will get the chance to exercise their constitutional right to vote on this law and will continue to support the operators, small business owners, and workers that make the restaurant industry so important to our customers’ lives.”

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Oakland Post: Week of April 24 – 30, 2024

The printed Weekly Edition of the Oakland Post: Week of April 24 – 30, 2024

Published

2 days ago

April 26, 2024

Oakland Post

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State Controller Malia Cohen Keynote Speaker at S.F. Wealth Conference

California State Controller Malia Cohen delivered the keynote speech to over 50 business women at the Black Wealth Brunch held on March 28 at the War Memorial and Performing Arts Center at 301 Van Ness Ave. in San Francisco. The Enterprising Women Networking SF Chapter of the American Business Women’s Association (ABWA) hosted the Green Room event to launch its platform designed to close the racial wealth gap in Black and Brown communities.

Published

1 week ago

April 20, 2024

Oakland Post

American Business Women’s Association Vice President Velma Landers, left, with California State Controller Malia Cohen (center), and ABWA President LaRonda Smith at the Enterprising Women Networking SF Chapter of the ABWA at the Black Wealth Brunch.

By Carla Thomas

The Enterprising Women Networking SF Chapter of the American Business Women’s Association (ABWA) hosted the Green Room event to launch its platform designed to close the racial wealth gap in Black and Brown communities.

“Our goal is to educate Black and Brown families in the masses about financial wellness, wealth building, and how to protect and preserve wealth,” said ABWA San Francisco Chapter President LaRonda Smith.

ABWA’s mission is to bring together businesswomen of diverse occupations and provide opportunities for them to help themselves and others grow personally and professionally through leadership, education, networking support, and national recognition.

“This day is about recognizing influential women, hearing from an accomplished woman as our keynote speaker and allowing women to come together as powerful people,” said ABWA SF Chapter Vice President Velma Landers.

More than 60 attendees dined on the culinary delights of Chef Sharon Lee of The Spot catering, which included a full soul food brunch of skewered shrimp, chicken, blackened salmon, and mac and cheese.

Cohen discussed the many economic disparities women and people of color face. From pay equity to financial literacy, Cohen shared not only statistics, but was excited about a new solution in motion which entailed partnering with Californians for Financial Education.

“I want everyone to reach their full potential,” she said. “Just a few weeks ago in Sacramento, I partnered with an organization, Californians for Financial Education.

“We gathered 990 signatures and submitted it to the [California] Secretary of State to get an initiative on the ballot that guarantees personal finance courses for every public school kid in the state of California.

“Every California student deserves an equal opportunity to learn about filing taxes, interest rates, budgets, and understanding the impact of credit scores. The way we begin to do that is to teach it,” Cohen said.

By equipping students with information, Cohen hopes to close the financial wealth gap, and give everyone an opportunity to reach their full financial potential. “They have to first be equipped with the information and education is the key. Then all we need are opportunities to step into spaces and places of power.”

Cohen went on to share that in her own upbringing, she was not guided on financial principles that could jump start her finances. “Communities of color don’t have the same information and I don’t know about you, but I did not grow up listening to my parents discussing their assets, their investments, and diversifying their portfolio. This is the kind of nomenclature and language we are trying to introduce to our future generations so we can pivot from a life of poverty so we can pivot away and never return to poverty.”

Cohen urged audience members to pass the initiative on the November 2024 ballot.

“When we come together as women, uplift women, and support women, we all win. By networking and learning together, we can continue to build generational wealth,” said Landers. “Passing a powerful initiative will ensure the next generation of California students will be empowered to make more informed financial decisions, decisions that will last them a lifetime.”

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Black Business Summit Focuses on Equity, Access and Data

The California African American Chamber of Commerce hosted its second annual “State of the California African American Economy Summit,” with the aim of bolstering Black economic influence through education and fellowship. Held Jan. 24 to Jan. 25 at the Westin Los Angeles Airport Hotel, the convention brought together some of the most influential Black business leaders, policy makers and economic thinkers in the state. The discussions focused on a wide range of economic topics pertinent to California’s African American business community, including policy, government contracts, and equity, and more.

Published

1 week ago

April 20, 2024

Oakland Post

Toks Omishakin, Secretary of the California State Transportation Agency (CALSTA), answers questions from concerned entrepreneurs frustrated with a lack of follow-up from the state. January 24, 2024 at the Westin Los Angeles Airport Hotel, Lost Angeles, Calif. Photo by Solomon O. Smith

By Solomon O. Smith, California Black Media

The California African American Chamber of Commerce hosted its second annual “State of the California African American Economy Summit,” with the aim of bolstering Black economic influence through education and fellowship.

Held Jan. 24 to Jan. 25 at the Westin Los Angeles Airport Hotel, the convention brought together some of the most influential Black business leaders, policy makers and economic thinkers in the state. The discussions focused on a wide range of economic topics pertinent to California’s African American business community, including policy, government contracts, and equity, and more.

Toks Omishakin, Secretary of the California State Transportation Agency (CALSTA) was a guest at the event. He told attendees about his department’s efforts to increase access for Black business owners.

“One thing I’m taking away from this for sure is we’re going to have to do a better job of connecting through your chambers of all these opportunities of billions of dollars that are coming down the pike. I’m honestly disappointed that people don’t know, so we’ll do better,” said Omishakin.

Lueathel Seawood, the president of the African American Chamber of Commerce of San Joaquin County, expressed frustration with obtaining federal contracts for small businesses, and completing the process. She observed that once a small business was certified as DBE, a Disadvantaged Business Enterprises, there was little help getting to the next step.

Omishakin admitted there is more work to be done to help them complete the process and include them in upcoming projects. However, the high-speed rail system expansion by the California High-Speed Rail Authority has set a goal of 30% participation from small businesses — only 10 percent is set aside for DBE.

The importance of Diversity, Equity and Inclusion (DEI) in economics was reinforced during the “State of the California Economy” talk led by author and economist Julianne Malveaux, and Anthony Asadullah Samad, Executive Director of the Mervyn Dymally African American Political and Economic Institute (MDAAPEI) at California State University, Dominguez Hills.

Assaults on DEI disproportionately affect women of color and Black women, according to Malveaux. When asked what role the loss of DEI might serve in economics, she suggested a more sinister purpose.

“The genesis of all this is anti-blackness. So, your question about how this fits into the economy is economic exclusion, that essentially has been promoted as public policy,” said Malveaux.

The most anticipated speaker at the event was Janice Bryant Howroyd known affectionately to her peers as “JBH.” She is one of the first Black women to run and own a multi-billion-dollar company. Her company ActOne Group, is one of the largest, and most recognized, hiring, staffing and human resources firms in the world. She is the author of “Acting Up” and has a profile on Forbes.

Chairman of the board of directors of the California African American Chamber of Commerce, Timothy Alan Simon, a lawyer and the first Black Appointments Secretary in the Office of the Governor of California, moderated. They discussed the state of Black entrepreneurship in the country and Howroyd gave advice to other business owners.

“We look to inspire and educate,” said Howroyd. “Inspiration is great but when I’ve got people’s attention, I want to teach them something.”