How Are Restaurants Coping with the New Minimum Wage?

Second to retail trade only, restaurants are the most affected industry by new minimum wage increases. Because profit margins are low for most restaurants, the significant $15/hour wage increase just instituted in California (and starting to be seen in big cities across the country) will require restaurants to reassess budgets and find creative ways to balance costs.  

What Minimum Wages are Changing? While the federal minimum wage has remained at $7.25 in 2016, there are 16 states that are increasing minimum wages this year (varying from .05 cents to $1/hour). In California, the legislature has now approved a plan to increase the minimum wage from $10/hour to $10.50 next year, with incremental increases up to $15/hour by 2022. In addition, larger cities around the nation, including Seattle, New York, San Francisco and Los Angeles have agreed to a $15/hour minimum wage increase that will be implemented over the next few years.              

How Will California’s…