California junk fee law: Restaurants could be exempt under last-minute bill
“State Sen. Bill Dodd, D-Napa, introduced legislation Thursday that would allow California restaurants to continue to charge automatic fees to diners, potentially reversing part of a controversial state law that will otherwise make them illegal in just three weeks.”
“This will enable restaurants to continue to support increased pay equity and to make contributions to worker health care and other employee benefits,” Matthew Sutton, the restaurant association’s senior vice president of government affairs and public policy, said in a news release. “And, importantly, consumers will remain empowered to make informed choices about where they choose to dine out.”
California is sitting on millions that could boost wage theft response
“The law, known as the Private Attorneys General Act, generates millions each year for a state fund reserved for enforcing state labor laws, including those against wage theft.”
“The money comes from the state’s cut of the settlements and fines that businesses pay in response to these lawsuits. In 2022-23 they left $197 million in the fund unspent; the 2023-24 budget leaves $170 million.”
“But the fund’s single biggest use in the past five years has been to shore up the state budget. In 2020, the state borrowed $107 million from the labor fund for other uses. In April, an early budget deal between Newsom and legislative leaders allowed the state to borrow another $125 million as they sought to reduce a record shortfall.”
Remember to set your alarm for June 15th. Independent restaurants and commercial caterers are invited to apply for $5,000 to build resilience through technology upgrades, equipment upgrades, employee training/retention, and unforeseen hardship.
EMPLOYERS® is the California Restaurant Association's preferred workers’ compensation insurance provider. We offer workers’ compensation insurance and services to CRA members through our network of independent insurance agents.
“Food services accounted for more than 19% of all retail leases last year, rising in recent years to the highest proportion for any category since data firm CoStar Group began tracking the statistic in 2007.”
“The uptick reflects how Americans are spending more time and money at restaurants, from fine-dining hot spots to fast-casual chains. Low unemployment, rising wages, the ascent of “foodie culture” and millennials’ tendency to marry and have children later than previous generations have likely contributed to increased restaurant spending in recent years, analysts say. Single households are less likely to grocery shop than families.”
Heat waves are making restaurant kitchens unsafe. Workers are fighting back
“Stories of working under heat stress are common in the restaurant and food service industry, where back-of-house workers stationed “on the line” must stay on their feet for hours, cooking and prepping next to hot stoves, ovens, fryers, and more. But increasingly, this workforce must contend with an additional source of heat exposure: the record-breaking summer temperatures and heat waves taking place outside the kitchen.”
“Homegrown workers unionized with Unite Here Local 8, which represents about 4,000 hospitality workers in Oregon and Washington state. Anita Seth, the president of Unite Here Local 8, said the goal of the Homegrown heat pay language is to “really incentivize the employer to update and improve their heat mitigation systems,” which could include repairing and maintaining AC but also installing shade coverings for windows.”
At SDG&E®, we value being an integral part of the communities where we provide the #1 most reliable electric service in the nation and where we live and work. Through our charitable investments, we are committed to fostering job creation, promoting leadership and inspiring innovation.
Thank you for being a Platinum sponsor of the 39th Annual Gold Medallion!
LEGAL PARTNER CONTENT: California employer’s obligations to develop Workplace Violence Prevention Plan by July 1, 2024
California employers will be required to implement specific measures for workplace safety by July 1, 2024. This legislation compels most non-health care-related businesses to review and develop certain workplace violence measures by mandating the creation, execution, ongoing maintenance, and employee training of a Workplace Violence Prevention Plan (WVPP). CRA Legal partner Zaller Law Group outlines five issues employers need to understand.
CRA MEMBER BENEFIT UPDATE: Wage Track – April 2024
Since our January 2024 report, median wage trends in the restaurant and food service industry are up across the board with minimal exceptions. With the April 1 implementation of the Fast Act, we anticipated significant wage growth particularly in the Quick Service Restaurant (QSR) segment.
MARKETPLACE PARTNER RESOURCE: A temporary device can help with summer ramp up
If your business is in a tourist or recreation destination, summer may be your busiest sales season. Ensure you are prepared to manage the increased summer sales volume effectively. CRA Marketplace partner Elavon reviews the importance of having a temporary device.
Dragonfly Golf Club 43369 Avenue 12, Madera, CA 93636
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Los Angeles Chapter
🔎 Permanent Al Fresco Program for City of Los Angeles WEBINAR SCHEDULE The Permanent Al Fresco Program for the City of Los Angeles went into effect on January 31, 2024. Under the permanent program, all temporary permits under the COVID-19 emergency order will no longer be valid after July 31, 2024. If you wish to continue offering al fresco dining at your restaurant, you must apply for a permit under the permanent program.
🚗 Los Angeles County Third-Party Delivery Platform Ordinance
During the COVID Pandemic, L.A. County enacted an emergency Ordinance that capped delivery fees for Third-Party Delivery Services at 20% of the order total.
The County officially ended its local COVID emergency declaration on March 31, 2023, and is recommending an update to the existing COVID-19 emergency language in the County Code that would remove the 20% cap on delivery and service fees and adjust to a 15% cap on delivery. In addition, it will also allow restaurants to opt into additional services at their own discretion. This ordinance will only impact the unincorporated parts of the county. The Department of Economic Opportunity is asking for feedback on the proposed changes to the existing Ordinance and kindly ask that you fill out the brief 5-minute survey. You can fill out the survey here.
LA Restaurants Leadership Roundtable: Path for Full-Service Restaurant Growth in California. Focus on Viability and Profitability. lead by Amanda Ho, Co-Owner & CEO, Great Maple AUG 19 ● 3:00 PM – 5:00 PM
Marmalade Cafe – El Segundo 2014 Park Pl # C4, El Segundo, CA 90245
