On Labor Day, Governor Newsom signed Assembly Bill (AB) 257, known as the FAST Recovery Act. The Act establishes a Fast Food Council comprising fast food employees, worker advocates, franchisors, franchisees, and government officials from the Department of Industrial Relations and the Governor’s Office of Business and Economic Development. The Council will have the authority to set industry-wide minimum standards for wages, hours, and other working conditions for fast food workers.

Almost immediately, a referendum effort was launched which would give California voters the opportunity to reject the measure. Supporters of the referendum need about 623,000 valid voter signatures by December 4, 2022, to qualify for the November 2024 ballot.  If the referendum is successful in getting on the ballot the law would be stayed until the measure is voted on.

In addition to the referendum, there may be legal challenges to AB 257, which may also delay implementation.

In the meantime, covered employers should prepare for the impact of the law if it remains in place.

Jackson Lewis will continue to track developments related to the FAST Recovery Act. If you have questions about the FAST Recovery Act or related issues, contact a Jackson Lewis attorney to discuss.

Print:
Email this postTweet this postLike this postShare this post on LinkedIn
Photo of Laura A. Pierson-Scheinberg Laura A. Pierson-Scheinberg

Laura A. Pierson-Scheinberg is a principal in the San Francisco, California, and Baltimore, Maryland, offices of Jackson Lewis P.C and is the leader of the Retail industry group.

Laura represents employers in labor and employment matters, with a particular focus on traditional labor…

Laura A. Pierson-Scheinberg is a principal in the San Francisco, California, and Baltimore, Maryland, offices of Jackson Lewis P.C and is the leader of the Retail industry group.

Laura represents employers in labor and employment matters, with a particular focus on traditional labor issues, union elections and unfair labor practice charges. She has extensive experience in collective bargaining, from serving as chief spokesperson to developing strategy behind the scenes. Laura’s background includes bargaining for both large and small clients from a local to a national level in a wide range of industries, including, but not limited to, manufacturing, retail and healthcare. When recessive bargaining and labor-management disputes become strikes, she has worked with her clients to develop contingency plans and strike preparedness. She also has experience with government contractors subject to the Service Contract Act.

Photo of Gina M. Roccanova Gina M. Roccanova

Gina M. Roccanova is a principal in the San Francisco, California, office of Jackson Lewis P.C. She has more than 20 years of experience in both the public and private sectors and brings a practical, problem-solving orientation to her work in negotiations, counseling, investigations, litigation, arbitration, and training.

Photo of Benjamin A. Tulis Benjamin A. Tulis

Benjamin Tulis is a principal in the Los Angeles, California, office of Jackson Lewis P.C. His practice focuses on advice and counsel within the labor and employment law sector. Ben is a member of the California Advice and Counsel resource group.

Ben counsels…

Benjamin Tulis is a principal in the Los Angeles, California, office of Jackson Lewis P.C. His practice focuses on advice and counsel within the labor and employment law sector. Ben is a member of the California Advice and Counsel resource group.

Ben counsels employers on a host of employment issues, including wage and hour laws, leaves of absence, employment-related agreements, incentive plans, independent contractor classifications, exempt/non-exempt classifications, company policies, reductions in force, workplace investigations, employee discipline, litigation avoidance and helping employers address legal developments on the fly as they arise. Ben assists employers with a wide variety of employment-related agreements, including but not limited to employment agreements, confidentiality agreements, commission agreements, incentive plans, contractor agreements, severance agreements, arbitration agreements and various other agreements with employees and third parties. Ben helps employers develop incentive arrangements, including commission arrangements with industry-specific compliance issues.