CA Restaurant Paying Below Minimum Wage

( – A restaurant in California that’s owned primarily by Gov. Gavin Newsom is reportedly continuing to pay some workers below the state’s new $20 minimum wage.

According to some job listings, the PlumpJack Cafe is paying some employees $16 an hour rather than the new minimum wage of $20. The restaurant is located in Olympic Valley and it’s owned by a company called PlumpJack Group, a boutique winery that was co-founded by Newsom along with billionaire friend and investor Gordon Getty.

According to a report by The Sacramento Bee, Newsom has no direct say in what wages the restaurant offers because his business holdings were placed in a blind trust in 2018, shortly before he took office in January 2019.

Multiple job-finding platforms, such as Indeed and ZipRecruiter, had multiple listings for PlumpJack Cafe for various positions. Pastry cook and line cook positions were listed with a $22-$25 starting wage, but busser and host positions were posted at a wage of $16. The listings raised questions about the state’s new minimum wage laws under Newsom, with some accusing the governor of hypocrisy.

The new minimum wage went into effect across California on April 1, only applying to fast-food restaurants and requiring employers to pay a wage of at least $20. Newsom signed the law in September 2023, which he praised as a move toward “fairer wages,” and better “working conditions” and “training.” Newsom said the legislation gives these workers “a stronger voice” and a “seat at the table.” The change impacted half a million workers in California.

Restaurant owners largely opposed the legislation, warning that it would greatly impact their own businesses. Some places are already closing their doors, while others are being forced to severely cut employee’s hours. Franchise chains, such as Round Table Pizza and Pizza Hut, previously announced a projected 1,280 delivery driver layoff this year.

Newsom also received some backlash after being accused of exempting Panera Bread from the law by a loophole. Panera is predominantly owned by one of his biggest donors, Greg Flynn, who gave over $100,000 to Newsom’s 2022 re-election campaign.

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