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Celeb chef slams Gavin Newsom's ‘self-congratulatory propaganda’ about California’s $20 fast-food minimum wage

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Celeb chef slams Gavin Newsom's ‘self-congratulatory propaganda’ about California’s  fast-food minimum wage


Celeb chef slams Gavin Newsom’s ‘self-congratulatory propaganda’ about California’s $20 fast-food minimum wage

California’s $20 minimum wage for fast-food workers took effect on Apr. 1.

While the legislation has faced criticism, Gov. Gavin Newsom is celebrating its impact.

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“Since the law was enacted, California has added 11,000 new jobs in the industry. As of July, our state boasts a historic 750,500 fast food jobs,” he wrote in a recent op-ed for Fox News, citing data from the Bureau of Labor Statistics.

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According to Newsom, California now has more fast food jobs than ever before.

He also highlighted how the legislation has improved conditions for those working in the fast food sector, stating, “Because of California’s compassion for working people, these men and women living paycheck to paycheck now enjoy better working conditions, reduced financial stress and greater opportunities for upward mobility.”

However, not everyone shares Newsom’s enthusiasm. Celebrity chef and restaurant owner Andrew Gruel dismissed the op-ed as “typical Gavin Newsom self congratulatory propaganda based on questionable data.”

“I think it’s a little early to put the book on the shelf and take the victory lap here,” Gruel told Fox Business, cautioning that it may be too soon to fully assess the long-term effects of the wage hike on the industry.

Analyzing the numbers

Gruel raised concerns about the accuracy of Newsom’s claims.

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“These aren’t even seasonally adjusted numbers,” he noted, referring to the data cited by the governor.

Experts have echoed Gruel’s concerns about the lack of seasonally adjusted data.

“So the governor is saying that the data shows California has the highest fast food employment it’s ever had. Unfortunately, he’s using a preliminary data set released by the Bureau of Labor Statistics,” Rebecca Paxton, research director at the Employment Policies Institute, told KTLA. “The latest set that the Bureau of Labor Statistics releases is called seasonally adjusted, which is what economists use to measure policy impacts,”

The distinction is significant because seasonally adjusted data accounts for typical seasonal employment fluctuations, such as temporary hiring spikes during holidays or reduced staffing in slower months. Seasonal adjustment provides a clearer picture of underlying trends by smoothing out these predictable variations. Without this adjustment, unadjusted numbers can present a skewed perspective, potentially misleading when assessing long-term policy impacts.

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Gruel also questioned the timeframe of Newsom’s analysis.

“He’s using like, nine or 10 months, and really it’s only been three months in this data in which the bill actually took effect,” he explained. “In the grand scheme of 750,000 jobs isn’t a huge number.”

However, Newsom’s breakdown did reveal some promising short-term figures. It showed that in April 2024, California’s fast food industry employed 739,500 workers. This number grew to 743,300 in May, 744,700 in June, and reached 750,500 by July. This means that between April and July — a period of just three months — the state added 11,000 fast food jobs

‘Unintended consequences’

Gruel argued that even if Newsom’s numbers are accurate, they fail to capture the full picture due to the “unintended consequences” of the legislation.

One major consequence, according to Gruel, is the reduction in worker hours, which inflates job creation statistics without genuinely benefiting employees.

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“The first thing that these multi-unit restaurants did when they found out about this bill was they took people who were working overtime — so anything over 40 hours — and they cut their hours down to 25 or 30. Those people went and got other jobs,” he explained.

Gruel pointed out that instead of having one person work 55 or 60 hours a week, restaurants now split that position between two employees working 30 to 32 hours each. This appears as job growth on paper.

He shared insights from his own experience as a restaurant owner, observing a noticeable increase in fast food workers seeking additional employment since the law took effect.

“I know that because starting in at roughly April, we got flooded on the full-service side with people who were looking for a second job because they weren’t allowed to work overtime anymore, and this was in our restaurants, and we still are getting flooded from fast food workers looking for another job,” he recounted.

Read more: Rich, young Americans are ditching the stormy stock market — here are the alternative assets they’re banking on instead

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Some restaurants have closed

Gruel’s concerns align with classical economic theory, which suggests that setting a wage floor above the market equilibrium can lead to unintended consequences. Employers, faced with higher labor costs, may reduce hiring, cut workers’ hours, or even eliminate positions altogether to maintain profitability. This is especially problematic for low-wage workers with less experience or skills, who are more vulnerable to these changes.

California has seen a consistent and significant increase in its minimum wage over the past decade. In 2014, the state’s minimum wage was $9.00 an hour. Today, it’s set at $16 an hour, rising to $20 an hour for fast food workers. For some business owners, this increase has forced difficult decisions.

A Fosters Freeze outlet in Lemoore shut down on April 1, leaving its workers without jobs. Its owner, Loren Wright, said in a text to KMPH that the substantial rise in minimum wage has made it challenging for small businesses to stay afloat.

Lawrence Cheng, whose family owns seven Wendy’s locations south of Los Angeles, admitted to cutting his staff’s hours due to the minimum wage increase.

“We kind of just cut where we can,” Cheng told the Associated Press. “I schedule one less person, and then I come in for that time that I didn’t schedule and I work that hour.”

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However, there are alternative economic theories, such as the efficiency wage theory, which argue that higher minimum wages can boost worker productivity and reduce turnover, as better-compensated employees may be more motivated and loyal. Additionally, increased wages can boost consumer spending, as low-income workers have more disposable income, potentially stimulating economic growth.

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This article provides information only and should not be construed as advice. It is provided without warranty of any kind.



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Newsom to impose 100% tax on California payees of Trump’s $1.8bn fund

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Newsom to impose 100% tax on California payees of Trump’s .8bn fund


California governor Gavin Newsom is looking to thwart Donald Trump’s $1.776bn “anti-weaponization fund” by imposing a 100% tax on any payout received by state residents.

In May, the Department of Justice (DoJ) announced a fund to compensate alleged “victims of lawfare and weaponization”. It’s unclear who qualifies under this category.

The fund was the product of a settlement reached between Trump and the Internal Revenue Service (IRS) – the agency the president sued over his leaked tax returns.

Critics, including Newsom, have slammed the fund as a “boondoggle” designed to divert money to Trump’s allies. Speculation has swirled that its benefactors could include the individuals who were arrested in the 6 January 2021 siege of the US Capitol. The Trump administration has described the rioters as patriots and since pardoned many who were charged in relation to the attack.

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“People who assault cops and overthrow democracy don’t deserve a taxpayer-funded payday,” Newsom wrote in a Wednesday post to X, after announcing his plan at a news conference.

Five people appointed by the US attorney general will preside over the $1.776bn, which will be funneled from a fund typically used to pay court judgments.

Todd Blanche, the acting US attorney general, characterized the fund as an avenue “to make right the wrongs that were previously done”. Quarterly reports on who has received monetary relief and in what amount will be sent to the attorney general. Claims will not be processed after 1 December 2028, at which point any remaining amount will be returned to the federal government, according to the DoJ.

The DoJ did not immediately respond to a request for comment on how it would address Newsom’s proposed tax.

It’s the latest in a longstanding bitter feud between Newsom and Trump.

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The two politicians have often traded jabs in the press and over social media. They are at odds on a number of issues in the Golden state including the federal deployment of ICE agents, how healthcare fraud has been handled and election integrity.



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Opinion | Our house burned down but our mortgage didn’t. California fire survivors need time

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Opinion | Our house burned down but our mortgage didn’t. California fire survivors need time


By Rachel Jonas and Robert Fagnani, Special for CalMatters

The aftermath of the Palisades Fire, as clean-ups and infrastructure repairs begin, in Pacific Palisades, on Jan. 14, 2025. Photo by Ted Soqui for CalMatters

This commentary was originally published by CalMatters. Sign up for their newsletters.

Guest Commentary written by

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We were supposed to celebrate our younger son’s first birthday in our backyard on January 11th, 2025. Instead, four days before his party, we watched the Palisades fire take our home. We’d packed what we could, put our kids in the car and drove to Tennessee to live with family because we had nowhere else to go.

Our house is gone. Our older son’s preschool is gone. The library, the restaurants, the small routines that made up a life are all gone. What remains is a mortgage on a property that no longer exists and a rebuilding process that every expert we’ve spoken to says will take two to four years, minimum.

We did not expect to become advocates. But in the months after the fire, we kept running into the same impossible questions from other families — questions about forbearance, credit and what their mortgage servicer was actually required to do. Nobody had clear answers, so we founded Disaster Mortgage Relief and have spent the past year listening to hundreds of families across the Palisades and Altadena navigate a financial system that was simply not built for what we are living through.

That experience is what brings us to Assembly Bill 1847. The California Bankers Association recently argued that this bill — which would extend and strengthen mortgage protections established under last year’s fire emergency mortgage relief law, AB 238 — could end up restricting access to credit. 

We want to engage with that, because we think it gets the situation almost entirely backwards.

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AB 238 gave people whose homes burned up to 12 months of mortgage forbearance. But the rebuilding timeline in the Palisades and Altadena is not 12 months. Debris removal, utility restoration, insurance disputes, permit approvals, contractor shortages and construction inflation have made this a multi-year process for virtually everyone we work with. 

The original forbearance framework was built around a recovery timeline that does not exist in reality. Now that fire survivors’ forbearance periods are expiring, we are watching the consequences in real time: Families who were current on their mortgages before the January 2025 fire — who followed every rule — are seeing their credit scores fall by 200, 300, even 400 points. 

Some are being pushed toward foreclosure. Some are being handed balloon payments of $100,000 or more, due at the exact moment they are trying to finance construction.

This is not a story about irresponsible borrowers. These are teachers, small business owners, young families who made these neighborhoods what they were. Most still desperately want to come home. But the financial pressure is forcing many of them out for good.

We understand lenders need predictable rules and functioning credit markets. California cannot solve one crisis by creating another. But the greater threat to future lending is not temporary forbearance; it is mass borrower failure, collapsing credit, abandoned rebuilds and neighborhoods that never recover.

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AB 1847 does not forgive debt. It does not eliminate lender rights. It does not tell banks they won’t be repaid. It allows payments to be deferred during rebuilding and moved to the loan’s back end. 

The CARES Act, which gave borrowers of federally-backed mortgages up to 360 days’ relief during the COVID-19 pandemic, demonstrated that similar structures were operationally feasible on a national scale. 

For many families, freeing up two or three years of principal and interest and applying that money to construction is the difference between rebuilding and permanently leaving. It requires no taxpayer money; it simply restructures debt that already exists so families have a realistic chance to come home.

In our case, my family is still in Tennessee, saving every dime we can to hopefully afford to rebuild the home we lost.

Climate events are no longer temporary and localized. They destroy entire communities at once and displace families for years. The financial infrastructure around homeownership needs to catch up to that reality.

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The question before California is simple: when disaster survivors are trapped between a destroyed home and a mortgage system that no longer matches modern recovery, will we force families into financial collapse or adapt the system to the world we now live in?

This article was originally published on CalMatters and was republished under the Creative Commons Attribution-NonCommercial-NoDerivatives license.



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Tesla driver infamous for Southern California road rage attacks sentenced in Hawaii case

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Tesla driver infamous for Southern California road rage attacks sentenced in Hawaii case


A Tesla driver infamous for a series of road rage attacks caught on camera in Southern California has been sentenced to seven years in prison after he was convicted in a similar case in Hawaii.

Videos from 2023 that went viral show a pipe-wielding man getting out of his Tesla and striking vehicles on Southern California roads.

Nathanial Radimak was arrested early that year for a series of attacks, was convicted in two road rage incidents and served time behind bars in California. Now he’s headed to prison again in Hawaii for a similar attack.

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Two of Radmark’s Los Angeles-area victims reacted to the 40-year-old’s seven-year prison sentence, longer than even the prosecution requested.

“I feel that justice has finally been served,” said victim Beth Lamprecht during a press conference Tuesday.

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“For years, there were pleas to keep this dangerous individual from hurting others. While those warnings went unheeded, today we finally have accountability,” she continued.

Those victims and attorney Gloria Allred argued that Radimak should not have been free in the first place.

He was sentenced to five years in prison in Los Angeles County and released after a year, according to the Department of Corrections.

Allred said he received credit for time served while awaiting sentencing and good behavior.

There are reports that Allred raised on Tuesday that Radimak was released early from California custody because of overcrowding.

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He committed this latest attack in Hawaii while still on parole.

“It highlights a painful reality, one’s individual criminal behavior can impact communities across multiple cities and multiple states,” victim Vivian Romero said.

In the Hawaii attack, which was caught on camera, Radimak was seen zipping past a mother and 18-year-old daughter trying to parallel park.

The daughter yelled “slow down” out of concern. The suspect was then seen turning around, approaching their car, punching the 18-year-old and, when mom Diane Ung gets out furious, he punches her in the eye.

He pleaded no contest to two assault charges.

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“For the first time in a long time, we all can breathe a little easier knowing that he will have time he needs in a space away from the general public,” Lamprecht said.

At the sentencing hearing in Hawaii, Radimak said he regrets the assault there and takes accountability and said he needs treatment. His attorney argued he has a long history of undiagnosed schizophrenia and other mental illnesses and struggled with side effects from his medications.

KTLA has reached out to the Department of Corrections and the Los Angeles County District Attorney to see if they will try to extradite Radimak for parole violation.



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