Impacts of the proposed Los Angeles fast food ordinance
Save Local Restaurants commissioned Oxford Economics to calculate high-level cost estimates relating to a proposed city ordinance that would impose new requirements on quick-service restaurant operators in Los Angeles.
Our analysis found that the proposed ordinance would cost a restaurant with 25 employees $48,312 annually, or a total of $54.7 million across 1,610 Los Angeles quick-service restaurants, equivalent to a 7.1% increase in labor costs. These projected costs come at a time when widespread news coverage shows the quick-service restaurant industry is already grappling with mass employee layoffs, reduced worker hours, increased food prices, and permanent closures—burdens that this proposed ordinance would likely intensify.
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