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Will FAST Recovery Act be Repealed by Ballot ?

09/26/2022

Assembly Bill 257, known as the FAST Recovery Act, was signed into law on Labor Day.  This legislation increases wage rates for employees of “fast-food restaurants”. Specific provisions of the law will be implemented by a ten-person Council that will set standards for wages, hours and other conditions of employment.  According to the Bill, “fast-food restaurants” are defined by providing counter-service, food paid for before the order is delivered, and the chain having more than 100 locations.  This would include conventional QSRs and hybrid operation such as Chipotle Mexican Grill.

A filing for a ballot has been initiated and if sufficient signatures are gathered, that is considered inevitable, voters will consider repealing the FAST Act in November 2024 thereby invalidating the law.  Based on a recent ballot to overturn ride-sharing legislation, it is anticipated that both labor unions and restaurant operators will expend millions to engender support for their respective causes.