The governor’s jab at Donald Trump over burger prices comes as his $20 fast-food wage drives layoffs, automation, and higher menu prices across California.
When Gov. Gavin Newsom took to X to mock rising burger prices, writing, “Thanks to Donald Trump your Big Mac will now be $9,” it was the kind of political one-liner tailor-made for social media. But the reality behind California’s food-price surge isn’t coming from Washington — it’s coming from Sacramento.
Newsom’s own $20-an-hour fast-food minimum wage, which took effect in April 2024 under Assembly Bill 1228, has already cost the state thousands of jobs and driven menu prices sharply higher.
A new analysis by Pepperdine University found California’s limited-service restaurant sector shed roughly 23,100 jobs, a 3.2 percent decline, while the rest of the country added jobs at a rate of 0.8 percent growth.
The National Bureau of Economic Research reached similar conclusions, estimating a 3.2 percent employment drop linked to the policy. Restaurants across California, from McDonald’s to small franchises, have slashed hours, turned to automation, or closed locations altogether.
Even major operators like Chipotle and Pizza Hut warned earlier this year that the wage hike would push them to raise prices or relocate stores.
Entrepreneur and CEO Patrick Bet-David, responding to Newsom’s post, fired back, “Thanks to your $20 fast-food minimum wage, California’s fast-food sector has lost 23,100 jobs … Nevada, Texas, and Florida are beneficiaries of your disastrous policies.”
As neighboring states like Texas and Florida welcome California-based franchises seeking friendlier labor laws, Newsom’s viral burger blame game may prove to be the perfect metaphor, plenty of heat, but no substance.
