California’s minimum wage hike to $20 an hour has ignited controversy as Gov. Gavin Newsom’s own luxury restaurants are found paying their workers less, sparking accusations of hypocrisy and favoritism.
Gavin Newsom's restaurant offers $16 hourly wage to employees
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— Newsweek (@Newsweek) April 3, 2024
Newsom championed the minimum wage increase as “extraordinarily beneficial,” yet job listings for his PlumpJack Cafe and Balboa Cafe reveal hourly wages below the mandated rate. Despite the upscale nature of these establishments, positions such as busser, server, and food runner are advertised with wages ranging from $16 to $18.07 per hour.
PlumpJack Cafe, located near California’s top ski resort, boasts high-priced entrees and a lavish dining experience, yet pays its workers below the newly mandated minimum wage. Similarly, the Balboa Cafe in San Francisco’s trendy Marina district offers luxury items but falls short in compensating its staff appropriately.
As fast food chains grapple with the financial burden of the wage hike, facing layoffs and price hikes, criticism mounts against Newsom’s apparent double standard. State assemblyman Joe Patterson highlighted the governor’s lack of empathy for his own employees, calling for equal treatment across all businesses.
Despite claims that Newsom’s financial holdings are managed by a blind trust, scrutiny remains as the trust is overseen by a family friend, and Newsom’s investment group controlling the restaurants is led by his relatives.
The discrepancy between Newsom’s support for the minimum wage increase and the wages offered at his own establishments raises questions about fairness and integrity, prompting calls for accountability from the governor’s office.
