Background: What Is AB 1228?
Assembly Bill 1228, signed into law by Governor Gavin Newsom in September 2023, represents one of the most significant pieces of labor legislation for fast food workers in California's history. The law was the result of years of advocacy by fast food workers, labor unions, and community organizations who argued that employees in the fast food industry faced uniquely challenging working conditions, low pay, and limited bargaining power.
AB 1228 replaced an earlier bill, AB 257 (the FAST Recovery Act), which had been passed in 2022 but was challenged by a referendum effort funded by the fast food industry. The compromise legislation that became AB 1228 preserved the core goals of improving wages and working conditions for fast food workers while addressing some of the industry's concerns about regulatory overreach.
The law took effect on April 1, 2024, immediately raising the minimum wage for qualifying fast food workers to $20 per hour and establishing a new regulatory body with the power to continue improving conditions for workers in the industry.
The Fast Food Council: A New Voice for Workers
One of the most groundbreaking provisions of AB 1228 was the creation of the Fast Food Council, a government body with the authority to set standards for wages, working conditions, and health and safety in the fast food industry. The Council is composed of representatives from labor, the fast food industry, franchisees, and government officials.
The Fast Food Council has the power to:
- Recommend minimum wage increases for fast food workers, up to a capped annual increase tied to the Consumer Price Index (CPI) or 3.5%, whichever is lower.
- Propose standards for working conditions, including health and safety protocols, scheduling practices, and other terms of employment.
- Investigate and address systemic issues affecting fast food workers across the state.
- Hold public hearings where workers can testify about conditions in the industry and advocate for changes.
The Council provides fast food workers with a collective voice that they have historically lacked. Because the fast food industry relies heavily on the franchise model, individual workers have little bargaining power. The Council serves as a centralized mechanism for addressing industry-wide problems.
The $20/Hour Minimum Wage: Who Qualifies
The most immediately impactful provision of AB 1228 was the increase of the minimum wage for fast food workers to $20 per hour, effective April 1, 2024. This represented a significant increase over the statewide minimum wage and directly affected an estimated 500,000 fast food workers across California.
To qualify for the $20/hour minimum wage, workers must be employed at a fast food restaurant that meets the following criteria:
- Part of a national chain with 60 or more locations nationwide. This includes restaurants operating under a common brand name, whether they are corporate-owned or franchised.
- Primarily engaged in providing food and beverages for immediate consumption, with limited or no table service. This covers the traditional fast food model.
- Not a bakery that produces and sells bread as a stand-alone menu item. This exemption was included in the compromise legislation to address concerns from certain restaurant segments.
Workers at qualifying restaurants include not just cashiers and cooks, but also shift supervisors, drive-through workers, cleaning staff, and anyone else employed at the restaurant location. The higher minimum wage applies regardless of whether the restaurant is a franchise or corporate-owned location.
Wage Increases and Adjustments in 2025 and 2026
AB 1228 established a framework for ongoing wage adjustments beyond the initial $20/hour rate. The Fast Food Council has the authority to recommend annual increases, subject to a cap of 3.5% or the change in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W), whichever is lower.
In practice, this means:
- January 1, 2025: The Fast Food Council recommended and approved a wage increase to $20.70 per hour, reflecting the allowable annual adjustment.
- January 1, 2026: A further increase brought the fast food minimum wage to $21.35 per hour, continuing the trajectory of meaningful wage growth for workers in the industry.
- Future years: The Council will continue to evaluate and recommend annual adjustments, ensuring that fast food wages keep pace with the cost of living in California.
It is important to note that these are minimum rates. Employers are free to pay above the required minimum, and many have done so in order to attract and retain workers in a competitive labor market. If your employer is paying you less than the current fast food minimum wage, you may have a wage theft claim.
Anti-Retaliation Protections
AB 1228 includes robust anti-retaliation provisions designed to ensure that fast food workers can exercise their rights without fear of punishment from their employers. These protections are critical because many fast food workers are in vulnerable positions and may be reluctant to assert their rights.
Under the law, employers are prohibited from retaliating against workers who:
- Report violations of wage and hour laws, health and safety standards, or other workplace regulations.
- File complaints with the Labor Commissioner, the Fast Food Council, or other government agencies.
- Participate in investigations or hearings related to workplace conditions or employer violations.
- Exercise their rights under AB 1228, including the right to receive the fast food minimum wage and other protections.
- Organize or advocate for improved working conditions, whether through formal union activity or informal collective action.
Retaliation can take many forms, including termination, reduction of hours, demotion, transfer to a less desirable location or shift, increased scrutiny, verbal harassment, or threats. If you experience any adverse action after exercising your rights under AB 1228, you should document the retaliation carefully and consult with an attorney.
Scheduling and Working Condition Standards
Beyond wages, AB 1228 and the Fast Food Council have addressed broader working conditions in the fast food industry. Fast food workers in California now benefit from several important protections related to their day-to-day work experience:
- Health and safety standards: The Council has the authority to recommend industry-specific health and safety standards that go beyond the baseline requirements of Cal/OSHA. These may include protocols for handling hot cooking equipment, exposure to cleaning chemicals, and workplace violence prevention.
- Meal and rest break compliance: Fast food workers are entitled to the same meal and rest break protections as all California employees, including a 30-minute unpaid meal period for shifts over 5 hours and paid 10-minute rest breaks for every 4 hours worked. Violations of these requirements are common in the fast food industry and can result in significant penalties.
- Scheduling considerations: While AB 1228 does not impose the same predictive scheduling requirements as some local ordinances, the Fast Food Council has discussed proposals related to advance notice of schedules, minimum shift lengths, and clopening (closing and then opening the next day) restrictions.
- Training requirements: Employers must provide adequate training on workplace safety, including training on the proper use of equipment and the handling of hazardous materials.
Recent Developments and Enforcement in 2026
As AB 1228 has matured, enforcement has become a central focus. The California Labor Commissioner's Office has increased its scrutiny of fast food employers, and the Fast Food Council has begun to exercise its full authority. Here are the key developments in 2026:
- Increased enforcement actions: The Labor Commissioner has conducted targeted audits of fast food chains, resulting in millions of dollars in recovered wages for workers who were paid below the required minimum or denied proper meal and rest breaks.
- Retaliation complaints on the rise: As more workers become aware of their rights under AB 1228, retaliation complaints have increased significantly. The Labor Commissioner has prioritized these cases and imposed substantial penalties on employers found to have retaliated against workers.
- Council recommendations expanding: The Fast Food Council has begun to address issues beyond wages, including proposals related to workplace safety, worker training, and scheduling. These recommendations signal a broadening of the Council's role in shaping the fast food work environment.
- Legal challenges: Some fast food industry groups have continued to challenge aspects of AB 1228 in court, but so far the law has withstood legal scrutiny. Courts have upheld the constitutionality of the Fast Food Council and its authority to set industry-specific standards.
- National attention: California's fast food legislation has inspired similar efforts in other states, with several legislatures considering their own versions of industry-specific minimum wages and worker councils.
What Fast Food Workers Should Know About Their Rights
If you work in the fast food industry in California, here are the key rights and protections you should be aware of:
- You are entitled to at least $21.35 per hour as of January 1, 2026, if you work at a fast food restaurant that is part of a chain with 60 or more locations nationally. This applies regardless of your immigration status.
- Your employer cannot retaliate against you for asserting your rights, filing a complaint, or participating in any investigation or proceeding related to workplace conditions.
- You are entitled to meal and rest breaks. If your employer denies you breaks or pressures you to work through them, you are owed premium pay of one additional hour of pay for each missed break.
- You have the right to a safe workplace. If you believe your workplace is unsafe, you can file a complaint with Cal/OSHA without fear of retaliation.
- You can file a wage claim with the California Labor Commissioner if your employer is paying you less than the required minimum wage or failing to pay overtime, provide breaks, or comply with other wage and hour requirements.
- You have the right to organize. Whether through a formal union or informal collective action, fast food workers have the legal right to advocate for better working conditions.
How Zaghi & Chrzan, LLP Can Help
At Zaghi & Chrzan, LLP, we have extensive experience representing workers in wage and hour disputes, retaliation claims, and other employment law matters. Our attorneys understand the unique challenges faced by fast food workers and are committed to ensuring that California's labor protections are fully enforced.
Whether you are being paid below the minimum wage, facing retaliation for asserting your rights, being denied meal and rest breaks, or experiencing other violations of AB 1228, we can help. We offer free consultations and work on a contingency fee basis, meaning you pay nothing unless we recover compensation for you.