U.S. World Business Lifestyle
Today: July 15, 2025
Today: July 15, 2025

86% of fast-food workers can't pay rent — But this will change soon

Fast-food workers
Photo by Getty Images
June 24, 2025
Pooja Mamnoor - LA Post

Fast-food workers across Los Angeles County face mounting financial pressures that force difficult choices between basic necessities, with 86% worrying about paying next month's rent, according to a recent survey by the California Fast Food Workers Union.

The survey of approximately 405 fast-food workers statewide revealed widespread workplace instability, with 90% expressing concern that their schedules could change without warning or justification.

The financial strain has pushed many workers to extreme measures. Research by Harvard professor Daniel Schneider found 25% of fast-food workers reported going hungry in the past month because they could not afford sufficient food. Housing presents an even greater challenge, with nearly 3,600 fast-food workers in L.A. County experiencing homelessness, according to a study by the Economic Roundtable, an L.A.-based nonprofit organization.

Among workers who maintain housing, 43% live in overcrowded conditions, and 25% spend more than half their monthly income on rent. The housing burden reflects broader statewide trends, with CalMatters reporting that eight coastal California counties require households with two minimum-wage workers and a child to spend more than half their income on housing costs.

Starting July 1, L.A. County's Fair Work Week Ordinance will address some of these challenges by requiring retailers and grocers with 300 or more employees nationwide to provide greater schedule stability for workers in unincorporated areas. The ordinance mandates that employers publish work schedules at least 14 calendar days in advance, with any subsequent changes requiring written notice to employees.

The new policy also grants workers the right to request preferred hours and requires employers to provide written responses explaining whether requests are granted or denied. County officials estimate the changes will affect 4,000 to 6,000 workers across 200 businesses.

"It is a win for retailers committed to a work environment that gives them a competitive edge and for our retail workers who deserve the dignity of a predictable schedule so they can plan for childcare, school and other life obligations," L.A. County Supervisor Holly Mitchell told the L.A. Times in April. Four of five county supervisors voted for the measure, with Supervisor Katherine Barger abstaining.

The county ordinance mirrors similar legislation implemented by L.A. City Council in 2023, which covers approximately 50,000 workers. City officials voted in April to explore expanding the rights established under that ordinance following advocacy by Councilman Hugo Soto-Martinez.

Business groups have opposed such measures, arguing they impose excessive burdens on employers. Robert Rivinius, political director of The Family Business Association, said the ordinances drive "California businesses to other states or out of business altogether." He added, "The proponents of these difficult and costly proposals never seem to realize that they are hurting those they think they are helping the most."

The workplace instability documented in the union survey extends beyond scheduling concerns. The research found that 71% of workers reported employers hired new staff without offering additional hours to workers with seniority, contributing to reduced income for existing employees.

California addressed wage concerns through Assembly Bill 1228, signed by Gov. Gavin Newsom in 2023. The legislation raised the minimum wage for fast-food employees to $20 per hour beginning in April 2024 and established the Fast Food Council to develop worker protection regulations.

Fast-food chains spent approximately $4 million in 2023 campaigning against the legislation, according to Governing, with franchises arguing that increased oversight could threaten their viability. Rivinius cited Bureau of Labor Statistics data claiming 36,565 fast-food jobs were lost in California between September 2023 and April 2025. However, the $20 minimum wage took effect seven months after the cited period began.

Schneider, who co-directs the SHIFT Project studying work schedules and labor policies, emphasized existing labor protections often go unenforced. "The labor standards protections enacted in California are crucial to protecting workers and raising the floor on job quality," he said. "But all too often, we know that those laws are not followed in the workplace."

The researcher, who previously studied fair workweek laws in Seattle, stressed the distinction between employer flexibility and worker stability. "It is crucial to recognize that this represents instability and unpredictability from the perspective of workers, not flexibility," Schneider said.

Also read:
One year in, California’s fast food wage hike brings higher pay, debatable job numbers
L.A. to expand protections for fast-food employees
California could bump fast-food minimum wage to $20.70

Share This