As the year ends, we need to review some of the changes coming in January 2019. Please see below for a short summary of the issues that affect the restaurant industry in California.
Minimum Wage Increase at State Level
Current for unincorporated areas of Los Angeles City, Los Angeles County, Malibu, and Santa Monica minimum wage standards should match projected timeline below:
California State minimum wage standards starting January 1st:
If you currently operate in an area that is covered by a municipal wage law, please check with your city for any increases- if the city minimum wage is less than the state you must follow the state guidelines. Check with your labor attorney if you have questions about what wage order you should follow.
Plastic Straws
Same issue here, you need to check on any city mandated laws or follow the state guidelines. At the state level, AB 1884 goes into effect: https://leginfo.legislature.ca.gov/faces/billTextClient.xhtml?bill_id=201720180AB1884, which allows the use of plastic straws on a request only basis in full-service restaurants-fast food restaurants are excluded.
Cannabis+Alcoholic Beverages
At the state level, this bans an alcoholic licensee from selling, offering or providing an alcoholic beverage that contains cannabis or cannabis products. This is AB 2914:
https://leginfo.legislature.ca.gov/faces/billTextClient.xhtml?bill_id=201720180AB2914
Kids Meals
Restaurant kids meals that include a beverage must make the default beverage water, sparkling water, flavored water, or unflavored or nondairy milk. This is SB 1192:
https://leginfo.legislature.ca.gov/faces/billTextClient.xhtml?bill_id=201720180SB1192
Sexual Harassment Prevention Training
Requires employers with five or more employees to provide at least one hour of sexual harassment prevention training to all non-supervisorial employees by January 1, 2020; and to repeat training once every two years. This is SB 1343:
https://leginfo.legislature.ca.gov/faces/billTextClient.xhtml?bill_id=201720180SB1343
If you have any questions or concerns, please feel free to reach Jean Hagan, jean.hagan@krostcpas.com.
About the Author
Jean Hagan, Principal
Restaurant, Hospitality
Jean has owned, operated, and consulted in the restaurant industry for more than 30 years. During that time, she worked with a well-known national chain; owned a food and beverage company that operated multiple restaurants, bars, and event spaces in the Squaw Valley area; and became the president, CEO, CFO, and shareholder of one of the highest-grossing restaurants in California. Today, Jean is Principal and leads the Restaurant Operations Consulting practice at KROST. » Full Bio