Minimum Wage Hikes Claim More Victims as Sacramento Businesses Are Forced to Close by Year-End

We’ve written time and time again here about how the left’s “raise the wage” experiment has proved disastrous in liberal bastions across America, including in big cities like New York City, Seattle and San Francisco, and at large retail/food store chains like Target, Walmart, and Whole Foods – not to mention all the small businesses that have closed up shop along the way.


So it should come as no surprise to find out that when it comes to job losses and store closings that have happened as a result of liberals and their various “Fight for $15” campaigns, there is no end in sight.

The latest victims of mandated minimum wage increases come out of Sacramento, where several food establishments have announced closures in advance of 2020, when the minimum wage will rise to $13 an hour for companies that employee at least 26 people, and $12 an hour for those with less employees than that.

CBS Sacramento reports:

With California’s minimum wage set to increase on January 1, restaurants facing high rent and staffing costs said it’s a price they can’t afford, which is forcing some to close their doors.

“It’s bittersweet. It’s been 14 years. It’s been a good run,” said Phil Courey, the owner of Opa! Opa! Greek restaurant in East Sacramento.


When considering his operating costs, Courey said it is just unsustainable.

“The wages are definitely a heavy pressure on us,” he said. “About 40 grand a year every time they jack up the minimum wage.”

Another business in Sacramento has already closed their doors this month in response to the wage increase that will take effect next year.


Original Perry’s restaurant closed Sunday after 51 years in business. Owner Paul Fraga said it’s “rough” to do business in states like California:

“California is a rough state to do small business,” Fraga said. “They want everybody to make $20 an hour, but for the smaller guy, I can’t afford that.”

Sacto’s Fat City and Bar Cafe shut down in early November after being in business for 43 years. Fat Family Restaurant Group’s president Jerry Fat cited a decline in business and the “rising costs” of doing business in cities like Sacramento for why he was closing.

By January 2023, the minimum wage in California will be $15/hour across the board, so expect the layoffs and business closures to continue – and not just in Sacramento.

(Hat tip: The Blaze)


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