In a recent development that has triggered concerns about job loss and rising prices in California, over 1,000 delivery drivers are being laid off by various franchise owners as they plan to rely on third-party delivery apps such as DoorDash and Uber Eats. These cost-cutting measures come amidst the upcoming implementation of Governor Gavin Newsom's $20 fast food minimum wage in the state.
The decision to let go of a significant number of delivery drivers has been met with backlash, as it is feared that it will exacerbate the already fragile job market. With franchise owners opting for alternative delivery services, it is increasingly clear that the use of artificial intelligence (AI) and automation in the restaurant industry is on the rise. The introduction of AI-powered restaurants is on the horizon, with the world's first fully autonomous AI-driven restaurant set to open soon in Southern California.