California Gov. Gavin Newsom (D) signed Assembly Bill 1228 (AB 1228) on Sept. 28. AB 1228 is a legislative compromise reached with proponents of a veto referendum on a different bill (Assembly Bill 257) that qualified for the 2024 ballot. AB 1228 will repeal AB 257, which was passed during the 2022 legislative session. AB 1228 will also increase the minimum wage for fast food employees of chain restaurants with more than 60 locations nationwide to $20 and establish a fast food council to oversee future wage increases and working conditions. The wage increase will take effect on April 1, 2024.
Save Our Local Restaurants, the campaign behind the veto referendum of AB 257, announced the legislative compromise on Sept. 11 and said they would withdraw their ballot measure by Jan. 1, 2024. According to the new agreement under AB 1228, AB 257 would not be officially repealed until the referendum is withdrawn. AB 257 was suspended when the referendum qualified for the ballot.
The referendum will be the first withdrawn from the ballot in California’s history under a new law, Assembly Bill 421, which authorizes veto referendum proponents to withdraw their qualified referendum at least 131 days before the election or when a referendum qualifies with less than 131 days before the election when a petition is certified. Proponents of initiated constitutional amendments and state statutes have had the power to withdraw qualified initiatives since 2014. Proponents of eight California initiatives have withdrawn their proposals prior to the 131-day deadline.
