Ala. QSR workers sue over wage-hike parry

wooden gavel

Quick-service restaurant workers in Alabama have added their names to a lawsuit that accuses Governor Robert Bentley and Attorney General Luther Strange of blocking a minimum-wage hike in the city of Birmingham because of racial prejudice.

In February, Bentley signed a bill into law that prevents municipalities in the state from setting a minimum wage for their jurisdiction. The measure hit the governor’s desk after Birmingham had already approved a hike in the wage to $10.10 an hour. Hourly pay elsewhere in the state would stay at the federal minimum of $7.25.

By outlawing local regulation of the minimum wage, the state made Birmingham’s increase illegal.

The lawsuit filed by civil rights groups and hourly wage earners says the new state law is discriminatory because it impacts African-Americans disproportionately. About 75 percent of Birmingham’s residents are reportedly black.

The tactic is the newest in a broadening spectrum of moves taken by pro-labor forces to prevail over business groups and politicians who oppose a wage hike. Advocates in a number of areas are jockeying to put a wage-hike bill on November’s general election ballot, while others are urging elected officials to raise the wage through executive action, as Governor Andrew Cuomo did in New York.

Members help make our journalism possible. Become a Restaurant Business member today and unlock exclusive benefits, including unlimited access to all of our content. Sign up here.

Multimedia

Exclusive Content

Financing

California may or may not be springing a big surprise on its full-service restaurants

Reality Check: The state attorney general has refused to clarify the scope of the state's pending anti-junk-fee law. It's one more smack in the face to the trade.

Financing

Why social media, and not price, is behind Starbucks' sales problems

The Bottom Line: The coffee shop chain lost momentum quickly in November. That was too fast to be explained by consumer reaction over the prices of its beverages.

Financing

Franchisors who want faster remodels should reach into their pocketbooks

The Bottom Line: Burger King is spending $550 million to get more of its restaurants remodeled, not counting its own upgraded restaurants. More brands should do this.

Trending

More from our partners