Millions are raised by fast food chains to oppose the California wage law.

A new California law that could raise the state's minimum wage for the fast food industry to as much as $22 an hour next year is being challenged by McDonald's Corp.,

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Starbucks Corp., Chipotle Mexican Grill Inc., and other large restaurant chains. The groups are teaming up to spend millions of dollars in this effort.

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The coalition known as "Save Local Restaurants" announced on Friday that it had raised over $12.7 million to oppose the FAST Recovery Act.

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Individual franchisees, including the owners of KFC and McDonald's outlets, have donated $2 million while corporate brands have provided $9.9 million.

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According to the coalition, trade associations make up the remainder.In order to allow voters to determine whether to permanently stop the law in 2024,

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the coalition seeks to delay the bill's implementation, which was scheduled to start on January 1.

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For the referendum to be valid and to halt the law's execution while it is being decided, opponents must gather hundreds of thousands of signatures.

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The current minimum wage in California is $15 per hour, and it will rise by 50 cents the following year. The minimum would increase yearly in line with inflation.

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In order to put the new law on hold and qualify for a referendum on the November 2024 ballot, opponents must turn in around 623,000 valid voter signatures by December 4.

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In California, proponents of referendums frequently spend millions of dollars to acquire the necessary signatures.

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