McDonald’s franchise owner Scott Rodrick says his business has experienced ‘cost pressure’ since California’s minimum wage hike targeted Maria Bartiromo’s Wall Street fast food franchises.
Bebop Waffle Shop closed its doors for good Monday after a new minimum wage hike made operating costs unsustainable.
Corina Luckenbach, owner of a West Seattle waffle shop, complained she had no choice but to close her business when the city’s new minimum wage law took effect Jan. 1, raising the hourly wage to $20.76 dollars.
“This was my dream. To own my own coffee shop, run it the way I want and be of service to people,” Luckenbach told Fox 13, noting later that she “cried every day” about its closing. imminent due to many factors.
Luckenbach, who founded Bebop Waffle Shop more than 10 years ago after migrating from New York, specified that her business had already struggled with high inflation and lower foot traffic due to the growing popularity of working from home. .
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Waffle shop owner Corina Luckenbach complained about the closing of her business because of the increased costs of hiring workers. (FOX 13 YouTube Channel)
“It just doesn’t make financial sense anymore. Because, for me alone, the increase would cost me $32,000 more a year,” she told Fox 13.
According to The New York Post, “The new $20.76 hourly law — which is $4 higher than Washington State’s minimum wage requirement — applies to businesses large and small. It also eliminates tip credits or benefits.”
Many locally owned businesses that once served as community gathering places have been forced to close amid the COVID-19 pandemic and its economic fallout, and the Bebop Waffle Shop, named after the owner’s dog, appears to be no exception.
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Bebop Waffle Shop owner Corina Luckenbach credited the increase in the minimum wage and the decrease in foot traffic for closing her business. (Fox 13 YouTube Channel)
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Luckenbach revealed to the media that the “hardest thing” about closing the business is that it is ultimately “taking away a safe space for people.”
“The stories of what it meant to people to come in and feel safe and feel welcome — I just, I didn’t know,” she said tearfully.
By the start of 2025, nearly half of the states in the U.S. saw minimum wage increases, which meant a pay rise for about 9.2 million workers, according to the latest data.
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An Economic Policy Institute analysis says 21 states were set to raise their minimum wage at the start of the year, along with 48 cities and counties that are raising wage levels above their state minimums — mostly in California, Colorado and Washington.
Fox Business’ Breck Dumas contributed to this report.
