Carl’s Jr. crushed by California’s minimum wage, as violence-stricken workers walk out on the job

California Post (AKA NY Post) ^ | May 19, 2026 | Titus Wu

[where's_the_Outrage?]

Iconic burger chain Carl’s Jr. is under increasing financial pressure from both California’s cost of doing business, $20 minimum wage rules and public safety issues that employees allege are spilling into the workplace.

Carl’s Jr. has 588 stores in California as of 2025, but that number declined by 25 from 2023, when it had 613 stores in the state, according to internal franchise documents. Last month, a major franchisee filed for bankruptcy, affecting 11% of operations across the state.

The doomed franchisee, Friendly Franchisees Corporation, last month explicitly blamed the state’s relatively new $20 minimum fast-food wage touted by the state’s Democratic leadership.

The wage increase, implemented in 2024, “materially increased operating expenses,” said CEO and founder Harshad Dharod.

Despite generating what it described as “substantial revenue,” the business struggled to stay profitable. The first three months reported $19.9 million in net sales, averaging between $6 million and $7 million per month, but there was also a $2 million net loss during that period.

Some blame was also put on corporate leadership’s ability to adapt and innovate to the market.

The economic headwinds have only been intensified by recent strikes over the past months by Carl’s Jr. employees.

Just last week, the California Fast Food Workers Union announced a strike “due to unsafe working conditions, wage theft, and understaffing.”

The union alleged understaffing and lack of proper supplies. One of the biggest standout concerns has been the anti-social behavior from some of the company’s California customers.

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TOPICS: Business/Economy; Government; News/Current Events; US: California
KEYWORDS: california; caminimumwage; carlsjr; crime; debt; food; labor; minimumwage

[where's_the_Outrage?]

My favorite beer bar in the world is Naja's at the Redondo Beach Pier, been going there since 1988. Decided last year to have my bucket list visit there, flew in 1st class, got a hotel walking distance, and spent 3 days enjoying a large selection of the 80 beers on tap. Had such a nice time I considered doing it again this year, but the costs for everything were significantly higher so didn't support the CA economy.

[ComputerGuy]

...the California Fast Food Workers Union...?

[TheDon]

“One of the biggest standout concerns has been the anti-social behavior from some of the the company’s California customers.”

The problem which cannot be named...

[BobL]

“The wage increase, implemented in 2024, “materially increased operating expenses,” said CEO and founder Harshad Dharod.”

Then why name the chain “Carl’s” instead of “Harshad’s”?

[sistergoldenhair]

Antisocial behavior is not just in California. It’s everywhere at all kinds of places.

[Recompennation]

the biggest standout concerns has been the anti-social behavior from some of the company’s California customers.

There again what need be said, it’s been done, spoilage.

[DeplorablePaul]

Recall that Paris Hilton was hired for a Carl's ad campaign in 2005. AI: "Carl’s Jr. executives, especially then-CEO Andrew Puzder, maintained the campaign was a huge success for brand awareness and long-term positioning, saying the publicity value was “phenomenal."

[af_vet_1981]

Antisocial behavior is not just in California. It’s everywhere at all kinds of places.

No, it is not everywhere and in all kinds of places.
Just ignore the reality and imagine California is fine. “We’ll always have the weather.”

[mikey_hates_everything]

I think it’s referring to Friendly Franchisees Corporation. Carl Karcher founded Carl’s Jr.

[Brian Griffin]

“Then why name the chain “Carl’s” instead of “Harshad’s”?”

Perhaps Harshad Dharod was the CEO of the franchisee.

[MayflowerMadam]

The same restaurant is Hardee’s here in the east.

When we lived in CA, there’s a In-N-Out cult, but I always preferred Carl’s, Jr.

[Mashood]

Fast food fighters?

[alloysteel]

One of the worse mistakes in California business was to accept this $20 minimum wage, without providing for much greater increase in individual worker productivity. That probably called for much greater investment in automation in the process of ordering and dispensing the foodstuff at the checkout window.

But then, Californians probably pointed the way things were going to go when they voted against nickel beer.

[Angelino97]

Maybe not everywhere, but in practically every state, red states included.

Much like every state also has safe areas, California included.

[DAC21]

Carl’s best get with the Kiosk ordering like I now see at a few other chains. That keeps the head count down by one or two per shift.

[fortes fortuna juvat]

Antisocial behavior is not just in California. It’s everywhere at all kinds of places.
>>>>>>>>>>>>>>>>>>
To repeat, for the countless time: We’re living in an UNCIVILIZED COUNTRY in which voters elect Marxist-Democrats who are themselves criminals. Consequently, the criminal justice system has become increasingly dysfunctional.

[wally_bert]

I forgot all about those ads.

[T.B. Yoits]

...why name the chain “Carl’s” instead of “Harshad’s”?

The chain isn't owned by Harshad Dharod. He owns several franchise locations. (likely in ghetto areas)

From the article: "...a major franchisee filed for bankruptcy...Friendly Franchisees Corporation..."

[DeplorablePaul]

Sometimes I surprise myself at what I remember.

[Big Red Badger]

Beer Fest....
“Now With More Molecules !”