Monica Navarro, a former assistant general manager at Foster’s Freeze in Lemoore, pulled back the curtain on the harsh reality facing small businesses in California due to the state’s newly enforced $20 minimum wage during a recent interview on “The Bottom Line” on Fox Business.

Navarro recounted the shocking closure of Foster’s Freeze, leaving employees reeling without any prior warning. She expressed frustration at the lack of notice, lamenting, “It would have been nice to have a notice so we could go get some applications out, I could prepare them.”

The closure blindsided Navarro and her colleagues on Easter Monday morning. Owner Loren Wright attributed the sudden shutdown to the inability to absorb the wage increase, prioritizing the avoidance of disruption on Easter Sunday.

Describing the moment her coworkers were on the cusp of starting their shifts only to be informed of the closure, Navarro shared, “Two of my coworkers were actually going in to clock in for the morning. And right after that, that’s when I got a phone call that we were closing.”

Navarro revealed that discussions with management pinpointed the minimum wage hike as the decisive factor in the restaurant’s demise, despite exemptions. Expressing doubt about the wage increase’s efficacy in attracting more workers, she pointed to the closure of other local businesses as evidence of its detrimental effects.

In solidarity with her former colleagues, Navarro stressed their preference for job security over wage increases, stating, “From the people that I spoke to, my employees, we would have rather stayed at the wage that we did have before, just because now we don’t have a job.”

The fallout from the closure has resulted in reduced hours and increased workloads for employees in neighboring businesses affected by the wage hike. Navarro highlighted the challenges faced by those still employed in areas where the hourly rate surged to $20.

As California grapples with the fallout from its minimum wage policy, Navarro’s testimony sheds light on the harsh realities confronting small businesses and their employees amidst rising costs and economic uncertainties.

Thanks to our friends at ToddStarnes.com for contributing to this article.

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