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Gavin Newsom said he's raising pay at his Panera Bread locations after it was widely reported that they'd be exempt from a new state law boosting the minimum wage. Greg Flynn, the franchise owner of 24 Panera Breads in the state, announced on Tuesday that he would raise the minimum wage at his locations from $16 to $20. This story is available exclusively to Business Insider subscribers. Newsom and Flynn have known each other for years, and Flynn has been a longtime donor to Newsom's campaign, Business Insider previously reported. That connection brought Newsom under fire last week because the state's new law appeared to have a potential, specific exception for Panera Bread.
Persons: , Gavin Newsom, they'd, Greg Flynn, Newsom, Flynn Organizations: Service, California Gov, Business, Bloomberg, Flynn Locations: California, , California
Los Angeles CNN —A Panera Bread franchise owner in California said he will raise the minimum wage for his employees after accusations he benefited from ties to the state’s governor to avoid hiking pay. A new state minimum wage law exempts certain businesses that make and sell bread – a carveout that critics contended benefited Greg Flynn, a billionaire Panera franchise owner who attended high school with Democratic California Gov. On Tuesday, Flynn told CNN that he has decided to raise the minimum pre-tip wage at all of his Panera Bread locations to $20 per hour, regardless of whether his fast-casual bakeries are exempt from the new minimum wage law or not. “At Flynn Group, we are in the people business and believe our people are our most valuable assets,” Flynn said. However, Flynn said he never personally met with Newsom about the minimum wage bill, though he did meet with Newsom’s staff and a group of other restaurant owners to discuss it.
Persons: Greg Flynn, Gavin Newsom, Flynn, , ” Flynn, Newsom, , Alex Stack Organizations: Los Angeles CNN, Democratic California Gov, CNN, Flynn Group Locations: California
Why Panera is causing a stir in California politics
  + stars: | 2024-03-01 | by ( Samantha Delouya | ) edition.cnn.com   time to read: +4 min
And Panera Bread has been caught in the middle. Newsom has also said that Panera may not be exempt from the new minimum wage law after all. Nevertheless, on Thursday, Republican lawmakers in California called on the state’s attorney general to investigate the minimum wage exemption. Flynn’s company operates more than just Panera Bread locations. Stack also said that Newsom’s legal team determined that the carve-out would likely not apply to most Panera Bread locations.
Persons: Gavin Newsom, Greg Flynn, Newsom’s, Newsom, Flynn, Panera, , Brian Jones, owner’s Newsom, Myung J, Chun, , ” Flynn, Taco, , Alex Stack, Stack Organizations: Los Angeles CNN, Democratic California Gov, Republican, Los Angeles Times, CNN, Flynn Group, Taco Bell Locations: California, Los Angeles , CA
Read previewCalifornia's minimum wage increase from $16 to $20 an hour for fast-food restaurant workers, set to go into effect in April, caused a stir among fast-food chains — but not Panera. He owns 12 Panera locations in California. When asked last year about the bread exemption that baffled many, Newsom said, "That's part of the sausage-making," declining to elaborate further. Flynn, in a conversation with Bloomberg, denied having a hand in the bread exemption. A few smaller brands appear to benefit from the carve-out, including Paris Baguette and Great Harvest Bread Co, Bloomberg reported.
Persons: , Gavin Newsom, Greg Flynn —, Flynn, Taco Bell, Flynn Group's, Newsom, Panera, Paris Baguette Organizations: Service, Flynn Group, Business, Bloomberg, San Francisco Chronicle, Flynn Properties Inc, US Food and Drug Administration, Co Locations: California, Paris
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