[US] Vermont’s fast food wage bill proposes hiking minimum hourly pay to $20 in 2027

In the US, Vermont lawmakers introduced a bill this month that would increase the state's hourly minimum wage for fast food workers to $20, VTDigger reports.

If approved, the new pay rate will take effect from January 2027. 

In addition, Bill H.713 would create a new state council to study and recommend workplace standards and future wages for fast food workers. 

The higher wage would only apply to employees who work at restaurant chains with more than 60 locations nationwide. Employees of locally owned or smaller establishments would continue to qualify for Vermont’s existing minimum wage of $14.42 an hour. 

Some local restaurant workers have reportedly raised concerns about such a large gap, saying small businesses can’t compete with big conglomerates. However, lawmakers in support of the bill say it would create stronger protections for workers. 

Speaking to Community News Service, Representative William Greer - one of the bill’s three sponsors - said, “With fast food workers, they’re unique; an important part of our economy. And I think that we need to be taking unique, significant steps to protect their particular part of the industry.” 

On January 20, Mr Greer told the House Committee on General and Housing that H.713 is based on a similar bill in California, which took effect in April 2025. 

Mr Greer added that the $20 pay rate is a placeholder and that lawmakers could adjust the number as they saw fit. 

“It may need to be $17, it may need to be $19, it might even need to be higher than $20,” he said.

Mr Greer reportedly stated that he has already heard some criticism about the bill, including concerns that higher wages could lead to higher prices for customers or inequality between fast food workers and local business employees. But he reportedly sees the argument differently.

“I think it’s actually levelling the playing field more between those two distinct groups within that sector of the industry,” he said. 

Source: VTDigger

(Links and quotes via original reporting)

In the US, Vermont lawmakers introduced a bill this month that would increase the state's hourly minimum wage for fast food workers to $20, VTDigger reports.

If approved, the new pay rate will take effect from January 2027. 

In addition, Bill H.713 would create a new state council to study and recommend workplace standards and future wages for fast food workers. 

The higher wage would only apply to employees who work at restaurant chains with more than 60 locations nationwide. Employees of locally owned or smaller establishments would continue to qualify for Vermont’s existing minimum wage of $14.42 an hour. 

Some local restaurant workers have reportedly raised concerns about such a large gap, saying small businesses can’t compete with big conglomerates. However, lawmakers in support of the bill say it would create stronger protections for workers. 

Speaking to Community News Service, Representative William Greer - one of the bill’s three sponsors - said, “With fast food workers, they’re unique; an important part of our economy. And I think that we need to be taking unique, significant steps to protect their particular part of the industry.” 

On January 20, Mr Greer told the House Committee on General and Housing that H.713 is based on a similar bill in California, which took effect in April 2025. 

Mr Greer added that the $20 pay rate is a placeholder and that lawmakers could adjust the number as they saw fit. 

“It may need to be $17, it may need to be $19, it might even need to be higher than $20,” he said.

Mr Greer reportedly stated that he has already heard some criticism about the bill, including concerns that higher wages could lead to higher prices for customers or inequality between fast food workers and local business employees. But he reportedly sees the argument differently.

“I think it’s actually levelling the playing field more between those two distinct groups within that sector of the industry,” he said. 

Source: VTDigger

(Links and quotes via original reporting)