The Central Valley restaurant industry celebrated its own Monday night. But the new minimum wage increase for fast food workers was on the mind of many restaurateurs.

Robert Harper, president of the Fresno chapter of the California Restaurant Association, told the approximately 700 people gathered at Table Mountain casino, that they can “adapt to any situation.”

“Regulations? I say, ‘ehh.’ We are now becoming amateur lawyers. Raising wages, soaring food prices, inflation crushing us … and in every aspect of our operations, we are the quintessential definition of logistic experts. We can adapt to do far more with far less. We are survivors,” Harper said.

Fresno Mayor Jerry Dyer briefly mentioned the minimum wage law in his comments.

California’s minimum wage law for fast food workers went into effect on April 1, giving most an automatic hourly 25% raise — from the regular state minimum wage of $16 to the fast food wage of $20.

While the law applies directly to most workers in the fast food industry, operators of traditional restaurants say they are feeling the pinch as well.

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‘It Affects Everyone’

“We are all competing for the same labor pool. That includes retail, that includes classified employees in the school systems. It affects everyone,” said Lorraine Salazar, co-owner of Sal’s Mexican Restaurant.

Salazar said she’s had to increase compensation to her employees, institute tip sharing and raise menu prices. She expects customers to decrease discretionary spending.

“There’s other inflationary factors that are causing them to look at their budgets. Just as food prices, which are affecting all of us, utility and energy prices … now they really have to watch their dollars,” she said.

Salazar says a consequence is that fast food restaurants will hire fewer employees to keep costs down. Finding efficiencies, new technology and using third-parties — such as a delivery drivers who would not be covered by the minimum wage increase — are ways the industry is adapting.

‘Everyone’s Fighting for Kitchen Staff’

Lewis Everk owns The Woodward and several other restaurants and nightclubs. He finds himself competing with fast food for labor.

“When you have people making that wage at other establishments, it’s definitely a trickle down to the restaurants because everybody’s fighting for cooks, everybody’s fighting for kitchen staff,” Everk said.

“We’re all fighting for like the same 500 guys that are in the business,” he said.

Like Salazar, he instituted tip sharing.

“We’re eating it right now. We haven’t done a price increase, probably in two years. So I think that it’s definitely going to be warranted, but it’s just another struggle for business owners in California,” Everk said.

He is concerned that he may price himself out out of the market if the hikes are are too much for the customer. In the end, the “secret sauce” of restaurants is service, he said.