Rubio's Coastal Grill CEO EXPLAINS Why California Restaurants are Shutting Down

Rubio’s Coastal Grill was once a California fast-casual success story, built on fresh fish tacos and steady expansion across the West. But in May 2024, the chain abruptly shut down 48 California locations and days later filed for Chapter 11 bankruptcy. In this video, we break down what really happened behind the headlines: how California’s $20 fast food minimum wage under Assembly Bill 1228 changed labor costs overnight, why thin restaurant profit margins left little room to adapt, and how rising food prices, rent, utilities, debt, and lower foot traffic pushed already struggling locations over the edge. Using Rubio’s own statements, bankruptcy filings, and industry data, this is a clear-eyed look at why dozens of restaurants closed, what it means for workers and communities, and what Rubio’s story reveals about the future of fast food in California.

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