Shark Tank legend attacks Gavin Newsom's 'Triple Whammy', paralyzing California [VIDEO]

Amid California's economic challenges, O'Leary Ventures President Kevin O'Leary has sounded the alarm about what he calls a “triple whammy” hitting the state's small businesses hard.

In a recent appearance on “The Big Money Show,” O'Leary pointed to the upheaval caused by changing consumer preferences following the pandemic, along with rising inflation rates. The renowned businessman, who is currently filming season 16 of 'Shark Tank' in California, highlighted how the local casual dining sector has been in turmoil due to what he describes as poor minimum wage policy, which led to shutdowns across the state.

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A California law mandated a $20 minimum wage for restaurants with 60 or more locations more than two and a half months ago. The resulting increase in menu prices at quick-service chains, ranging from the mid-single digits to the mid-teens, has dealt a heavy blow to these establishments, affecting traffic and profitability.

O'Leary didn't mince words, claiming that Gov. Gavin Newsom's policies are steering California toward a “version of Venezuela,” drawing capital away from more business-friendly states like Tennessee, Florida and Texas. The “Shark Tank” investor strongly urged Newsom to reconsider his approach.

In response to O'Leary's criticism, a statement from Newsom's office dismissed the criticism as misinformed corporate propaganda, citing differences of opinion with O'Leary's former colleague , Mark Cuban, on minimum wage issues. The bureau cited data showing an increase in employment in California's fast-food sector after the wage increase, apparently in defense of the governor's policies.

Undaunted, O'Leary emphasized the negative impact of Newsom's management style, lamenting the decline in California's economic vitality during his frequent visits over the past fifteen years. The state's business environment has become a mere shadow of its former self, according to the outspoken entrepreneur.

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