In-N-Out stands above all competitors not only because of its quality but also because of its positive association with the state it calls home (Sorry, Texas, Whataburger just doesn’t compare). But that relationship is slowly dwindling, and the “In-N-Out” name might soon describe the chain’s time in California.
In-N-Out was founded in California in 1948, becoming a West Coast juggernaut that operates differently from its many fast food competitors. The chain has not embraced the franchising model or gone public, ensuring that each new location is high-quality as it expands. It has slowly stretched to neighboring states and now reaches as far east as Texas, with new locations planned for Tennessee in the near future.
That growth into Tennessee is of particular note as California’s Democratic Party makes running businesses in the state more difficult. In-N-Out’s CEO moved her family to Tennessee, citing how hard it is to raise a family in California. The chain’s headquarters remains in California, but a new “eastern territory office” is opening in Tennessee, setting up the possibility for a future headquarters transition if California continues its Democratic death spiral.
In-N-Out’s relationship with its home state has suffered under Gov. Gavin Newsom (D-CA). In 2021, San Francisco demanded that restaurants check for proof of COVID-19 vaccinations, as part of the state’s incoherent and anti-science collection of masking and vaccination policies. In-N-Out refused, and the city temporarily shut down its San Francisco location.
In-N-Out permanently closed its Oakland location, the chain’s first-ever closure, thanks to the city’s crime crisis. Driven by soft-on-crime California law and soft-on-crime Oakland “prosecutors,” the crime crisis in the city became so dangerous that the chain could no longer guarantee the safety of its employees or customers, despite still being profitable.
In-N-Out then joined the push to repeal some of California’s soft-on-crime policies with Prop 36, fighting against state Democrats (including Newsom) to sell the ballot measure to voters. In-N-Out stood against California’s coddling of criminals and its COVID-19 authoritarianism, fighting both every step of the way.
But those fights can be exhausting, especially as California’s business environment worsens. The chain has had to raise prices after California Democrats jacked up the minimum wage for fast-food workers. In-N-Out’s starting wage was already higher than the original $16 per hour and the new $20 per hour. However, California’s heavy-handed actions led to inflation that all businesses must account for in their pricing.
IN-N-OUT CEO ASSERTS ‘APPRECIATION FOR OUR CUSTOMERS IN CALIFORNIA’ AMID BACKLASH ABOUT MOVING
California keeps making things tougher for everybody, including In-N-Out. The chain will expand all the way to Tennessee, and its CEO now resides there while it builds a new Eastern management hub. In-N-Out says it will keep its headquarters in California, but the chain will now have an escape hatch if California’s terrible governance continues.
In-N-Out may be a California staple, but it is not part of whatever suicide pact to which the California Democratic Party has tied the state’s government. California has lost much of its shine, but losing In-N-Out would be the best representation of the state’s decline to date.