NZA
LOL
that's a pointless question. they dont pay based on honest perception of worth, they pay based on what they can get away with.
Living wage advocates, how are restaruant owners supposed to deal with being squeezed like this?
- Thread starter Camile.Bidan
- Start date
Fair enough, but what about the companies(wendy's) we see beginning to automate in response to a higher min wage?
Broke Wave
The GOAT
Thats what they need to do to keep their artificially low food prices and low quality food. The business model here is "cheap, low quality, thin margins" so 3 wendys may make as much profit as 1 actually solid burger joint. That model is sustained by the welfare state bruh. If they can keep their low prices and service the exact same with automation, more power to them, thats a natural progression of the game.Fair enough, but what about the companies(wendy's) we see beginning to automate in response to a higher min wage?
But until robots can make more delicious burgers like a regular burger shoppe, theyll never have the higher price point and therefore the profit margins.
Even if you could negotiate the franchise fee down to $0 it wouldn't create enough savings to balance out doubling the salaries of their workers.
Realistically, McDonalds as one of the worlds largest real estate holders should consider providing their workers with dormitory style housing like they do with sweatshop workers overseas. It'd be cheaper for them and they'd have less turnover.
@Broke Wave
Do you believe there will be any negative side effects(to raising the min wage) at all? and if so what will the be?
Do you believe there will be any negative side effects(to raising the min wage) at all? and if so what will the be?
Broke Wave
The GOAT
@DEAD7 I am a free marketeer thru and thru. Is the government not picking winners and losers when lets say on an annual basis McDonalds in town A recieves 100k a year of federal subsidy to its workers, yet Mommas Burgers recieves 10k a year between its 5 employees? Isnt McDonalds then allowed to run at a loss until Mommas burgers collapses and the competition folds to Mcdonalds? In the free market people would decide based on taste and service. Instead places like Mcdonalds are making us decide based on availibility. Theyre everywhere and open 24 hours, all while getting thousands from our government. fukk that. Lets get the gov out of the resteraunt business and force businesses to pay the true cost of labour.
how do we know? because you say?
I linked the ....nevermind.
The Effects of a Minimum-Wage Increase on Employment and Family Income
I always thought the argument was that the gains outweighed the losses, this is the first im hearing that there will be no losses.
Interesting.
You are trying to have your cake and eat it too. You want the govt to get out of the restaurant business... OK.... so would you be cool with the govt doing away with minimum wage? Would you also be OK with all the franchises that aren't profitable w/o subsidies shutting down and putting all those workers out of jobs?
Like I keep saying.... the problem here is not the wages. The more we try to force pay rates away from the actual value of the work the worse off everyone is. The sad reality is the true value of a restaurant job is dancing on the threshold of what is livable for one person, and pretty much abject poverty for anyone with kids. A more logical goal would be to get people into higher value jobs and careers, not trying to make a $5/hr job pay $15/hr.
Why should they go through all that when they can just put their money elsewhere to generate returns for way less hassle? In this climate it's a wonder anyone goes into the restaurant business at all.
ill
Superstar
American restaurants should all adopt that model. I think it solves a lot of uncertainty in service workers wages.
@Napoleon no swipes but stop dapping my posts, your cosigns negatively impact credibility.
Problem with that is when shyt is slow employees just get fired. And when times are good they have no incentive to expedite service. I think France is on this model and when I went the restaurant service was horrible.
Problem with that is when shyt is slow employees just get fired. And when times are good they have no incentive to expedite service. I think France is on this model and when I went the restaurant service was horrible.
because people who have no savings are willing to walk out and strike for it
which tells me they need it
Broke Wave
The GOAT
I think that the government is in the resteraunt business when it starts paying for the workers food and shelter. I think every business that cant stand on its two feet needs to go into bankruptcy, that is how this capitalism thing works. There are some noteworthy exception if the said business is in the national interest, then the government may invest (Obama and Detroit). You are forecasting an unrealistic reality. You cant just get people into higher paying jobs using education or training. People have to naturally transition into those things. I advocate for increased investment in training and education but to ignore the reality of the worker right at this moment is to me nonsensical and doesnt even answer the question in the OP
↓R↑LYB
I trained Sheng Long and Shonuff
Go through all of what? Renegotiating contracts to make it more favorable to their franchisees? That's the price of doing business. McDonald's renegotiates contracts all the times with its suppliers.
And back to my original point, why should McDonald's be allowed to subsidize their business off the backs of the rest of society? When McDonald's (and other multi national companies) don't pay their employees a fair wage, the burden gets put on people like me and you because we have to subsidize them via foodstaps and medicaid while McDonald's generate billions in profit.
ill
Superstar
People that walk out on a job that they clearly need a lot tells me a whole lot too.