So it begins- Wendy's To Switch To Self Ordering and Automation To Avoid $15/hr Wage hike

HollowPoints2

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President Obama has frequently demanded an increase in the federal minimum wage to $10.10 from $7.25. Meanwhile, dozens of states have set minimum wages above the federal level and politicians from Seattle to New York are congratulating themselves for taking it all the way to $15. Maybe they should look back at the workers they’re leaving behind on their march to progressive-landia. Make that ex-workers.

Last week the Wendy’s Company did a public service on its second-quarter earnings call by explaining how mandated wage hikes will lead to fewer jobs for the low-skill workers that progressives claim to be helping.

First, CFO Todd Penegor talked about the pressure to pay higher wages and said that “we continue to look at initiatives and how we work to offset any impacts of future wage inflation through technology initiatives, whether that’s customer self-order kiosks, whether that’s automating more in the back of the house in the restaurant. And you’ll see a lot more coming on that front later this year from us.”

So the company will now use machines to do jobs that used to be done by people who have become too expensive to employ. We keep hearing that these minimum-wage laws benefit restaurant workers. But since many will no longer be working in restaurants at all, the reasonable conclusion is that the activist campaigns to raise the minimum wage are mainly intended to benefit the unions that back them.

On last week’s call with securities analysts, Wendy’s CEO Emil Brolick was asked how the franchisees who own and operate Wendy’s locations could raise prices to offset the higher wage costs in places like New York. He replied that “our franchisees will likely look at the opportunity to reduce overall staff, look at the opportunity to certainly reduce hours and any other cost reduction opportunities, not just price. You know there are some people out there who naively say that these wages can simply be passed along in terms of price increases. I don’t think that the average franchisee believes that.”

Mr. Brolick elaborated that “we believe that some of these increases will clearly end up hurting the people that they are intended to help. And we continue to believe that one of the great opportunities you have in a business like ours is that an entry-level person, in a very short period of time, can rise to become a manager in a restaurant, and have an income above the median household income in the United States of America.”

We see here again the vast gulf between progressive claims and progressive reality. Remember last year when McDonald’s then-CEO Don Thompson, amid protests over entry-level wages, agreed to President Obama’s idea for a wage hike? Then came news of new automation plans at McDonald’s. Just what struggling low-wage workers need. Another law that prices them out of a job.
Another Minimum Wage Backfire
It's disgusting how these greedy ass corporations want to take away peoples jobs and replace them with robots just to save some money.
Bad idea.

Instead of increasing the minimum wage, more focus should be put on reducing the cost of living nationwide.

That means your electric bill,mortgage water bill,insurance bill , food bill all be reduce nationwide.
 

MikelArteta

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Ravinder and kumar can do it for cheaper


Exactly. This is just a scare tactic...

And if you work in IT, you know how difficult it will be to automate all these jobs. Companies will invest MILLIONS and spend 5 years building basic HR and accounting software that doesn't even work then spend more millions and another 5 years trying to fix it. Now imagine having to do that with robots. We are a long way away from robots taking over every job...
 

Raptor

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Capitalism always had the seeds of its own destruction. If you think America is fukked, just imagine what would happen to the Chinese and 3rd world nations who depend on unskilled labour for its industries and national income. Its going to be the Great Famine 2.0 if automation becomes more advanced. Atleast in the west, theres some form of welfare for the jobless and theres going to be industries that are immune from automation. In these places, its survival of the fittest.

Russias probably getting ready for socialism 2.0:demonic:
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Panther

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Things like this always happen, when obamacare got put into place, many employers put caps on workers so that they would'nt have to pay for their healthcare...

Only thing i can say is folks in those jobs better start thinking ahead and building themselves some marketable skills :francis:

:yeshrug: game is the game
 

Yuzo

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No one said what if they automate our positions?
these kinds of jobs were always going to become automated down the line. there is no what if. businesses can cut costs selling higher quality food at cheaper prices so much that they undercut their competitors and force them to bring in the same technology or go out of business. it starts a chain reaction. its not the workers fault that technology progresses. thats what technology is supposed to do
 

Kalik

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Told them mafuccas... $10 an hour >>> $0 an hour cashiers.

Wawa been on deck. Self cashout aisles in home depot and walmart. Dumb cashier just got my order wrong today at Checkers.

:yeshrug:
 
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Bad idea.

Instead of increasing the minimum wage, more focus should be put on reducing the cost of living nationwide.

That means your electric bill,mortgage water bill,insurance bill , food bill all be reduce nationwide.


:childplease:

This makes to much sense if you're concerned about the general welfare of society..... but do you really think billion dollar banks/energy companies are about to lose money to help the betterment of America socially and economically?
 
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Told them mafuccas... $10 an hour >>> $0 an hour cashiers.

Wawa been on deck. Self cashout aisles in home depot and walmart. Dumb cashier just got my order wrong today at Checkers.

:yeshrug:

I remember going to Futureshop (Now Best Buy) how the aisles used to be dead, completely empty.

People shop online now, free shipping and online reviews = Death to jobs as my generation becomes older and wiser.

What about Package Handlers and Mail Carriers?

Here's Amazon's answer.

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Sick and tired of your preorders being late because of bytch ass UPS? Amazon has the answers.
 
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