McDonald's responds to $15 minimum wage edict

WVPATX

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bornaneer

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Me too -- shocked that once again WVPATX has thrown up something from the right wing fringe that's totally false. :flushed:

http://m.snopes.com/mcdonalds-kiosks-minimum-wage/

Tell me why its "totally false". Why is McDonalds installing these? I think you are smart enough to figure it out. The fact that they were in development long before the $15 hr deal does not change the reason for their use.
 

WVPATX

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Me too -- shocked that once again WVPATX has thrown up something from the right wing fringe that's totally false. :flushed:

http://m.snopes.com/mcdonalds-kiosks-minimum-wage/

Totally false? The article simply states that cost was not mentioned as a factor. The reality is that technology will be used by businesses for competitive advantage. If you don't think these kiosks will be used because of much higher labor costs, you're dumber than I thought.

You may want to read what impact Seattle is already feeling.

https://www.aei.org/publication/min...staurants-1300-largest-since-great-recession/
 
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Airport

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Me too -- shocked that once again WVPATX has thrown up something from the right wing fringe that's totally false. :flushed:

http://m.snopes.com/mcdonalds-kiosks-minimum-wage/
The fudiciary responsibility of every CEO is to make money. If labor cost go up, look for ways to decrease labor cost. My business has been down 20% and I finally started cutting staff hours. Just had to do it. Liberals just don't understand profit.
 

op2

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I'm surprised fast food restaurants haven't gone this route before now. The ordering process is so simple most of the time. Maybe keep 1 or 2 humans at the register in case people want that but at least give people the option of using a machine, which is probably faster once you get used to it, and plus you could give them a little discount for doing so.

The grocery store has self-checkout and that seems way more complicated than self-ordering a burger, fries and a Coke.
 

mneilmont

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I'm surprised fast food restaurants haven't gone this route before now. The ordering process is so simple most of the time. Maybe keep 1 or 2 humans at the register in case people want that but at least give people the option of using a machine, which is probably faster once you get used to it, and plus you could give them a little discount for doing so.

The grocery store has self-checkout and that seems way more complicated than self-ordering a burger, fries and a Coke.
How do you handle preparing and dispensing the order. You still have to satisfy the sanitation requirements when handling food.
 

Airport

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How do you handle preparing and dispensing the order. You still have to satisfy the sanitation requirements when handling food.
You have a little longer wait. If you have a profit margin that allows 10 workers per hour and you have to double their wage , you will increase costs to consumer and then cut hours by 40%.
 

mneilmont

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You have a little longer wait. If you have a profit margin that allows 10 workers per hour and you have to double their wage , you will increase costs to consumer and then cut hours by 40%.
You just stopped being "fast food". Might want to reconsider and opt for a sit down meal.
 

op2

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How do you handle preparing and dispensing the order. You still have to satisfy the sanitation requirements when handling food.

I didn't mean to imply the whole restaurant could do without employees entirely. You'd still need some workers. But you tell the person at the counter you want a Big Mac and he hits the Big Mac button...it seems like you could just hit the Big Mac button yourself. I think Sheetz/7/11 type convenience stores have kiosks for that already.
 

WVUBRU

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This is 100% false in terms of the recent minimum wage increase. When I was an executive in the industry ending in 2006, this was being shown at every convention every year. It has been tested overseas since early 2000's.

Quit trolling and just leave, Troll.
 

bornaneer

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This is 100% false in terms of the recent minimum wage increase. When I was an executive in the industry ending in 2006, this was being shown at every convention every year. It has been tested overseas since early 2000's.

Quit trolling and just leave, Troll.

What industry......Fast Food or POS ?
 

WVUBRU

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YUM! has been using self service in some locations for many years in the US. I would guess the first time I saw one at a KFC/Taco Bell combo unit was around 2012. Worked like crap.
 

WVPATX

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So your argument is that when labor costs nearly double companies won't use technology to lower operating costs? Seattle has already experienced a large drop in restaurant employment. I'm sure it has nothing to do with the new minimum wage.
 

mneilmont

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So your argument is that when labor costs nearly double companies won't use technology to lower operating costs? Seattle has already experienced a large drop in restaurant employment. I'm sure it has nothing to do with the new minimum wage.
I would think any progressive(not Democrat) industry you are in there would be forward thinking people involved and prototypes would be displayed at annual conferences at a minimum.

I was in the grocery warehouse industry when bar code and scanner and front end load were dreams of the future. Think of all the steps that were eliminated at the larger stores Item ID, cost, price, register receipt, inventory, restock order, margin and a hell of a list of things happened when that barcode was scanned.
 

WVPATX

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I would think any progressive(not Democrat) industry you are in there would be forward thinking people involved and prototypes would be displayed at annual conferences at a minimum.

I was in the grocery warehouse industry when bar code and scanner and front end load were dreams of the future. Think of all the steps that were eliminated at the larger stores Item ID, cost, price, register receipt, inventory, restock order, margin and a hell of a list of things happened when that barcode was scanned.

I always use automated grocery store checkout. Very fast and efficient. Same with automated check in at the airport. Very easy to see fast food joints using it.
 

TarHeelEer

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No, have not had the pleasure. I just cannot see near total self serve at fast food where orders may or may not be customized. I guess I need to get out more.

They are customized. The ordering is automated, not the preparation.
 

WVUBRU

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The point, that is likely beyond your comprehension, is that doubling the minimum wage will cost jobs.

Listen you dumbass Troll. The industry is the biggest opponent to the raising minimum wage of any other industry. They have been fighting the minimum wage since there has been a minimum wage. The players have been working to fight labor costs since there has been restaurants. And don't you dare attempt to say I don't comprehend something that I am in fact an expert in the field.
 

mneilmont

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They are customized. The ordering is automated, not the preparation.
OK. That would even sound to be a preferred system. Would remove some that are not worth $7. Wage increase would just force them to do something they should have done before as efficient management..
 

WVPATX

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Listen you dumbass Troll. The industry is the biggest opponent to the raising minimum wage of any other industry. They have been fighting the minimum wage since there has been a minimum wage. The players have been working to fight labor costs since there has been restaurants. And don't you dare attempt to say I don't comprehend something that I am in fact an expert in the field.

You don't seem to comprehend that a doubling of labor costs will force companies to react and use technology to lower operating costs. That's not very EXPERT.
 

WVUBRU

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OK. That would even sound to be a preferred system. Would remove some that are not worth $7. Wage increase would just force them to do something they should have done before as efficient management..

Neil - Stop into any of the QuikTrips that are on about every exit on the Interstate system in SC. Most have developed the same system as Sheetz.
 

mneilmont

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Neil - Stop into any of the QuikTrips that are on about every exit on the Interstate system in SC. Most have developed the same system as Sheetz.
Bru, a couple weeks ago I asked a question that I didn't really get a response to regarding the doubling the min to $15. What do you do with those who were previously making $15 and those in between? No increase, increase by $7.50 to $22.50; double to $30? How do you compensate those who were above 2X minimum? Sounds to me like someone is going to be ticked off because they are not treated fairly. And before that, what is fair? $7.50 increase for all or do those others maintain their percentage difference.

At any rate, just those at minimum are not the only ones affected. And then those taxes and fringes that are calculated as a percent of payroll makes a dent on the bottom line. Industry you are in and competition makes a difference. Can you pass the cost on or do you have to eat it. That would determine if you stay or go. Not just the employees, but the entire operation could be in jeopardy.
 

WVUBRU

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Bru, a couple weeks ago I asked a question that I didn't really get a response to regarding the doubling the min to $15. What do you do with those who were previously making $15 and those in between? No increase, increase by $7.50 to $22.50; double to $30? How do you compensate those who were above 2X minimum? Sounds to me like someone is going to be ticked off because they are not treated fairly. And before that, what is fair? $7.50 increase for all or do those others maintain their percentage difference.

At any rate, just those at minimum are not the only ones affected. And then those taxes and fringes that are calculated as a percent of payroll makes a dent on the bottom line. Industry you are in and competition makes a difference. Can you pass the cost on or do you have to eat it. That would determine if you stay or go. Not just the employees, but the entire operation could be in jeopardy.

Neil - I don't have much of anything to say about your question. In my opinion and some of my opinion on this subject is from a professional pov, one cannot answer that question with just one response. There are so many other factors in the various industries of the US economy that one with any knowledge could nitpik any answer and give a legitimate rationalization of an counter-point.

On the question on what restaurant and retail industries (I will only discuss these industries) will do with the increased labor cost due to the rise of the minimum wage, there are many ways an organization can counter the effect. It is usually a multi-pronged solution from the best organizations (which I have been privileged to be with a couple in similar circumstances) but one of the prongs is almost always a rise in the cost passed onto the consumer. Again, a very complex financial situation in which there are many different perspectives and a smart financial professional would be careful in not only the approach to the solution but also how one speaks about it.
 

bornaneer

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I am no expert on the restaurant business but I can say that my years in the hospitality industry which was mostly in procurement,program development and contracting taught me how tough the industry is. I saw people fired over pennies. I spent most of my years in the retail food business and I know that the compensation for retail food store employees is much better than any fast food workers.
 

Airport

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Neil - I don't have much of anything to say about your question. In my opinion and some of my opinion on this subject is from a professional pov, one cannot answer that question with just one response. There are so many other factors in the various industries of the US economy that one with any knowledge could nitpik any answer and give a legitimate rationalization of an counter-point.

On the question on what restaurant and retail industries (I will only discuss these industries) will do with the increased labor cost due to the rise of the minimum wage, there are many ways an organization can counter the effect. It is usually a multi-pronged solution from the best organizations (which I have been privileged to be with a couple in similar circumstances) but one of the prongs is almost always a rise in the cost passed onto the consumer. Again, a very complex financial situation in which there are many different perspectives and a smart financial professional would be careful in not only the approach to the solution but also how one speaks about it.
Sounds reasonable except when you go to take your kids out to MickeyDs and it cost $30 instead of $15. Your salary hasn't increased but the cost to go out just did. You eat at home. maybe you heard of Living Wage Pizza in San Fran. Their pizza cost $30.00 . No one would spend that much and they went out of business. Free markets should be left to do what they do best, allocate capital where it works best. You can trust your govt, you can trust it to get everything wrong.
 

Mntneer

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Had a meeting today with an architect about a bank in this state that is looking to expand a few locations and the subject came up about tellers came up. This particular bank has eliminated many tellers in many locations going with Kiosks instead. Purely a cost saving measure, and saving the bank quite a decent penny.

There is no doubt that a push to overpay fastfood workers will lead to less workers and more Kiosks in stores, which frankly, will probably give you better service. I stopped at Wendy's on the way to the game this past weekend. I order a Jr. Bacon Cheeseburger with just Ketchup, and my son ordered a Jr. Cheeseburger with extra pickles and ketchup and mustard. Instead got 2 Jr. Cheeseburgers with regular pickles and ketchup. (no bacon on mine, but with pickles and no mustard or extra pickles on my son's) Until that **** stops happening, what makes anyone think a fastfood worker deserves a dollar more. I learned at 15 how to serve food to order, so should they.
 

WVUBRU

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Had a meeting today with an architect about a bank in this state that is looking to expand a few locations and the subject came up about tellers came up. This particular bank has eliminated many tellers in many locations going with Kiosks instead. Purely a cost saving measure, and saving the bank quite a decent penny.

There is no doubt that a push to overpay fastfood workers will lead to less workers and more Kiosks in stores, which frankly, will probably give you better service. I stopped at Wendy's on the way to the game this past weekend. I order a Jr. Bacon Cheeseburger with just Ketchup, and my son ordered a Jr. Cheeseburger with extra pickles and ketchup and mustard. Instead got 2 Jr. Cheeseburgers with regular pickles and ketchup. (no bacon on mine, but with pickles and no mustard or extra pickles on my son's) Until that **** stops happening, what makes anyone think a fastfood worker deserves a dollar more. I learned at 15 how to serve food to order, so should they.

The industry has a serious issue with finding good employees and training, no doubt. Raising the minimum wage to $15 will not solve that issue as it is not directly related. Even though I am in favor of raising the min wage, I am not in favor to the leap to $15. As with almost everything, there has to be a balance in an action and raising it to that level creates many imbalances. And that doesn't address the experience you had and I had a similar experience at McD's Monday morning. Happens all the time.
 

dave

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Libs wont admit it but they know that a 15 dollar min wage will cost iobs. Its all about populism and they dont care what it does to the economy.
 

WVPATX

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Libs wont admit it but they know that a 15 dollar min wage will cost iobs. Its all about populism and they dont care what it does to the economy.

You're exactly right. It's all about votes. Raise the minimum wage to ridiculous levels just to please the radicals. It sounds great. But real people lose their jobs. Technology will insure that. Americans die at the hands of illegals. Collateral damage. Dems want the votes.
 

bornaneer

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The industry has a serious issue with finding good employees and training, no doubt. Raising the minimum wage to $15 will not solve that issue as it is not directly related. Even though I am in favor of raising the min wage, I am not in favor to the leap to $15. As with almost everything, there has to be a balance in an action and raising it to that level creates many imbalances. And that doesn't address the experience you had and I had a similar experience at McD's Monday morning. Happens all the time.

You feeling OK?.....You are making sense for a change. See what happens when you take a deep breath and let all that hate out.
 
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op2

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You're exactly right. It's all about votes. Raise the minimum wage to ridiculous levels just to please the radicals. It sounds great. But real people lose their jobs. Technology will insure that. Americans die at the hands of illegals. Collateral damage. Dems want the votes.

Yeah, because pleasing radicals is a great way to win a general election, which encompasses the entire electorate. As we all know, as go the radicals so goes the nation.