Bay Area fast food chains continue layoffs ahead of minimum wage increase

[Lord-Humungus]

They are setting up for all the illegals to start making mexican food stores...

Saw that happening in Manassas Va where the local Don Pablo closed while a bunch of Mexican Restaurants popped up instead.

Have you been to any of them. The ones we have blow the chain restaurants off the map. Better food lower prices

 

[Resnic]

So you've never met anybody who owns a business.

Since I answered yes and all you did was fake news me with no reply I'll happily respond to how employees are a companies biggest expense.

Now I know because I worked for a international hotel chain and helped the GM with annual capitals and budgets. I worked at a small computer company side by side with the owner. I work for a major international industry based food company now and see costs.

Let's say employee takes a shit. It costs time and money for them to not be working, the water and toilet paper flushed costs money. The soap and water to wash their hands costs money. The paper towels to dry their hands costs money. The maintenance and cleaning of the toilet costs money. On a individual level it's small, but over the course of a year it's a lot and the more employees you have the greater the cost.

That's just one tiny thing. That doesn't factor in the multitude of other tiny things let alone like the employer having to train, paying into workmans comp, paying into social security, paying into benefits, paying into 401k or retirement, paying employees for paid time off vacation days, uniforms, sick time, on the job injuries, extra perks, insurance for the company, time spent processing paperwork on them, and so on.

Even waste due to human error costs, the more humans the more errors the more waste.

Even if a company spends 1000x more on materials than employees they are still selling those materials in some fashion that generate a profit. Granted employees do the work but they don't personally bring value to the company in terms of goods.

There are thousands of ways employees cost money most never even consider that added up over a year is a good sized chunk of change.

 

[DudleySmith]

The only fake 'businesses' where labor costs are higher than 10%-20% is in yard work and those fraudulent 'janitorial services' franchise companies where the fraudsters try and claim their employees are all 'subcontractors n stuff' and similar labor rackets. Just because you open a business as glutted as fast food doesn't entitle you to cheap labor. Getting rich a lot faster if you had more cheaper labor available isn't a real 'labor shortage' either.