Simple-minded liberals - "Lets force business to pay people at least $15 an hour and we'll all be rich".
Report: Wendy’s to Roll Out Self-Serve Kiosks by End of 2016
may 13 2016 Wendy’s fast food restaurant chain says it will begin offering self-serve kiosks at its 6,000-plus locations across America, making them available to costumers by the end of 2016.
The fast food giant’s decision to move toward automation comes just as “Fight for $15”–a progressive protest movement, pushing minimum wage hikes–is applying pressure on state governments to raise wages for low-skilled fast food workers.
Last August, Wendy’s CFO Todd Penegor told investors that mandated wage hikes will cause his company to pursue other innovative avenues that could lead to fewer jobs for low-skill workers.
They're doing this with the minimum wage at 7.25, not 15.
They are DOING IT ANTICIPATING idiots are going to raise their labor costs by 100%!
THINK you business knowledge SHRIFT idiots!
A Wendy's Franchisee normal pays a fast food worker : $15,212 to 18,870
Wendy's International, Inc. Employer Salary, Average Salaries | PayScale
An average fast food place normally has 15 fast food workers
Employees per establishment in the U.S. fast food industry 2018 | Statistic
Labor Cost Percentages
Varying industry standards put labor costs between 30 to 35 percent of the restaurant's total sales. The standard for manager salaries should be around 10 percent of total labor costs,
leaving 20 to 25 percent of labor costs for hourly employees.
Labor costs tend to fluctuate depending on your restaurant's busy and slow seasons, so it's a good idea to average your weekly labor costs to obtain your monthly labor costs. You can then use your monthly labor cost averages to obtain your annual average labor costs.
Food Service Industry: Labor Cost Standards
So for you idiots that have never seen any financial statements quick lesson:
If your cost of doing business from labor for hourly employees is 25% of a Wendy's total sales...
AND that average costs is projected to jump from $7.31 per hour to $15.00 hour that means Wendy's labor costs jumps from 25% to 50%
(15.00/hour less $7.31 per hour equals $7.68/hour more or an increase of 51%)
At that rate Wendy's makes NO profits... operates at a loss and goes out of business.
But a self ordering KIOSK as they are putting in will replace .....
Melnik likes to say that each Kinetics self-check-in machine, at an initial cost of between $6,000 and $10,000, takes the place of two-and-a-half ticket agents, because the machine is available (at least) from 6 a.m. to 9 p.m., seven days a week—or about the number of hours that many agents would work. But that both understates and overstates the machines' impact.
The Toll of a New Machine
So the initial costs to replace 2 fast food workers is about $10,000!
Seems to be a no brainer!
Idiots who want to increase the percent of the young from 16 to 24 that constitute half of the 3.5 million that work at minimum wage THIS is what you will get!