McDonalds employees going to be living large. Going up to around $10 per hour.
That's 91,000 employees. The franchisees employ another 750,000. McDonalds made $5 billion last year in profit. Imagine that all that profit was made in the USA. That's not true. But bear with me. If we divide that $5 bil in profit by the 841,000 McDonalds fast food workers in the USA that works out to $5945 per employee. Really, it is much less than that due to foreign profits. Anyone know what McD makes just in USA?
But if the $5945 per employee was made only in the US and McDonalds decided to run for 0 profit and pay employees of US stores more then it could only pay them an additional $5945 per year. Not much. Fast food workers aren't going to make much money unless prices rise. Automation isn't going to do it. To even have a chance of paying employees well the stores have to become highly automated and lay off most of their workers. Then only if the remaining work was highly skilled (say robot repair) could the remaining works get a decent wage.
A $15 minimum wage would lead to a shift toward food that is faster and easier to prepare along with development of food prep robots. I hope that happens since the results will be highly educational for everyone and speed up the development of robots.
|Share |||By Randall Parker at 2015 April 01 09:50 PM|