McDonald’s, Chipotle to hike menu prices after California Gov. Newsom approves $20 fast food minimum wage
McDonald’s, Chipotle to hike menu prices after California Gov. Newsom approves $20 fast food minimum wage
McDonald's and Chipotle said they will raise menu prices in California to pay for the minimum wage hikes that Gov. Gavin Newsom recently signed into law.
Meanwhile, In n Out serves a better burger, for less money, paying their workers $19+/hr.
110Yes, buuut in-n-out is also crazy religious so don't put them on too high a pedestal
46"My preferred megacorp is superior to your preferred megacorp!"
4
This is what being addicted to ever-growing profit looks like. They could still make mountains of profit with the new minimum wage, but they can't make as much profit as they did before.
84If they aren't increasing their profits every year endlessly, they'll have to stop using that one clipart of the arrow line going up on a graph in their presentations.
They sacked the guy that knew how to change the image years ago and they're in too deep now to stop
47Wall Street is cancer.
33
The prices were always gonna be raised, the wage increase is just an easy excuse, if the wage increase is reversed the prices will 100% still be raised and will almost definitely stay there.
81Exactly. Corporations love to blame labor.
16Its not just labor they like to blame. I remember my local McDonald's raised prices by around 10 cents across the board without giving a reason even though they had gotten a tax cut that year, next year the tax was raised to its previous value and they raised prices again, this time citing the "tax increase". Corps will ALWAYS find a way to raise prices and blame it on something other than greed.
6Permanently Deleted
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Fox business coming through with a piece to say "we told you so" and "higher wages just mean higher prices."
Fuck Fox.
72Fuck fox
18
They would have anyway. Prices don't stay the same and they certainly don't go down.
57They won’t lower prices until people stop buying. And most Americans will happily spend themselves into the poorhouse in the name of convenience, and then blame the government for it, so…
1
This is a misleading title.
They hike the menu price to make more money using the minimum wage as an excuse.
51Let them price themselves out of business then. Someone will come along and make an affordable burger.
43"The free market will fix it" seldom works, which is why it's still pushed as a solution.
Could this hypothetical someone make a more affordable burger ethically, or would they also have to fuck over their employees and suppliers?
Usually, the answer is "no". Businesses either use all the same sleazy, "race to the bottom" techniques or they go out of business because they offered a more expensive product to people without the luxury of being able to spend more.
But of course if you start paying people more, the billionaires will just fuck them out of that too. They want every dollar you have and they know people will spend every dollar they have to avoid being homeless or hungry.
17
Large Fast Food Chains: We made record profits, again!
Also Large Fast Food Chains: Wait! If we are required to actually pay our staff, how will I, Mr. CEO the Douchebag, afford my 16th yacht? How will I be able to send my children to the finest schools in the world? How will I be able to afford to eat if my workers aren't suffering? Won't anyone think of the 1% and our problems?
37Ok. Hike the prices and see how sales go.
26I doubt sales will change much. Most people who eat at McDonald's do so because they're addicted to it. Rising prices won't stop them.
-4When I used to eat at McDonald's, it was because I was working 3 jobs and it was a quick, cheap way to get something vaguely nutricious into my body en route between jobs. Because of understaffing , the delays to order, to pay, and to get your food mean it's no longer fast; and it's certainly no longer cheap. The only remaining advantage is the "en route between jobs" part, but it's just easier to store a cooler in the car now.
15I eat at McDonald's because it's cheap, it's fast, and it's reliably consistent. There are four or five different cheap fast food restaurants near the local McDonald's. If they all raise their prices, it won't be cheaper than a local restaurant burger, so the only advantage is time.
8
Like they haven't raised prices 4 times already this year.
23I wonder if this will cause the Big Mac to shrink any more than it already has.
16It'll just be a mist now. One squirt for $4.89.
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Told you Libruls! The Big Mac was still $0.99 before this law was signed because companies NEVER raise prices unless they have to raise wages!
14The GOP will just blame it on Biden and all Trump’s cult followers will believe it.
13It literally doesn't matter, fox. If it's so bad, why hasn't McD's up and left the state? Why haven't people stopped buying it? All the blather in the world isn't bringing California down so go eat shit.
13They should also have to pay employment taxes on the automated ordering machines.
11This is a great idea. Yes, automate things, but provide for the workers accordingly.
5
My wife and i joke about when we will have mcdonalds money now. Just nuts what a FF joint will charge for the simplest food.
7I didn't understand why anybody enjoyed McDonald's 20 years ago and I don't understand it now.
It's absolute garbage food. And now it's way overpriced garbage food
1
And people will keep buying. Complain all y'all want, but as long as people keep spending the prices will keep going up. Always.
7You ain’t wrong. People love to complain but seem to have forgotten that it’s easy to vote with your wallet.
0Plus when 1 person actually does change their spending habits it does nothing to the problem because it requires a large group to make an impact.
It's lose lose.
-1
They had $3.5 billion in cash at the end of the last quarter and reported net income of over $2.3 billion.
They're just assholes.
5This is the free market don't you know? You could start your own business and undercut them on price.
/s
2No, they're acting in the interest of their real customers, the ones they rely on to work and expand.
Investors.
And investors are angry if you don't give them money.
This entire system is very, very fucked up, and due to that, McD will always do price rises and everything to drive revenue up.
1
Watch people wait in line to buy a $5 dollar hash brown. Meanwhile, In and Out still good value if you have a non-ridiculously-busy location near you.
Not an invitation to hear why you like a $18 burger better because the peanuts are free. Get real, I'm not an elephant.
5Like they hadn't JUST raised prices multiple times in the last 8 months.
1That's precisely how it should work.
Businesses need to charge for their products and services, what paying their employees a living wage affords.
Should their products become too expensive, less people will purchase them, and then they'll need to decide whether or not to cut executive bonus pay, and shareholder dividends, cut back on their offerings, reduce the sizing, lower the quality or go out of business.
This is business, there are a myriad of things businesses do to get and stay profitable, though the corporations profits should not come at the expense of their labor forces ability to earn a living wage.
-5Except they can easily afford to pay their employees a living wage while charging LESS than they already do. That would mean less profiteering though, can't have that.
40You're right, but the prices of things are determined by supply and demand, not the goodness of some CEO's heart.
If McDonald's determines that raising their prices has sapped demand (at that price) they will be forced to lower the price by cutting into their profits somewhat or otherwise lowering their costs.
In capitalism, businesses will always set prices as high as consumers allow them to get away with.
-7
This is business, there are a myriad of things businesses do to get and stay profitable, though the corporations profits should not come at the expense of their labor forces ability to earn a living wage.
Hiking prices in response to increasing wages to a reasonable level is coming at the expense of their labor forces ability to earn a living wage.
7Prices are not based on cost. They are based on supply and demand. If a company increases prices after a forced increase in cost, it is either coincidence or an attempt to trick a populace that hasn't learned economics.
1