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Fast food employees should be high school kids. Any adult working at a fast food joint that is not a manager and is complaining about their wages needs to shut the up and get a different job.
Fast food employees should be high school kids. Any adult working at a fast food joint that is not a manager and is complaining about their wages needs to shut the up and get a different job.
No .
I wouldn't be able to live off of a McDonalds paycheck and would never have tried.
Well it's better than relying on EBT, you got to give them that.
Speaking of McDonalds...
http://www.cjr.org/the_audit/a_big_m...e_huffingt.php
The Huffington Post reports that McDonald’s could double its workers wages by raising the price of a Big Mac by 68 cents. It went large on the Internet on Tuesday.
Unfortunately, what it originally claimed was a study by a University of Kansas researcher turns out to be something—a term paper, maybe?—given to Huffington Post by a KU undergrad. And there are serious problems with it. The correction on its provenance came too late, though: it’s all over the internets:
McDonald’s can afford to pay its workers a living wage without sacrificing any of its low menu prices, according to a new study provided to The Huffington Post by a University of Kansas student.
Doubling the salaries and benefits of all McDonald’s employees — from workers earning the federal minimum wage of $7.25 per hour to CEO Donald Thompson, whose 2012 compensation totaled $8.75 million — would cause the price of a Big Mac to increase just 68 cents, from $3.99 to $4.67, Arnobio Morelix told HuffPost. In addition, every item on the Dollar Menu would go up by 17 cents.
Since the HuffPost doesn’t bother to publish the actual “study,” which wasn’t really a study, we can’t really tell where these numbers are coming from. So let’s back into them.
First of all, 68 cents may not sound like much, but it really means that McDonald’s would have to raise its menu prices across the board by 17 percent. That ain’t peanuts.
Second, the 17 percent number is just incorrect. It’s too low. Here’s the latest McDonald’s 10-K, which gives us a glimpse at the company’s labor costs:
The only way to get the 17 percent-of-revenue labor figure is to divide payroll and benefits at company-operated restaurants by total revenues. But here’s the thing: More than 80 percent of McDonald’s restaurants are franchises, and the company makes scads of money from them in no small part because it has no direct labor expense at those stores. The HuffPost explicitly includes executive compensation in its 17 percent figure, but executive comp and the pay of folks in Chicago who run marketing and the like are housed in “selling, general & administrative expenses,” not under payroll & employee benefits at company-operated stores.
You have to divide company-operated payroll & employee benefits by company-operated sales to get an apples-to-apples measure. That gets you 25 percent. So a Big Mac would, in fact, have to go up by a full dollar, not 68 cents, in order to double wages at McDonald’s. And the Dollar Menu would have to become the Dollar Twenty-Five menu.
It’s harder to get at non-restaurant (ie headquarters) wages because McDonald’s doesn’t break out labor costs in SG&A. Assuming pay is half of the total, it would put the number at 22 percent.
And then there are the franchisees. There are 1.9 million people who work at McDonald’s restaurants, but just 440,000 of those actually work for McDonald’s Corporation. The rest work for franchisees who pay a cut of their sales to Chicago for the rights to the Golden Arches, Ronald McDonald, and standardized coronaries-on-a-plate.
Worldwide, those franchisees took in $70 billion in revenue last year, and US stores took in $31 billion of that. McDonald’s Corporation doesn’t break out similar expense numbers for its franchisees, so the best I can do is research from Janney Capital Markets. It puts labor costs for US franchises at 24 percent of sales, which gibes with McDonald’s company-owned stores. Janney estimates franchisee operating income at just 5 percent.
If Janney is right (and I’m a bit skeptical. Five percent margins seem awfully low), McDonald’s franchisees in the US pay out, very roughly, $7.4 billion in labor costs a year and make about $1.6 billion in operating profit. Doubling pay without dipping into profit would mean menu prices would have to rise 24 percent—and that’s assuming such price increases wouldn’t hurt sales, which they would.
The bottom line is: This “study” and The Huffington Post are both wrong.
Unfortunately, bad information spreads pretty fast these days. The false findings got picked up far and wide. I retweeted a Henry Blodget post at Business Insider before looking into its origins.
What's left of the middle class waves it's testicles at you.
"doubling pay ... menu prices would have to rise 24 percent"
excellent!! because it would definitely mean lower sales of that pathgenic and get some of these employees off public assistance from taxpayers.
Do It!
My biggest problem with that study is why would they factor in doubling the CEO's pay? Or anyone above store level for that matter?
McDonald’s tells workers to get food stamps
An audio recording released by labor activists Wednesday afternoon captures a staffer for McDonald’s’ “McResources Line” instructing a McDonald’s worker how to apply for public assistance.
The audio – excerpted in the campaign video below – records a conversation between Chicago worker Nancy Salgado, a ten-year employee currently making the Illinois state minimum wage of $8.25, and a counselor staffing the company’s “McResources” 1-800 number for McDonald’s workers. The McResources staffer offers her a number to “ask about things like food pantries” and tells her she “would most likely be eligible for SNAP benefits” which she explains are “food stamps.” After Salgado asks about “the doctor,” the staffer asks, “Did you try to get on Medicaid?” She notes it’s “health coverage for low income or no income adults and children.”
“It was really, really upsetting,” Salgado told Salon Wednesday, “knowing that McDonald’s knows that they don’t pay us enough, and we have to rely on this.” Noting that McDonald’s was “a billionaire company,” she asked, “how can they not afford to pay us?”
http://www.salon.com/2013/10/23/vide...t_food_stamps/
ing whiners.
What is wrong with todays citizens?
En lement mentality...
Grow up people. If it's your lot in life not to have a good job, then too bad. Maybe if you idiots would stop electing politicians that move our manufacturing jobs overseas, you would have a better job.
I demand rights to subsidies for my poor life decisions
Why the am I subsidizing mcdonalds again? Maybe it we cut corporate welfare they'd be forced to pay their workers a living wage or shut down.
If your job is taking orders at McD's, you shouldn't have a family. The notion that a corporation and/or the USFG should increase said person's income via salary or food stamps is laughable because society shouldn't subsidize people's poor decisions.
so.....mcdonalds wouldnt exist if not for poor decisions?
Oh no. I didn't want to live on a McDonalds paycheck when I was 16. That's why I mowed yards.
Everyone cannot have good jobs. It's the nature of reality. Some people will have ty jobs and make ty pay, because they made ty decisions, have ty genetics and/or ty upbringing.
I can live on McD's salary as easy as I could live on that slop they call food.
So yards wouldn't get mowed if not for illegals?
my area is full of white landscapers and pool guys.
BOOM.
what a stupid comparison. of course no family can live off mcdonals salary. It's common sense.
Mcdonals jobs are for young students, single people or people in between jobs or with multiple jobs. what a dumb article
Bingo.
If you're living off McD's salary, you probably shouldn't be thinking about having a family. If all you can provide is the 8.5/hr made working the drive through, don't have kids.
The McDonald's near me is staffed by HS kids, not people who made poor decisions.
Adults working the drive thru at McDonald's don't work from the same playbook however, they don't think "should I have a kid", they like dogs and when their bellies rise, they start thinking "welfare vacation".
to be fair in any other country other than USA, Mcdonalds is good quality and their workers can make good careers working there. The quality of the food is damn good too.
SO I say, ok go ahead and increase their wages, increase the product quality and of course, you will be forced to increase prices. But then the millions of 350 pound mamooths that visit Mcdonalds on a daily basis in the US would riot, pillage and murder
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