>>>As the Ethan Allen Institute and others have made clear, rather than a soft punch to the gut, imposing a $15 state-mandated minimum wage is more like a full body blow to small businesses and rural communities. It is also a policy that will lead to economic hardship for young families and senior citizens.<<<<<SPOT ON !!!!!!!!!!!!!!!!!!!!
This seems to be a fore gone conclusion that National Min. Wage will be raised to a least $10 per. hour. As this article states, the rasie will not help the poor. It will continue to add to the cost for the poor. For example: I will pay my folks more, then I will charge more for a Big Mac, the Uber driver will rasie their price and then Rents will go up. In the South we need to start to rasie Prices now, this will help us keep up with the rapid progression. I am looking for a Gross margin of 71.5%. This is made up from Food 25.2% and Paper 3.3% minus 100%. This is the only way we can offset the higher labor cost.Fighting against this increase seems like we are fighting a unwinable battle.
States raise their minimum wage > business owners raise their prices > the U.S. economy shows signs of inflation > Federal Reserve panics and raises interest rates > U.S. economy stalls> Nervous voters elect big-government liberals who will "fix" the problem > liberals raise taxes > U.S. goes into recession.https://www.nytimes.com/2019/04/05/business/economy/trump-fed-interest-rates.html.
This doesn't help pay minimum wage: A group of McDonald’s customers managed to hack their way to a free lunch.Three friends in Australia discovered the trick, which can only be performed on a self-service machine, and shared it with Reddit on Sunday.In a video uploaded by the group, one of the members is seen selecting a dollar hamburger on the chain’s self-service touchscreen. After selecting the hamburger, he proceeds to add 10 to his bag.After the 10 burgers have been selected, he removes the hamburger patty from each sandwich, which discounts $1.10 from the order. As the hamburgers themselves only cost $1, this leaves a $1 credit to the order.The person filming then selects a $1 hamburger with the patty and adds that to his cart, leaving him with one free burger.At the end of the stunt, the group picks up their bag and show off their free hamburger with a patty, as well as the 10 patty-less buns, served with ketchup and pickles.
It is unwinnable. The increases will be spent for price increases across the board. Our growing socialist government will increase entitlements, raise wages, raise taxes on the working middle class and pretty soon there will no reason to look for a job. Finland the happiest country in the world and totally socialist just had its government resign!!!4/08/2019
To the anonymous poster who said they will need a gross margin of 71.5% I can tell you I am in market where our average hourly wage is around $14.25 even at that number you need a gross margin of about 77% as your total labor will be close to 30% at even a higher than national average unit volume restaurants. It is very difficult to get that total labor lower than 28% within the McDonald's operating system.
Look on the bright side. All of this government imposed labor cost will kill every small restaurant chain. It's one way to grow market share because only the big operators will be able to comply with these ridiculously complex rules.Ironic in that the progressives want to kill us and close every QSR chain, but instead that will hand us the businesses of the small farm to table and vegan and organic places that they pretend to love.
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