Your overall pandemic experience

[steve dave]

$20 an hour is great if you can piece together 40 hours a week and get benefits as well.  I wonder how many of these jobs are offering full-time employment and health care?  If they are offering that and still cannot fill the job in the midwest, what the heck is the working environment like?  Makes me question the employer.

This isn't about full-time career type jobs though.  This is just a response to the earlier discussion about service industry jobs being so hard to fill for some reason.  Largely (and especially in resort areas) these jobs are going to be temporary, seasonal jobs perfect as summer employment for high school kids or as a fill-in during off season months in winter resort towns.  People working these jobs aren't in it for full time employment and benefits per se.

$20 an hour for a summer job at a pizza joint is pretty dang good.  Two years ago they'd be lucky to get $10/hr for that same job.  If I'm a high schooler that wants to save up for a car or for college or something it would be great.  Not sure why employers are having so much trouble filling those positions.

well, I mean, they aren't offering $20 an hour for fast food jobs in general despite this anecdote would be the main reason

[yoga-like_abana]

much much more family time for me. last year around may or so me and some buddies started our own gym. it started out at my house in my shop and then grew to another buddies garage that has a dual split system in it. pretty tight knit group but I do miss some meeting new people at the gym I used to go to. also do feel like some friends that I used to occasionally hangout with I don't see too much of anymore. definitely cooking more, cooking so much that you don't even know what the hell to make anymore.

[catastrophe]

I believe it. But either way just seems like a broken economy.

wages are rising and productivity is increasing.  the market is working.  it's pretty textbook.

Yep

THEN WHY DID I SPEND 15 MINUTES IN A WENDY’S DRIVE THRU? (That was plastered with a “hiring all positions” sign)

[pissclams]

i’m conflicted because I don’t like it when people conflate a minimum wage and a livable wage, the two things are not the same and shouldn’t be.  but at the same time, mcdonald’s made $5b in net income last year and can afford to pay folks a few bucks more to flip some burgers.

[420seriouscat69]

Agreed! Restaurants have like a 17% success rate. Whatever pizza place that is that’s willing to pay $20 an hour to staff, better have a low overhead with this model moving forward or they’re doomed!

[steve dave]

Agreed! Restaurants have like a 17% success rate. Whatever pizza place that is that’s willing to pay $20 an hour to staff, better have a low overhead with this model moving forward or they’re doomed!

I’m not 100% certain you see the flaw in this model tbh

[420seriouscat69]

I’m definitely not a finance expert, but $20 an hour sounds pretty aggressive for a restaurant that’s trying to pay overhead, supplies, etc. and depending on customers to return the favor by showing up/ordering. I love the idea of paying minimum wage jobs more, but I think fast food / restaurants are a bad place for it. Just my  as a former Sonic/Wendys cook, waiter/bartender of many places.

[420seriouscat69]

Especially after the pandemic when a lot of these places had to shut down & are trying to make a comeback after taking a loan to stay alive. If they could barely keep their heads above water before covid, how can they do it now paying $20 an hour for a dough boy?

[MakeItRain]

Got super fat, changed jobs, moved twice

Other than not attending college or professional sporting events from March 3, 2020 to July 6, 2021 and still no theatre, no change to the day-to-day routines.

[steve dave]

what do you guys think a 20% increase in your burger flipper wages does to the price of your big mac (assuming all bullshit is out and it flows cleanly into the cost)? like, labor is such an inconsequential piece of whatever people pay for restaurant food it should be ignored. every eatery would be well served to pay $2, $3, $4, whatever more than everywhere else to get the best talent (would require them actually screening for and holding talent to that which isn't happening but we are doing an economic model here). other factors actually have or will make your big mac more expensive though. crap's expensive right now (not because your server/cook gets paid more).

[pissclams]

what do you guys think a 20% increase in your burger flipper wages does to the price of your big mac (assuming all bullshit is out and it flows cleanly into the cost)? like, labor is such an inconsequential piece of whatever people pay for restaurant food it should be ignored. every eatery would be well served to pay $2, $3, $4, whatever more than everywhere else to get the best talent (would require them actually screening for and holding talent to that which isn't happening but we are doing an economic model here). other factors actually have or will make your big mac more expensive though. crap's expensive right now (not because your server/cook gets paid more).

where do you get that from?  payroll is their highest expense

[IPA4Me]

Frankly, pretty insignificant when looking at fast food.

Minimum wage:

NYC - $11
Louisville: $7.25

Sent from my moto g power using Tapatalk

[pissclams]

labor costs account for around 25-30 percent of a fast food operation’s total operating cost. for each 10 percent rise in the minimum wage, food prices rise around four percent.  average mcdonald’s dude makes $9/hour.  to get him to $15/hr, an increase of 75 percent, food cost would increase by quite a bit, the average cost of a Big Mac could rise from $5.50 to $7.15.

[420seriouscat69]

If these lowly employees put stake in the game, I’d understand the increase, they don’t though. They need a starter job & Sonic needs Ppl to flip burgers & spit in their History teacher’s burger, who’s head coach of the cheerleading team & telling my first love I’m a danger! 

[chum1]

I wouldn't expect the pandemic to change the tendency of many to side with rich owners over low income workers. Deeply entrenched American values at work there.

[420seriouscat69]

I wouldn't expect the pandemic to change the tendency of many to side with rich owners over low income workers. Deeply entrenched American values at work there.

”The rich owners” are not profiting right now. Especially in the food industry.

[chum1]

I wouldn't expect the pandemic to change the tendency of many to side with rich owners over low income workers. Deeply entrenched American values at work there.

”The rich owners” are not profiting right now. Especially in the food industry.

They are (1) still rich and (2) glad to have you on their side.

[catastrophe]

labor costs account for around 25-30 percent of a fast food operation’s total operating cost. for each 10 percent rise in the minimum wage, food prices rise around four percent.  average mcdonald’s dude makes $9/hour.  to get him to $15/hr, an increase of 75 percent, food cost would increase by quite a bit, the average cost of a Big Mac could rise from $5.50 to $7.15.

But the question is are restaurants actually not willing to pay market prices for labor, or are the market participants simply not interested in the work?

[Spracne]

I wouldn't expect the pandemic to change the tendency of many to side with rich owners over low income workers. Deeply entrenched American values at work there.

”The rich owners” are not profiting right now. Especially in the food industry.

They are (1) still rich and (2) glad to have you on their side.

How many culture war fronts can we handle at once? I guess we'll find out.

[Stupid Fitz]

Here's the thing. Maybe, just maybe you shouldn't be able to go to McDonalds and get 12 burgers for $4.75.

[bucket]

[Spracne]

Here's the thing. Maybe, just maybe you shouldn't be able to go to McDonalds and get 12 burgers for $4.75.

McDonalds really isn't that cheap and hasn't been for awhile.

[michigancat]

I think Laura Ingraham and the Bar Rescue guy say it pretty well

https://twitter.com/justinbaragona/status/1426017141724270597

[steve dave]

what do you guys think a 20% increase in your burger flipper wages does to the price of your big mac (assuming all bullshit is out and it flows cleanly into the cost)? like, labor is such an inconsequential piece of whatever people pay for restaurant food it should be ignored. every eatery would be well served to pay $2, $3, $4, whatever more than everywhere else to get the best talent (would require them actually screening for and holding talent to that which isn't happening but we are doing an economic model here). other factors actually have or will make your big mac more expensive though. crap's expensive right now (not because your server/cook gets paid more).

where do you get that from?  payroll is their highest expense

mostly financial podcasts. here is one write up. chipotle is usually used as the example when it's discussed. will be interesting to see what their margins are coming out of this and what percent of that change was driven by the wage increase v. other inflationary factors.

https://www.barrons.com/articles/what-would-a-15-minimum-wage-mean-for-the-price-of-your-burrito-51615939295

https://www.cnbc.com/2021/06/08/chipotle-hikes-prices-to-cover-the-cost-of-raising-wages.html

[420seriouscat69]

See you guys in the pit soon!