Because wage and price controls ALWAYS lead to prosperity.
/sarcasm
PREDICTION - Predicting the future is for fools but I will play the fool for you.
Prediction 1 - The number of customers for fast food items will decrease.
Prediction 2 - Automation will look like a good alternative.
Prediction 3 - The number of fast food outlets will decrease.
Prediction 4 - One more rung on the ladder of success for young people will be removed.
Prediction 5 - Unemployment will increase
The real minimum wage is zero!
If the employee does not create more in value then what they are paid they will be let go.
NYS now has any changes made to the state’s minimum wage done by an unelected committee.
Commiefornia is moving full speed ahead.
I used to travel a lot to California for military-related meetings until COVID restricted travel. Things are picking up again. I used to spend extra time sight-seeing in California with any spare time I might have. NO MORE. I will flt in...do the meetings and fly out. I will not spend a dime off the installations if I can help it. Wage control by the government is communism...I won’t support that.
ECON 101:
Background:
Restaurants should aim to keep labor costs at about 30% of sales, as a general rule of thumb. Some restaurants, however, are able to achieve a lower number, while others must achieve a higher one. Labor costs are typically lower in casual establishments such as counter-service cafes and fast-food restaurants.
If labor goes from say $15/hr to $22/hr then labor costs increases 50% and the OVERALL costs goes up 15%. A burger goes from retailing for $7.00 to $8.00 each.
Get it?
RE: Set government wages for fast food restaurants...
Communism from the ground floor up. And the non-skilled workers will embrace the concept enthusiastically.
The next step after setting wages, is setting prices.
The process is known as wage and price controls.
After it spreads beyond the fast food industry, California is doomed
“The bill, known as the Fast Act...would set hourly wages of up to $22 for fast food workers starting next year...”
Fast food establishments in my town have signs offering ‘up to $22.00 per hour right now.
Arby’s is only ope from 11:30 AM to 5:00 PM — similar hours for Burger King.
Had Double Whopper with cheese and a medium fry last week (had my own water) it was $12.75.
ALL shifts at Target and Walmart begin at $19.00 per hour with overnight stockers earning $22.00 per hour.
Why mandate?
They JUST got the last part of the $15.00 an hour last January, NOW as we all knew it would not be enough NOW they are screaming for $22.00 GEEZE!! Fast food industries will just leave CA. the rents are outrageous, taxes on businesses are outrageous I think it will be cheaper to walk away from the leases they may have!!
$22 for fast food workers
Going to be a lot of buildings for sale or rent cheap.
This will work out so well...
Idiots.
Business owners should simply burn their properties to the ground and tell the government to build their own solutions. This has to be stopped and the only way is to force citizens to make a choice between freedom or the State.