Defenders of minimum wage hikes usually claim that businesses will either effortlessly pass on the increased costs or accept a lower profit margin. There’s another way to get around such mandates, however: eliminate positions entirely.
Pizza Hut is laying off more than 1,200 delivery drivers in California.
The layoffs, which will take place through the end of February, come as California’s minimum wage is about to go up by $4. Fast-food workers in the state are set to get a pay bump of close to 30% in April as the minimum wages rises from $16 to $20 an hour.
like tellers at the stores and order machines at McDs
$16 to $20 is a 25% increase, not ‘close to 30%’. Journalists can’t do math.
No pizza for you!
Awesome! More homeless indigents on the streets of CA. OK Lefty NGO’s … start handing out more tents.
Ken Gee
I’ll send you some snow shovels, so you have something to shovel schiff with!
Kenji is right. This is how libs ruin everything.
GYM … power washers please!
As everyone on this blog knows, the true minimum wage is $0. IIRC Thomas Sowell coined that phrase.
Correction: the true minimum wage is your EBT card getting replenished each month
Yes, and the correct way to deal with a boss who won’t give you a couple of unpaid sick days a year without firing you is to shoot him dead.
l just bought his latest book Social Justice Fallacies.
1100 pages. just kidding !!!
This will tie-in nicely with the basic minimum income and modern monetary theory. Now if we could only solve the pizza delivery dilemma. Maybe drones from Iran.
20 American dollars is 26 Canadian dollars.. Minimum wage.. So, you can’t fire them because of labor laws and you can’t hire them because they are too expensive.. Why would you run a business under these conditions?..
A local business in my town is now charging $1.00 extra for the take out containers. And it is not uncommon in surrounding cities to charge an automatic 15% extra on every bill for “healthcare” for their workers. Yes, eventually there will be no more customers. No more jobs. You will own nothing, do nothing (except your “art”) … and be happy and grateful for your government overlords and oligarchs.
“accept a lower profit margin”
Even corporate restaurants have a profit margin of 3% at the best of times…
and a $4 increase in wages costs more than $4 to the business
Exactly, just replace them with self service kiosks. The plebs are so stupid that they continue to patronise such businesses. It’s hard to feel sympathy for them. They’re taking our jobs, but we’ll keep buying their crap.
There’s gold in them thar Bills.
Just what porn movies need…more math.
It’s funny when they call ‘checkmate’ when you still have plenty of options.
l have some formal education in economics and decades in the workforce experience.
l have concluded there are activities, functions, so minimal, repetitious, lacking in mental or physical challenge they simply are not worth in the grand scheme, much more than currently mebbe 10 bucks a pop.
so gubbamint applies one-size-fits-all min wage, and that function in the organization does NOT provide anything akin to return on investment and such must be ‘carried’ by those that do.
in the time l came to observe and conclude this, not a single proposal, acknowledgement etc by the experts that this is the case. has to do with feelings l suppose. so much for ‘paying your dues’.
http://redpanels.com/?n=Minimum+Wave/
The “Experts” aren’t