From what I remember from doing that math it costs something like 34¢ extra for a Big Mac to double labor costs from $15/hr to $30/hr.
Increases in price are not due to increased costs they’re due to being able to get away with it. Forcing poor people to continue being poor and still letting prices raise is fucking dumb. Poor people getting more money is very good for the economy as they don’t have enough money to not have to spend it all, so giving them more means more being spent.
95% of McDonald’s are franchised. Virtually all of the people you will ever see at a McDonald’s really work for “John Doe’s Eastern McDonald’s Franchises #2 LLC” and are therefore not counted.
… 13 employees working at all times they are open? lol. Shit they likely average 6. One being a shift who already makes above minimum wage (though to be honest its probably not even 20 or 30/hr). Also, customers does not equal meals. Very hard to get a good read on that when you’re overestimating minimum wage hours worked and underestimating amount of products sold.
McDonald’s pays a minimum wage above $20/hr US in a ton of countries in Europe and still has the same menu and near identical prices. What does that tell you?
Oh goodie, another reason for McDonalds to get rid of the value menu.
You want to hold people’s wages down so you can save 5 cents on your nuggets and fries? You know that makes you the bad guy, right?
From what I remember from doing that math it costs something like 34¢ extra for a Big Mac to double labor costs from $15/hr to $30/hr.
Increases in price are not due to increased costs they’re due to being able to get away with it. Forcing poor people to continue being poor and still letting prices raise is fucking dumb. Poor people getting more money is very good for the economy as they don’t have enough money to not have to spend it all, so giving them more means more being spent.
McDonald’s has ~69,000,000 customers per day.
There are ~40,000 McDonald’s locations.
Assuming a McDonald’s averages about 13 employees working at any time and it’s open for 18 hours a day…
They would have to raise meal prices about $2 on average to double wages, ignoring any drop in sales that might cause. (Generally, if a restaurant thought it could make more money by just raising prices, it would have done so a long time ago.)
McDonald’s has around 200k employees. In your analysis, you assume they have 520k. And that’s assuming they all work in the branches, which is silly.
Buy based just on your numbers, adjusting for actual employees, the increase would be less than a dollar.
95% of McDonald’s are franchised. Virtually all of the people you will ever see at a McDonald’s really work for “John Doe’s Eastern McDonald’s Franchises #2 LLC” and are therefore not counted.
More than 1.7 million people work at McDonald’s.
That’s a really good point. Hadn’t thought of that at all.
13 employees per day? What the hell well maintained, well staffed McDonald’s are you going to? Most of them run on skeleton crews of less than 7 now.
Lol 7? Like at one time? Try 4
I was being incredibly generous
I’ll have to check when I get home what wolfram alpha did but it is not showing on the link currently just says error.
If you are just taking money in to money out you are thinking labor is 100% of the cost of everything, which like, lol no.
I did: ($15 × 13 × 18) ÷ (69000000 ÷ 40000) = $2.03
… 13 employees working at all times they are open? lol. Shit they likely average 6. One being a shift who already makes above minimum wage (though to be honest its probably not even 20 or 30/hr). Also, customers does not equal meals. Very hard to get a good read on that when you’re overestimating minimum wage hours worked and underestimating amount of products sold.
All across Europe McDs workers make 20-25/hr and their food costs LESS than ours.
Google the Big Mac index and see for yourself.
McDonald’s pays a minimum wage above $20/hr US in a ton of countries in Europe and still has the same menu and near identical prices. What does that tell you?
My treats!
Do you mean the
dollar menu2 for $4 menu?Oh goodie, another reason for McDonalds to get rid of the
value menuworkers.