People are still under the illusion that businesses would eat the cost without layoffs or rising prices.
The C-level staff are just going to use this to justify bonuses in the face of poor quality and faltering sales. They never pass up a scape goat. Bastards.
We repurchased 10 million shares totaling $1.2 billion at an average price per share of $119.
They are just greedy. They have the money, but giving the money to the rich is evidently more important.
Anyone remember reading that pizza had the highest profit margins in the restaurant industry?
And the price has? Tripled? Quadrupled?
And the ingredients are worse? And you get less?
I wouldn’t consider buying pizza without 3 or more coupons going to the same transaction.
It’s literally: cheese, bread, tomato sauce, and cheap processed meats.
I stopped eating at Domino’s when they changed their 3-topping $8 large takeout deal to 1-topping.
The amount of greed coming from these companies is insane, and it only exists because there are people willing to pay for it.
Huh, so it was a global thing then, here Pizza Hut became more expensive than every local pizzaria, and Domino’s is even worse, it’s like they compete on who can raise the prices more before closing.
A few months ago I was suddenly craving a pan pizza… out of nowhere. In the 80’s, Pizza Hut pan pizza was the shit. I was pining for the nostalgia, I suppose.
The pizza was got was awful. Truly horrible. Pizza Hut is dead to me.
The new law, a modified version of the FAST Act proposing a minimum wage increase for fast-food workers to $22 an hour this year, has faced resistance from major chains such as McDonald’s, Chipotle and Chick-fil-A. These chains said they plan to raise menu prices to offset higher operating costs.
Can’t trim executive pay or profits. Must cut out services. All hail the mighty dollar.
Same reason my bank branch has tons of empty stations and only two tellers and a long line. Same reason they’re closing the drive-through lanes where my mom banks in the midwest. Convenience for customers is now the enemy getting in the way of higher profits.
I recently introduced my partner to The Sopranos. It opens with Tony Soprano commenting that he feels like he got into the scene (the mob) at the end of its heyday. I feel that way about capitalism.
Didn’t Pizza Hut use to be a high quality sit-down restaurant that didn’t even do delivery and had a big salad bar? At least, that’s how I remembered it, because I don’t think I’ve thought about Pizza Hut in years.
Also, it is worth noting that these are companies that franchises Pizza Hut, not Pizza Hut owner Yum Brands. This is more of a case of companies being horrible in general instead of a large company being horrible.
The 20 dollar minimum wage is however well deserved, and probably should be higher considering the cost of living here in California.
This is an outrage.
They will continue to not get my business. But now it’s on moral grounds and not just because they have the shittiest pizza I’ve ever had the displeasure of eating.
makes sense. I’ve noticed since covid a lot of places use Doordash drivers instead of delivery drivers now. It’s cheaper and the extra cost goes to the customer
Especially the part where if its their driver and something goes wrong? They have to do something about it.
If it’s a third party? “You’ll have to take it up with them, and they will tell you to take it up with us, no you’re not getting a refund.”
Yep. I avoid anything that uses it. We basically have one restaurant that we occasionally use. DoorDash has ruined the delivery industry.
yay cold food
Cold food, yes, but you get to pay more for it.
Near me it basically was a convenient way for greed to run rampant.
Before the pandemic, delivery meant “your order + delivery fee + tip for driver”.
The last time I attempted to order delivery it was my order ($30 minimum) + delivery fee + packaging fee (charging for the disposable containers and forks and stuff) + third party delivery service fee + tip for driver + tip for restaurant staff + delivery service peak time upcharge.
I only wanted a $20 entree, but by the time I added a few apps to get to the delivery minimum and added all the fees up with the tips, it was getting to be over $65 for one meal.
So I cancelled and cooked my own damn dinner.
Take out
I’ve done this many times. I gave up on deliveries.
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Is no one else going to blame an overly specific minimum wage? I couldn’t find anything too specific but in California, it looks like:
- fast food minimum wage: $20/hr, going to $22
- gig drivers: $15/hr
Of course they’re going to outsource drivers, This looks like a nice Christmas gift to UberEats/DoirDash
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They should create incentive by taxing the shit out of businesses and offering tax breaks for actually offering living wages and benefits to their employees. If the “correct” answer in capitalism is to find the cheapest solution,
I think this is a novel idea and an interesting thought experiment.
If we passed this federally, I think it’s most likely we see an outsourcing - to ourselves. With the market floor raised so high across the board, distortionary effects would then kick in and what I posit we’d see is a shitload of both business and consumer flight to rural areas.
Prices for rent, obviously, would go through the fuckin roof. This would cause a mass exodus to surrounding areas, but I think business investment would actually beat them, because if you’re paying 60k/year anyway, you may as well put your facility in the cheapest possible location.
Businesses are already shifting toward being physically close to their suppliers/major logistics hubs, to save cost elsewhere, so big “shipping towns” (which are, essentially, a few big wholesale distributors and nothing else) could see massive investment.
What’s weird for me is that this may actually help our housing situation in the medium term, as explosive growth in these areas even out demand hotspots.
Idk about high raises in labor market floors to predict much beyond that, but it’s something I’ll definitely check out.
These aren’t completely pie-in-the-sky proposals, either. Simply tying maximum compensation for publicly owned companies would start this kind of a chain rolling, in a smaller way, I think. Labor prices would jump ludicrously just from the amount of low-skill labor employed by major companies.
Inflation would be bonkers and you can’t raise interest rates too fast or you basically nuke your economy, so how this plays out for the average joe is anyone’s guess. Fun to think about tho
This is what’s so annoying. I had literal arguments with both people online and IRL about this massive jump in minimum wage and how it would have this exact effect. I was told over and over that it didn’t work like that, that people needed a livable wage, etc. My argument was that not all work has equal value and that minimum wage jobs aren’t intended as jobs you raise a family on. They’re a stepping stone as you enter the workforce and begin to develop/gain skills to be able to do work which has more value. With the insane increase in fast food minimum wage only one of two things will happen. Option one is that the price of the food shoots up and can no longer be competitive. Why would you pay $30 for fast food when you can go to an actual restaurant and get better quality for the same price? This leads many of these fast food joints to close and with it the jobs. Option two is that companies find ways to cut services and/or automate to offset the increased cost. The end result here is that once again the jobs go away.
I would love to have a proponent of this explain to me how no jobs is preferable to lower paying jobs. As a highschool kid, I was grateful to have my minimum wage job.
I can’t for the life of me think that this will be good for them though. Food delivery services are notoriously shitty/slow. If I order a pizza and have to wait for an intendent person to come pick it up and deliver it when ever is convenient for them? Thats not gonna work for me… and I would be loud and boisterous to the company.
In an alternate timeline where restaurants never thought to offer delivery (or regulated against it…since objectively it is kind of strange how we do it now), but did offer takeout, I’d expect private food courier services would have thrived. Especially in denser areas.
Even in an era before DoorDash and internet, it’d be a call-center/concierge style.
But also gig drivers aren’t getting the minimum. Uber and Lyft promise you’ll make the minimum through the ride fares if you work a whole hour. But that doesn’t happen. Many people don’t notice because the pay is distributed across the rides but some have actually done the math with their daily totals. They also just lost a court case about paying mileage, so they not have to reimburse mileage they weren’t doing before.
With a business climate like that it’s no wonder everyone else is jettisoning delivery drivers. The rideshare companies are getting away with murder by comparison.
that will surely help their business
Damn for a company that’s been shutting down locations I’d think it be cheaper to pay their employees better than lose all those customers. My state alone has seen them shut down nearly every location.
@return2ozma Pizza Hut: Instead of worms in burgers (at 6x the price of ground beef), they must have worms in management’s brains.
New name for them: Pissa Hut-the outhouse of a restaurant
