Fast-food strikes set for cities nationwide

[Omaha Steve]

Source: AP-Excite

By CANDICE CHOI and KAREN MATTHEWS

NEW YORK (AP) - Fast-food customers in search of burgers and fries on Thursday might run into striking workers instead.

Organizers say thousands of fast-food workers are set to stage walkouts in dozens of cities around the country, part of a push to get chains such as McDonald's, Taco Bell and Wendy's to pay workers higher wages.

It's expected be the largest nationwide strike by fast-food workers, according to organizers. The biggest effort so far was over the summer when about 2,200 of the nation's millions of fast-food workers staged a one-day strike in seven cities.

Thursday's planned walkouts follow a series of strikes that began last November in New York City, then spread to cities including Chicago, Detroit and Seattle. Workers say they want $15 an hour, which would be about $31,000 a year for full-time employees. That's more than double the federal minimum wage, which many fast food workers make, of $7.25 an hour, or $15,000 a year.

FULL story at link.


Read more: http://apnews.excite.com/article/20130828/DA8F71802.html

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In this Tuesday, July 30, 2013 file photo, demonstrators fill the Hardees on Chestnut in Downtown St. Louis. On Thursday, Aug. 29, 2013, organizers say thousands of workers are set to stage walkouts in at least 50 cities around the country, part of a push to intensify the spotlight on the wages paid by chains such as McDonald’s, Taco Bell and Wendy’s. (AP Photo/Belleville News-Democrat, Derik Holtmann)

[DJ13]

1. many fast food workers make, of $7.25 an hour, or $15,000 a year.

......... if they can still get full time.

[jimlup]

2. I hope they have large numbers...

Solidarity!

[Vanje]

3. I stand firmly with the striking food servers.

They are my heroes.

[Cal Carpenter]

4. Workers, unite!

[SunSeeker]

5. Raising fast food workers' salary to a $15 min. will float all boats.

It would be an incredibly strong economic stimulus measure...not to mention humane and the right thing to do.

[delete_bush]

11. You are clueless about the financial operations of a small business

An increase of this magnitude would cause many fast food operations to close their doors, thus eliminating jobs. Then what?

[ForgoTheConsequence]

15. Rand Paul?

Is that you?

[delete_bush]

17. I deal in logic, not emotion.

Let's say a Subway franchise has sales of $900/day, or $324K/yr. Food costs + royalties are 40% of sales, or $129.6K. This leaves a gross profit of $194.4K. Add rent of $48K, Utilities, insurance, accounting, telephone, advertising, repairs etc. of $28K and wages of $60,000 and the net to the working owner is around $58K.

If the average wage is say $9.00/hr, then bumping it to $15/hr would increase the payroll by $40,000. This would leave the owner a net of $18,000. An owner who could very well work 60-70 hours/wk, is never sure if sales are going to increase or decrease, has a lease which may or may not be renewed, might have spent $150,000 just to buy the business etc. etc. etc.

Do you have an intelligent response, or is "Rand Paul" all ya got?

[ForgoTheConsequence]

18. When it comes to the minimum wage.

15 dollars is a starting point for negotiations. When you're negotiating you don't start where you want to end up because that leaves no room. A gradual increase over the next 5 or so years would be a better plan.

That being said I do think that more expensive fast food would benefit everyone in the long run, it's far too cheap as it is. Raise prices, a Big Mac should be closer to 6 or 7 dollars like it is in the Scandinavian countries. Fast food shouldn't be a lifestyle.

[former9thward]

38. A "progressive" wants to raise the cost of living for the working class.

Imagine that. I wonder what your avatar would say about that. You don't get to determine what "lifestyle" others choose to live by. Your Scandinavian example has no meaning. You are leaving out the fact that the cost of living is higher, average wages are higher and the currency exchange rate.

[ForgoTheConsequence]

39. I don't identify as a progressive.

I identify as a socialist. And yes I think alcohol, cigarettes, fast food, etc should be more expensive and taxed accordingly. I would love to see a 15 dollar minimum wage, which would mean more money in the hands of working people and hopefully it would lead to more whole nutritious food outlets building and setting up shop in poorer neighborhoods.

I think you're being completely ignorant to the amount of predatory practices that take place among certain types of businesses (fast food, pay day lending, pawn shops) in poorer neighborhoods. You're right, I don't get to determine the lifestyle people choose, however I do think we can influence and see better outcomes by changing policies. Sorry I'm not one of those Ayn Rand loving neo-liberal "progressives" that are the norm in the Democratic party these days.


By the way I wasn't leaving those other things out. Those other things are what I would hope to accomplish by raising the minimum wage. The 8 dollar burger would come along with rising wages.

[jtuck004]

19. Most of the locations I see aren't paying $4K a month in rent, but that aside, if they want to stay

in business, maybe the parent of Subway could take a little less off the top for perhaps not doing so much as the people who work there every day. IF the strike grows they are going to have to look at what it costs them, and they will be getting pressure from franchise owners who won't won't to pay all the freight on this.

On the other hand, perhaps the workers should band together and figure out a way to go into direct competition with them, then they own and manage the assets themselves. Find a niche, a way to market against them. The butcher down the road has an extremely loyal following, takes business away from Walmart every single day, even with long lines for the wait. I'm quite sure there are some local bread bakeries, the large ones, that would be happy to figure out something that would sell up against SW. There is capital out there for the right projects, and private funding is always looking for something to do. Could be someone from China interested, or the people who gave away the house in Detroit at the real estate conference in Singapore about a month or two ago.

I do wonder, if the workers are successful, if they have considered that the first thing the owner will do is start looking for better educated and motivated employees, which will be a lot easier to find at $15/hr. I guarantee the current workers would come right back in the door if a pay raise was announced, signed contract or not. So they could very well be going through this to benefit someone else, especially now that most federal protections that would keep them on the job are gone. There are a few with degrees, but of the places around here I see a LOT of them staffed with younger folks, many without degrees. Given the dearth of jobs, and that over half of graduates are not finding work now, could get very interesting...

[Kingofalldems]

21. The old logic vs emotion insult

I first heard that on the Rush Limbaugh show.

[delete_bush]

41. I don't listen that much to El Rushbo,

so I'll take yer word for it.

Now that a day or so has passed, I invite you to take a look at my posts vs. those who've responded and provide an honest assessment as to who has been logical vs. emotional.

[SunSeeker]

22. I'd be willing to pay an extra 50 cents for a Subway Sandwich, wouldn't you?

These costs would be passed on to the consumer if all establishments had to pay a higher wage. And that would result in a small in increase in the price of the food. One study suggested it would result in a 68 cent increase in the price of a Big Mac, although the study did not include franchise costs. Even so, if the price went up a dollar, it would still be worth it to have workers paid a livable wage. And we'd all be able to afford to buy more Big Macs or whatever. As I said, it would float all boats and be good for business. That is why Henry Ford paid his workers well---so they could buy his cars. It worked for him and it will work for fast food.

[Laelth]

28. Essential liberalism.

History has proven that it works. When the poor and working classes are thriving, we all get richer.

-Laelth

[delete_bush]

30. There are also ripple effects of an increase

First, let me apologize for being a little snarky earlier. As my out-of-date avatar suggests, I was posting here during the Bush admin, in fact more than 10 yrs. ago, but left after finding going after pubbies on neutral sights more ‘enjoyable’. Being in constant attack mode has no doubt carried over to here.

I would also say that if all foreign trade were eliminated, if we were the only nation on the planet for example, then it would follow that a doubling of everyone’s wages would result in the price of everything doubling as well, correct? Nothing would be accomplished, no boats would rise.

IF the least skilled person at Subway suddenly has their wages doubled, from $15K to $30K per year, I have no doubt the assistant manager who is pulling down say $30K is going to want a raise as well, if not double then maybe $40K? What about their suppliers? The workers at ‘Knife, Fork, Spoon and Napkin Company’ will no doubt get an increase as well as the window washer, the bun makers etc. etc. etc. At what point does the franchisee throw in the towel and hang an “Out of Business” sign on the door. That couple right out of high school who were pulling down $60K/yr. will be on unemployment, and I would imagine at twice the amount as they would have prior to the increase.

[vinny9698]

33. When the minimum wage has been increased, never happens

That's just the right wing scare tactics. The RW also claim of the lay offs if minimum wage would go up. How many people get fired after their is an increase in the minimum wage, very few.
By your logic doing away with minimum wage would make employees flourish, more people would be hired.
Ford himself, the father of assembly line, raise his workers wages and become more productive and sold more cars.

[delete_bush]

34. Henry Ford was of another era

Henry Ford proclaimed the increase was "one of the finest cost-cutting moves we ever made."

In 1912 alone the labor turnover at the Ford Motor Company had been so high that 60,000 men had to be hired to retain 10,000 workers. Absenteeism was excessive. Assembly lines were monotonous and many employees left for better alternatives. Hiring replacement workers was expensive. This one move put an end to the constant retraining of workers - morale increased and workers were more productive. Skilled workers from other plants were attracted to Ford as well.

I don’t believe comparing early 20th century factory work to that of the fast food industry one hundred years later is valid. The underlying dynamics are completely different.

[SunSeeker]

35. Doubling the minimum wage will not double costs.

Wages are only a small percentage of the cost of production; getting smaller by the minute thanks to increased productivity. And instead of paying workers more in light of their greater productivity, the CEOs hoovered up all that money for themselves, creating the incredible income disparity we have now.

This is really about how the income pie is cut at a business. The last few decades have seen the CEOs and owners' share skyrocket while workers' salaries stagnate or decrease in real dollars. That is not good for business in a consumer driven economy. Republicans always throw out the scary "this will kill jobs" prediction. But jobs have already been drying up due to lack of demand. Workers simply don't have as much money as they used to, so they're spending less. And that is bad for business.

[Dreamer Tatum]

24. People assume all fast food franchises are wildly profitable and corporate owned

when neither is the case, overwhelmingly. The net effect of increasing minimum wages
for fast food workers would be devastating to the workers, inconvenient to consumers,
and mildly inconvenient for large franchise owners.

But logic doesn't work on most people, so that's that.

[vinny9698]

31. Explain Costco business model.

It pays their workers a living wage is very competitive with the super cheap and super employee cheater Wal Mart.

[Dreamer Tatum]

37. What's a burger cost? Now tell me what the average ticket is at Costco.

How many people are in a Costco at any one time?

How much do people pay for the right to shop at Costco whether they shop there or not?


Thanks for playing.

[hack89]

40. You don't pay an annual membership fee of $55 to shop at Wal Mart

what do you think wages at Costco would be without that fee?

[LanternWaste]

36. Nor does an unsupported premise.

"But logic doesn't work on most people..."

Nor does an unsupported premise.

However, I can easily understand the convenience of leaving that little bit out...

Good luck!

[CreekDog]

25. The minimum wage increase is not an emotional issue

stop calling the side you disagree with "emotional" and illogical simply on the basis of your emotional response to someone having the temerity to disagree with you.

[SunSeeker]

20. Other than insulting me, you offer no evidence/links.

Do you know what the present day value of the 1960s minimum wage is? Did that kill businesses?

[vinny9698]

29. How much would a McDonald's Dollar Menu go up? $1.17 to pay for $15 minimum wage

http://www.forbes.com/sites/clareoconnor/2013/07/30/how-much-would-a-big-mac-cost-if-mcdonalds-workers-were-paid-15-per-hour/
The Forbes article says that prices would not go up, because competitors would force prices to stay the same.
But if it became federal law, all would have to raise their prices.
Plus I believe people would actually support a business that pays a fair wage.
Buckees a convenience store here in Texas pays their employees $12 and hour. It advertises that fact by little posters next to the cash registers. I prefer to shop at Buckees plus employees always seem happier than Wal Mart employees.
The only thing I would change is putting bar room stools at the cash registers. Just like in Europe. Standing for 5 to 6 hours per day is not necessary for a cashier but is awful on your feet, knees, and back.

[gopiscrap]

6. Excellent I wish we could organize

a massive national strike!

[PETRUS]

7. K&R

[tblue]

8. Solidarity!

I don't eat much fast food, but I sure won't tomorrow!

[onestepforward]

9. K&R!

[Wolf Frankula]

10. I seldom Eat Fast Food

And I DO NOT Cross picket lines.

I will honor your picket lines.

Wolf

[blkmusclmachine]

12. +1.

[Skeeter Barnes]

13. Workers taking direct action is the only hope we have left.

If you wait for a bunch of crooked politicians to pass a law giving you a raise that will lift you out of poverty, you will wait for the rest of your life!

They know their hard work is worth more and I'm glad to see them doing something about it!

[Brigid]

14. Solidarity!

[DebJ]

16. If we had any strikers in our little town, I'd go out and support them.

Maybe bring them some REAL food!

[Kingofalldems]

23. Repubs up in arms over this

Kick to the top.

[Jesus Malverde]

26. Local McDonald’s Forced To Close Amid Protest For Higher Wages

A local McDonald’s restaurant was forced to close after its employees walked out and hundreds gathered outside to protest for higher wages.

The restaurant on 8 Mile and Lahser roads along the Detroit/Southfield city line was just one location locally where fast food workers are participating in a nationwide “walkout for better wages.”

Over 200 protestors crowded the restaurant, carrying signs that read “We are worth more. Strike for 15,” as in $15 an hour.

http://detroit.cbslocal.com/2013/08/29/local-mcdonalds-forced-to-close-amid-protest-over-higher-wages/

[Laelth]

27. k&r for labor. n/t

-Laelth

[totodeinhere]

32. $15 is not unreasonable. In fact in a lot of places even that is not a decent living wage. n/t