There was a piece of news today that talked about how in California fast food workers will be making a minimum of $20 per hours. It seems to affect fast food businesses with at least 60 locations nationwide such a McDonalds restaurant. While I am sure workers would love that, I can’t help to think how that extra money has to come somewhere and usually businesses will look to cut cost by having less workers or raising prices.
As well, another point was brought up how if fast food workers can now get $20 an hour minimum then every other worker in other industries such as retail work will demand the same. In that regards, will jobs traditionally meant for younger people as their first jobs potentially pay more than ones that require say a high school education? I guess you can see where that will go.
I wouldn’t be surprised if that encourages large fast-food changes to develop more automated solutions and robot workers. I always wonder what a CEO of these large companies are thinking after decisions like these since this isn’t a wage that that affects every field as it is targeting them specifically where it can in many ways be like having to answer to an outsider who has no stake in the business itself.