
Originally Posted by
BanginJimmy
Thats great, how exactly does this have something to do with what I posted?
LOL.
You dont think McD's franchisees pay their 16y/o first time employees minimum wage? You dont think that those increased costs are going to be passed onto the consumer?
Their payroll taxes are going to jump 24%. You dont think thats significant?
Lets make 3 assumptions to make this simple.
1. This particular McD's stays open 24/7/364.
2. On average, they have 5 employees on the clock at any 1 time. (probably a low number)
3. They pay all of their employees minimum wage.
That comes out to 43,680 man hours a year.
That equals $316,680 a year in wages and another $19,635 in federal payroll taxes.
At a $9.00 an hour minimum wage that same 43680 man hours will cost $393,120 in wages and another $24,375 in taxes.
This comes out to an extra $81,180 in labor costs for a single restaurant. How does that NOT affect the restaurant?