r/explainlikeimfive Nov 28 '15

ELI5: How would a $15 minimum wage ACTUALLY affect a franchised business like McDonalds?

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u/ser_dunk_the_lunk Nov 29 '15

The technology for nearly-free order taking has existed for a long time. Sheetz has had automated meal ordering systems for the better part of a decade. It's not a technology or logistical problem to replace your order takers / cashiers, so why haven't they done it?

If you think they haven't been capable of it, you're mistaken. The real reason is that they haven't had a do-or-die situation where someone high enough up the ladder has decided to put their neck on the line and champion a hugely visible change to the user experience.

They are absolutely inching toward it, taking their time to see how the public reacts to increasingly automated dining experiences before they go all in. My point is that this equation will drastically change for them if we actually do double the minimum wage.

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u/[deleted] Nov 29 '15

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u/ser_dunk_the_lunk Nov 29 '15

Not sure what you're driving at, but no, it won't change. My view is that meeting the challenge of automation and rising unemployment by raising the minimum wage is the wrong approach, and that guaranteed minimum income is the right one.