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All too true. McDonald's CEO makes $21 million apparently -- but what is he doing that makes him that valuable to the company? But I'm kinda neutral on this still.
I was poking around and the figure is approximately 440,000 McDonald's employees in the USA. It's pretty safe to assume that the vast vast majority of those employees are working at the actual McDonald's restaurants.Some are full-time, some are part time. So a good approach would be to assume they average 30 hours a week.
So
440,000 employees
X $5.00 per hour pay increase
_______________________
= $2,200,000 per hour
$2,200,000
X 30 hours per week
_______________________
= $66,000,000 per week
$66,000,000
X 52 weeks in a year
_______________________
= $3,432,000,000 per year
So the question is, would you be able to squeeze the $3.4 billion needed from executive pay? Just taking it out of the CEO's $21 million per year annual salary doesn't come anywhere close obviously. But how many millions/billions would you get just by cutting all executive pay significantly? I have absolutely no idea because I have absolutely no idea how many $500K+ execs McDonald's has in the USA -- but I'm kinda doubting you're going to find $3.4 billion there. From there, you're looking at increasing prices as your only other option.
Also I would add, not everyone would get a $5/hr raise. My guess is we would see minimum wage go up to at most $10/hr and we have about 19 states that have set their minimum wage higher than federal minimum, therefore they would receive less money extra than someone in a federal minimum wage state. The guess on hours an employee works is fair enough without knowing the actual numbers. Also, I wouldn't imagine those making over minimum wage would see the equal amount of increase as other minimum wage employees.
My guess is you would see a dip in their yearly profits and a slight increase in their products to counterbalance the extra amount, but at the same time McDonalds can only increase their prices so much because they don't want to overprice themselves from their competition....though for me their competition is called better, healthier food.
Personally I would love to see most fast food restaurants go the way of the dinosaur and be replaced by fast food companies like Chipotle, which pays their employees more by reducing menu items and focusing on simple, good food and not wasting time and money on advertising promotional food items. Also with Chipotle, their business model tends to go into existing buildings rather than need stand alone buildings. http://www.glassdoor.com/Hourly-Pay/...Pay-E15228.htm
I don't recall anyone saying that minimum wage hikes were the only cause of inflation.
But to deny that it plays a part in inflation at all, as so many on the left love to do, is being intellectually dishonest......or just plain stupid.
Well then you haven't been involved in the same conversations I have been in.
Also, no one is arguing that minimum wage doesn't play a part in inflation, but what is being said is that inflation happens regardless of minimum wage. Last year inflation went up 1.5%, how much did the federal minimum wage go up? The answer is none, except for the states that pay above the federal minimum. For those states that didn't see an increase just saw a 1.5% decrease in the value of those minimum wage jobs.
Okay and nobody answered me still. Are you guys not able to answer such simple questions? I am not talking about McDonald's or asking what states are paying what. This is the problem with you guys, you can't answer anything directly.
I believe the answer was, "Cut upper management's pay in order to afford a wage increase for the lowest paid workers." Do I think it's a good solution? Eh ... maybe. Corporate American has fallen in love with the concept that paying their highest level VP's, excecs and CEO's makes good business sense.
Truth of the matter is, the work done by the CEO of McDonald's or any other mega-company really ain't worth tens of millions of dollars. Same story as the kid flippin hamburgers not being worth $10 per hour -- overpaid execs aren't worth what they're being paid. It's just a fad that's gotten insanely out of hand. But if you lower all executive pay by 50%, I still don't think you can afford to pay $15 per hour minimum. I think you have too many workers and it wouldn't move the needle nearly as far as people assume that it would.
no, the question hasnt been answered. What he did was pull some asinine comment out of his butt about cutting upper managments pay, and yes, its an asinine comment because most businesses in america dont pay their upper managment millions of dollars. They struggle day to day to make ends meet..
Its beyond pathetic that some people in america can just answer "take from A to give to B" and its accepted as an answer
Well then you haven't been involved in the same conversations I have been in.
Also, no one is arguing that minimum wage doesn't play a part in inflation, but what is being said is that inflation happens regardless of minimum wage. Last year inflation went up 1.5%, how much did the federal minimum wage go up? The answer is none, except for the states that pay above the federal minimum. For those states that didn't see an increase just saw a 1.5% decrease in the value of those minimum wage jobs.
Everyone has read the ridiculous argument you have been making, which is raising the minimum wage isnt a cause of inflation. I even quoted you as saying it earlier in this thread.
no, the question hasnt been answered. What he did was pull some asinine comment out of his butt about cutting upper managments pay, and yes, its an asinine comment because most businesses in america dont pay their upper managment millions of dollars. They struggle day to day to make ends meet..
Its beyond pathetic that some people in america can just answer "take from A to give to B" and its accepted as an answer
Because they see every business like Walmart and the Walton family.
Yup, that local landscape company is hoarding millions and the owner is part of the 1%.
Okay and nobody answered me still. Are you guys not able to answer such simple questions? I am not talking about McDonald's or asking what states are paying what. This is the problem with you guys, you can't answer anything directly.
Thats because they have no real answer.. All they think needs to be done is take that $5 billion dollar a year salary every single mom and pop business owner makes and just give it to the employees. These people fail to grasp a dam thing real in life.
Well then you haven't been involved in the same conversations I have been in.
Also, no one is arguing that minimum wage doesn't play a part in inflation, but what is being said is that inflation happens regardless of minimum wage. Last year inflation went up 1.5%, how much did the federal minimum wage go up? The answer is none, except for the states that pay above the federal minimum. For those states that didn't see an increase just saw a 1.5% decrease in the value of those minimum wage jobs.
McDonalds made $5.4B last year, so lets just give $3B+ of it away, and it wont have any effect upon the economy.
There goes that stock market urban keeps touting as an example of Obamas success..
Quote:
Originally Posted by urbanlife78
Also I would add, not everyone would get a $5/hr raise. My guess is we would see minimum wage go up to at most $10/hr and we have about 19 states that have set their minimum wage higher than federal minimum, therefore they would receive less money extra than someone in a federal minimum wage state. The guess on hours an employee works is fair enough without knowing the actual numbers. Also, I wouldn't imagine those making over minimum wage would see the equal amount of increase as other minimum wage employees.
My guess is you would see a dip in their yearly profits and a slight increase in their products to counterbalance the extra amount, but at the same time McDonalds can only increase their prices so much because they don't want to overprice themselves from their competition....though for me their competition is called better, healthier food.
And there we have it, undeniable proof by urbanlife..
He guesses.. What a way to backup an argument, which is to just guess...
Quote:
Originally Posted by urbanlife78
Personally I would love to see most fast food restaurants go the way of the dinosaur and be replaced by fast food companies like Chipotle, which pays their employees more by reducing menu items and focusing on simple, good food and not wasting time and money on advertising promotional food items. Also with Chipotle, their business model tends to go into existing buildings rather than need stand alone buildings. http://www.glassdoor.com/Hourly-Pay/Chipotle-Hourly-Pay-E15228.htm
And once again, a liberal telling us what we not only need to eat, but what you can serve and sell, and even how to spend your own money.
urban, I've walked into a Chipolte restaurant and walked out. Too expensive.. You were saying what about inflation? Your own example proves you wrong.
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