Chick-fil-A Mocks the Lefty Myth About Wage Stagnation | RealClearMarkets The first businessman to steal all of the minimum wage + $2-$5 and provide those workers with good opportunities will win in the world of idiotically high minimum wage. He (Chic-fil-A) will win because he will doom the other businesses to hiring mostly inefficient, low skilled workers who are worth less than the new high minimum wage but who must be paid the new high minimum wage premium. Chic-fil-A will pay workers more but get workers who are worth what it is paying them. More below. "'As the owner, I’m looking at it big picture and long term.” Those are the words of Eric Mason, owner of a Chick-fil-A in Sacramento, CA.
Mason was talking about his employees and sales. He believes successful restaurants are an effect of happy, well-paid workers. That’s why he’s offering his employees wage increases that would boost their pay from $12-13/hr. to $17-18/hr. That Mason is raising worker pay well beyond California’s minimum wage is a reminder that pundits on the left are flying blind when they emote about stagnant wages. They could learn a lot from Mason. Mason sees very clearly what they don’t: low-wage workers are incredibly expensive. They are because they’re not very productive. As is frequently said, you get what you pay for. Low-wage workers don’t need to perform very well simply because they’re not being compensated for it. Mason wants his business to boom, which means he wants his employees to feel well rewarded. Quoted in the Washington Post about his decision to boost employee compensation, Mason said “[W]hat that [pay well above the minimum wage] does for the business is provide consistency, someone that has relationships with our guests, and it’s going to be building a long-term culture.'" Henry Ford did this back just after the turn of the 20th century when he began automating his assembly lines and found he could reduce the total number of workers. His problem was he still had high employee turnover and lower than desired labor skill levels. By paying his employees more, he attracted his competitors skilled labor and left a pool of low skilled workers from which they would need to draw. This was a win for Ford and a win for Ford's workers. Nicely played Chic-fil-A.
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