Yep ,the facts of life are conservative.

[KLATTU]

To the surprise of no one with functioning brain cells.

Red Robin, a popular burger chain, will cut jobs at all 570 of its locations because, chief financial officer Guy Constant said, “We need ... to address the labor [cost] increases we’ve seen.”

To put it differently, Red Robin is cutting these jobs because of bad government policy: namely, hikes in the minimum wage. On January 1, some 18 states — from Maine to Hawaii — increased their minimum wage.

Founded in Seattle but headquartered in Colorado, Red Robin hopes to save some $8 million this year by eliminating bussers from their restaurants. (Bussers, or busboys, clear dirty dishes from tables, set tables, and otherwise assist the wait staff.) According to the New York Post, the company saved some $10 million last year after eliminating “expediters,” who plate food in the kitchen.

The Impact of an Increase in Wages

Despite what many people, including policymakers, would argue, this is an altogether painfully predictable response to increased labor costs. It’s basic economics. The “first law of demand” teaches us that when the price of a good or service increases, people will tend to buy fewer units. Conversely, when the price of a good or service decreases, people will tend to buy more. This idea is usually presented no later than chapter 3 in any econ 101 textbook.

Cost of employing workers increases, companies hire fewer workers and let them go.

Labor is no exception to this rule. If the cost of employing workers increases, we’d expect companies to hire fewer workers and even to let some go.

https://fee.org/articles/guess-why-hundreds-of-bus-boys-just-lost-their-jobs/

Hey but I bet those min. wage lawa made you feel all squishy inside ,huh?
LAFFRIOT

 

[ttwtt78640]

That, of course, assumes that price is the most important feature in selecting a dining establishment. Not many are likely to say let's not eat there anymore at $7.95/plate - I found a taco truck that will load you up for $6.48/plate (entree, rice, beans and a tortilla). Sure you may have to eat in the car, or on a grungy picnic table covered with flies, but it makes the most economic sense.

 

[blackjack50]

The reality is that labor is almost always the most expensive cost. Driving that up does not help the small businesses or the big ones pay their employees.

 

[Critter7r]

bububububutbutbut ... The tax cuts were supposed to prevent this!!

 

[CriticalThought]

To the surprise of no one with functioning brain cells.

Red Robin, a popular burger chain, will cut jobs at all 570 of its locations because, chief financial officer Guy Constant said, “We need ... to address the labor [cost] increases we’ve seen.”

To put it differently, Red Robin is cutting these jobs because of bad government policy: namely, hikes in the minimum wage. On January 1, some 18 states — from Maine to Hawaii — increased their minimum wage.

Founded in Seattle but headquartered in Colorado, Red Robin hopes to save some $8 million this year by eliminating bussers from their restaurants. (Bussers, or busboys, clear dirty dishes from tables, set tables, and otherwise assist the wait staff.) According to the New York Post, the company saved some $10 million last year after eliminating “expediters,” who plate food in the kitchen.

The Impact of an Increase in Wages

Despite what many people, including policymakers, would argue, this is an altogether painfully predictable response to increased labor costs. It’s basic economics. The “first law of demand” teaches us that when the price of a good or service increases, people will tend to buy fewer units. Conversely, when the price of a good or service decreases, people will tend to buy more. This idea is usually presented no later than chapter 3 in any econ 101 textbook.

Cost of employing workers increases, companies hire fewer workers and let them go.

Labor is no exception to this rule. If the cost of employing workers increases, we’d expect companies to hire fewer workers and even to let some go.

https://fee.org/articles/guess-why-hundreds-of-bus-boys-just-lost-their-jobs/

Hey but I bet those min. wage lawa made you feel all squishy inside ,huh?
LAFFRIOT

I guess Red Robin isn't on the GOP mantra that the tax cut will increase wages and promote job growth.

 

[PoS]

When I read the title of this thread, I thought this was going to be about that 80's sitcom...

 

[VanceMack]

bububububutbutbut ... The tax cuts were supposed to prevent this!!

:lamo

No, they werent. The tax cuts arent supposed to mitigate inefficiencies and foolish inflated minimum wage hikes. Please site the evidence of your claim that tax cuts were supposed to fix stupid leftist government policy.

No no....this is what happens when leftists insist on trying to turn unskilled and expendable labor positions into 'living wage' careers. Its what happens when you let eople that arent qualified to run a lemonade stand make business decisions for business owners and entrepreneurs. Oh...and hey...the idiots advocating for the minimum wage hike are also the same folls clamoring for the return to prominence of labor unions.

 

[VanceMack]

I guess Red Robin isn't on the GOP mantra that the tax cut will increase wages and promote job growth.

:lamo

You people are comical.

The tax cuts are PROVING to raise wages...just not for low/no skilled minimum wage employees. Because tax cuts arent going to mitigate stupid mindless leftist government policy.

 

[ttwtt78640]

The reality is that labor is almost always the most expensive cost. Driving that up does not help the small businesses or the big ones pay their employees.

Of course, that is assuming your customer base is not dependent on their (wage?) income to patronize your business. Where problems occur is when the MW exceeds the productivity (profitability?) of any worker. That is why most "job creators" favor the "safety net" - it permits them to pay workers less than the true free market cost of their labor with the "safety net" making up the difference for some of them. If that doesn't git-r-done, then there is always the third world option of using "guest" (legal or not) workers.

 

[KevinKohler]

So...first question...why just Red Robin? Second question...are they then planning on reduced business and less service, or, were they inneficient prior to the cuts?


Real fact : Work doesn't do itself.

 

[gdgyva]

look at the positions cut

busboys....now the wait staff can bus their own tables....customers will waits a extra few minutes to get a clean place to sit

expediters....making sure all the food is hot, cooked correctly, and looks right on the plate....i guess the customers will let them know if this part becomes an issue also

they are cutting two jobs that are "nice" to have, but if managed correctly, can be done away with

but....i think the customer experience at most of their restaurants will suffer, because MOST are not managed correctly....

 

[WillyPete]

I don't know Red Robin. I've seen them around, seen the odd commercial,but I don't believe I've ever visited one.

I'd be curious to see what their numbers were like before this change.

Clearly, they weren't great, or they wouldn't have felt the need to get rid of all their "expediters" before the wage hike (as mentioned in the OP's link.)

 

[Critter7r]

This debate will go the way of all the rest, the righties will act as if no jobs were ever lost before there was an increase in MW nor any created before taxes were cut, and the lefties will act as if the MW hike has nothing to do with job loss nor the tax cut with any job creation.

/endrant

Life is a matter of degrees.

 

[blackjack50]

I don't know Red Robin. I've seen them around, seen the odd commercial,but I don't believe I've ever visited one.

I'd be curious to see what their numbers were like before this change.

Clearly, they weren't great, or they wouldn't have felt the need to get rid of all their "expediters" before the wage hike (as mentioned in the OP's link.)

They are ok. Nothing special. I don’t like chain bar and grills really. I just call them all Applebee’s. Though their beer shakes are great lol.


Sent from my iPhone using Tapatalk

 

[poweRob]

When I read the title of this thread, I thought this was going to be about that 80's sitcom...

I thought he was saying lefty's don't know how to have sex.

 

[faithful_servant]

:lamo

No, they werent. The tax cuts arent supposed to mitigate inefficiencies and foolish inflated minimum wage hikes. Please site the evidence of your claim that tax cuts were supposed to fix stupid leftist government policy.

No no....this is what happens when leftists insist on trying to turn unskilled and expendable labor positions into 'living wage' careers. Its what happens when you let eople that arent qualified to run a lemonade stand make business decisions for business owners and entrepreneurs. Oh...and hey...the idiots advocating for the minimum wage hike are also the same folls clamoring for the return to prominence of labor unions.

Aren't most labor union wage contracts based on a % of the MW??

 

[faithful_servant]

So...first question...why just Red Robin? Second question...are they then planning on reduced business and less service, or, were they inneficient prior to the cuts?


Real fact : Work doesn't do itself.

Real fact: If you tell a waitress that if she wants to keep her job, then she now has to bus tables as well as serve and if that means a reduction in the service being provided to the customers (along with lower tips), then that's just too bad.

 

[KevinKohler]

look at the positions cut

busboys....now the wait staff can bus their own tables....customers will waits a extra few minutes to get a clean place to sit

expediters....making sure all the food is hot, cooked correctly, and looks right on the plate....i guess the customers will let them know if this part becomes an issue also

they are cutting two jobs that are "nice" to have, but if managed correctly, can be done away with

but....i think the customer experience at most of their restaurants will suffer, because MOST are not managed correctly....

Why would a fast food place have expediters?

 

[gdgyva]

Why would a fast food place have expediters?

difference between this and fast food imo

chain restaurants are known for having expediters in kitchen for quality control

not all but most....but as personnel costs continue to rise, this is one of the places where restaurants will cut and hope that their sales wont decline....i disagree....to me other than chef, expediter is second most important person in entire place

 

[KevinKohler]

difference between this and fast food imo

chain restaurants are known for having expediters in kitchen for quality control

not all but most....but as personnel costs continue to rise, this is one of the places where restaurants will cut and hope that their sales wont decline....i disagree....to me other than chef, expediter is second most important person in entire place

Its fast food. I've never in my life heard of an expiditer in fast food.

Full service, I agree. Expiditer is key, they manage the flow. Fast food, where everything is predone, premessured, etc? Not needed.