Published November 28, 2014

Battling the minimum wage increase

The increase in minimum wage is an inevitability that’s going to impact food service in a big way. Four states have already approved a gradual increase over the next few years, and public opinion says that’s a good thing. Unfortunately, it also means restaurants will need to make some changes to offset labor costs and that has people talking.

Minimum wage was never meant to be a living wage. It’s meant for entry level positions, and if the employee is capable they get a raise and climb the ladder. That’s how the system is supposed to work. While an increase in the minimum is necessary (and long overdue), increasing it too fast could spell serious trouble for businesses.

Restaurants are looking for ways to save pennies, including raising menu and delivery prices, though many are looking at cutting costs in other ways such as upgrading to efficient technologies.

It’s important to examine all options and prepare for what’s on the horizon. It’s likely the wage increase will help stimulate the economy, but there are still a few more dishes to be washed first.

Read the full article here: Minimum wage: how restaurants are responding to the ‘inevitable’
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