A Burger King owner made one confession about technology that left Democrats stunned

Apr 19, 2024

The socialist agenda pursued by Democrats is fundamentally transforming the country.

Now they’re being forced to face the consequences.

And a Burger King owner made one confession about technology that left Democrats stunned.

California passes a new fast food minimum wage bill

California Governor Gavin Newsom (D) signed a bill into law creating a $20-hour minimum wage for fast food workers – above the state’s standard $16 an hour –and putting control of the industry’s pay in the hands of a government board run by Big Labor.

“Today, we witnessed the signing of one of the most impactful fast food wage laws that this country has ever seen,” Assemblyman Chris R. Holden (D-Pasadena) –the bill’s sponsor – crowed.

“We did not just raise the minimum wage to $20 an hour for fast food workers. We helped a father or mother feed their children, we helped a student put gas in their car, and helped a grandparent get their grandchild a birthday gift.”

Democrats claimed that they were helping fast food workers but they soon got a reality check about driving up the cost of labor.

Burger King owner can’t install self-service kiosks fast enough

Burger King franchisee Harsh Ghai – who owns 140 locations in California – told Business Insider that he’s been rushing to place kiosks in his restaurants to replace cashiers after the new California fast food minimum wage law went into effect.

“We can’t move fast enough on this,” Ghai explained. “We have kiosks in probably about 25% of our restaurants today. However, the other 75% are going to have kiosks in the next probably 30 to 60 days.”

To cut labor costs that shot up after the new law he’s using technology to replace workers.

“We are installing kiosks in every single restaurant,” Ghai said.

Fast food restaurants are scrambling to adjust to the new reality facing them after the minimum wage law comes into effect.

Raising prices, cutting costs, and trying to find new revenue streams are on the table for many franchisees.

Ghai said that his menu prices typically go up about 3% in a year but the new law caused them to jump by 10%.

“The majority of that is going to get absorbed in the inflation of our food costs,” Ghai said. “So we’re not even compensating for most of the labor costs that we’re going to be experiencing with this legislation.”

Hiking prices any further would drive customers away.

“I can’t take more price than that,” Ghai said. “Anything more than that is going to result in [a] significant impact to our traffic.”

To compensate for higher wages he’s cutting employee hours, eliminating overtime, and deploying kiosks.

“But now we are just going ahead and installing the kiosks in every single restaurant in response to the legislation to be able to balance some of these labor costs that are hitting us,” Ghai stated. “We’ve done the financial analysis, and it makes more sense for us to spend the capital expenditure on the technology, and obviously when you’re buying large amounts of the hardware, you obviously get it for a cheaper price as well.”

Democrats claimed that they were changing employees’ lives for the better in California by raising the fast food minimum wage.

Instead, they’ve accelerated the process of replacing them with technology.

Latest Posts: