McDonald’s Ex USA CEO Says It’s Cheaper To Replace Fast-Food Human Workers With Robots

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Former McDonald’s USA CEO Ed Rensi has said it would be cheaper to hire robots to replace the company’s staff than to pay them the $15 minimum wage that many are demanding in protests across the country.

As reported by DailyMail:

‘It’s cheaper to buy a $35,000 robotic arm than it is to hire an employee who’s inefficient making $15 an hour bagging french fries,’ Rensi told Fox Business Tuesday.

He added that the demand to raise wages is ‘going to cause a job loss across this country like you’re not going to believe.’

Rensi, who worked for McDonald’s USA as president and CEO from 1991 to 1997, was talking to Maria Bartiromo, host of ‘Mornings With Maria,’ ahead of protests Wednesday from employees demanding a $15 minimum wage.

He said that raising the minimum wage for what he characterized as ‘entry-level jobs’ at a time of mass unemployment would cause inflation.

‘If you can’t get people for a reasonable minimum wage, you’re going to get machines to do the work,’ he concluded, adding that such developments wouldn’t just be restricted to the fast-food industry.

McDonald’s is one of several businesses, alongside Wendy’s and Panera, that are offering self-service kiosks, Business Insider wrote.

And Andy Puzder, CEO of Carl’s Jr. and Hardee’s, told Business Insider that ‘government driving up the cost of labor (is) driving down the number of jobs,’ promising ‘automation not just in airports and grocery stores, but in restaurants.’

But the website pointed out that McDonald’s invested in employee wages last year, increasing wages from $9.10 an hour to $9.90 and promising $10 per hour by the end of this year.

It also started allowing employees to earn up to five days of paid vacation per year.

That, Business Insider said, resulted in better service by staff that earned the company a six percent increase in customer satisfaction scores in the first quarter of this year.

Read more at DailyMail.

You can also watch my video on this topic below:

Sources: DailyMail; BusinessInsider

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