Quote:
Originally Posted by kane
Can they? Sure. As a company McDonald's made a net of $5.5 billion in profit on 2012. So, in theory, they could pay out less to shareholders and give their lowest paid workers a raise and not have to raise prices.
That said, the raise would be in the area of $1-$2 per hour. If you start paying them $20 per hour they will have to raise he prices. I have read that many workers in the McDonald's throughout Europe make close to $20 per hour, but the food is much more expensive.
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Maybe not.
If they paid their shareholders less, they would fail to meet expected sales goals, shareholders would get less, and the entire company would be worth a lot less. Top management would be making less money, and would leave the company to go over to Wendy's, who is in the number two slot. Without proper management the company does horrible, income continues to drop, debt rises, and the company is plunged into bankruptcy.
All those people who got raises are now unemployed.
I'm sorry, but there is a bottom tier for a reason - It encourages people to move out of that job. If you are are so unmotivated that after ten years you cannot move upwards from minimum wage, well, you don't deserve a $2 raise.