Want $15/Hr? Fine! Wendy’s Installing Self-Order Kiosks In 1,000 Stores To Cut Labor Costs

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The long-awaited minimum-wage hike has finally come, and it’s bittersweet. For some, it’s a much-welcomed few-extra dollars for their family. For others, it’s a sad time—they have to cope with job loss.

We can’t put any blame on the businesses for firing employees. Increased wages also means decreased profits, and we all know the goal of business is to make profits.

Wendy’s seems very keen on cutting labor costs. The company already plans to install self-order kiosks at 1,000 stores in an attempt to reduce aforementioned costs. The kiosks, which cost about $15,000 each, are also said to appeal to younger and more tech-savvy customers.

The Wendy’s Company’s didn’t come to this decision suddenly though. The company started feeling the minimum-wage bite back in early 2016. Now, with the new increase, the labor-cost-reduction steps have quickened exponentially.

Wendy’s franchises “will likely look at the opportunity to reduce overall staff, look at the opportunity to certainly reduce hours and any other cost-reduction opportunities, not just price,” Wendy’s CEO Emil Brolick said in 2015.

With an increase in minimum wage, it can be expected that some companies would have to fire employees to cut costs. It’s simply a predictable, “unintended” consequence of minimum-wage laws.

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