Cyprus-Forum.com

[Lordo]

I don't know bordo, how much does Mcdonald have to increase the prices to double employee wages. ?

Boooooy It does not have to be for McD it works in every company. All you have to do is work out what is the wage element of the company in their turnover and give a pay rise to 15 pounds per hour to all those who earn less. BTW 15 pounds an hour is my idea, Corbyn promissed 12 pounds an hour and biden 15 dollars per hour. Unfortunately Biden has not been able to implement it because he has a few democrat senators that will not vote for it.

I thought you were a finance man.Surley for a man dwelling into currency fluctuations should be able to work it out. Not that I agree you understand currency fluctuations because you thought Turkis Lira suffered from the bad management of the economy despite the fact that the figures do not look that bad. And yet you know nothing of the currency wolves looking for the next victim to make a few buck.

[Pyrpolizer]

Its the same answer to my question about McD. Get that abd you will know the answer to this question too.

What percentage does the manager at McD has to increae the prises to be able to pay double wages?

it really is not hard.

Back in the late 80s I had a company and my friend had a McD shop. He was paying his workers 2.0 pounds per hour and I was paying my workers 5 pounds per hour. Because it had to be a living wage. Its not roket science.

Is the toilet brushat the ready? Get set, go.

You can only do that when you have a)too few workers b)making huge profits c)you have no competition. Was your business like that? I doubt... from my experience there is nothing in the market which is virgin ground.

For small companies (1 boss+4 employees, all doing productive work) the boss might earn 25% from each employee, however for a company that has one boss+400 employees the profit from their work goes down dramatically to about 3-5%. In the first case the boss earns 2 times more than any of his employees, in the latter he may earn 12 to 20 times more.
There is NO normal business that can pay it's employees 25% more without getting bankrupt.

I 'd bet mcD would also go bankrupt raising his employees salaries by just 10%, while keeping the same selling prices.

NB. I actually doubt you had any business, hearing you telling such nonsense that you were paying your workers double than the other guy.

[Maximus]

I don't know bordo, how much does Mcdonald have to increase the prices to double employee wages. ?

Boooooy It does not have to be for McD it works in every company. All you have to do is work out what is the wage element of the company in their turnover and give a pay rise to 15 pounds per hour to all those who earn less. BTW 15 pounds an hour is my idea, Corbyn promissed 12 pounds an hour and biden 15 dollars per hour. Unfortunately Biden has not been able to implement it because he has a few democrat senators that will not vote for it.

I thought you were a finance man.Surley for a man dwelling into currency fluctuations should be able to work it out. Not that I agree you understand currency fluctuations because you thought Turkis Lira suffered from the bad management of the economy despite the fact that the figures do not look that bad. And yet you know nothing of the currency wolves looking for the next victim to make a few buck.

You cant be serious,

McDonalds is successful because their prices are low and the food is "tasty". Some people would say its shit but if they up their menu prices, the value is gone and there is a high chance that some of the customer base will eat elsewhere. There are better options, that cost a bit more.

Further to that, the majority of McDonalds customers are low income people, so you would make it more expensive for them to eat a low cost meal. More customers gone.

If it was as easy as raising prices, every business would be doing it, but you run the risk of becoming less competitive and losing business as well as taking on higher labor costs.

Basically, you cannibalize the profit and potentially, the company.

[Maximus]

.

[Maximus]

I 'd bet mcD would also go bankrupt raising his employees salaries by just 10%, while keeping the same selling prices.

NB. I actually doubt you had any business, hearing you telling such nonsense that you were paying your workers double than the other guy.

He doesn't know what the hell he is talking about.

McDonalds profit margin is about 30%, that needs to be split with the shareholders, reinvested and saved to weather difficult economic times.

Payroll and employee benefits is about 30% of all costs.

If you double the labor costs, there goes the profit margin and they wouldnt make that back, even if prices go up by at least 60%.

[Pyrpolizer]

I 'd bet mcD would also go bankrupt raising his employees salaries by just 10%, while keeping the same selling prices.

NB. I actually doubt you had any business, hearing you telling such nonsense that you were paying your workers double than the other guy.

He doesnt know what the hell he is talking about.

McDonalds profit margin is about 30%, and that needs to be split with the shareholders, reinvested and saved to weather difficult economic times.

Restaurants (especially family owned) work at an amazing gross profit of 75%. Problem is 9 out of 10 closed down within a year!!

I am not surprised of McD making 30%, however notice the franchise cost..
Franchise rights for just one McD restaurant in Cyprus may need 10 years to break even.
Goodies in Cyprus, offered much-much better quality than McD at about the same prices, yet I know they had constant financial problems until they closed down. Got very sad when this happened as it was the only place I could trust taking my kids to eat. I remember they were advertising the place for the genuinely healthy food they served.

Thinking about it most probably Lordo's business was a restaurant. And since I think he is clever enough, he must have been among the 1 out of 10 that did not close down one year later. In that case yes he could pay his stuff 15 STG/hour...

[Lordo]

Its the same answer to my question about McD. Get that abd you will know the answer to this question too.

What percentage does the manager at McD has to increae the prises to be able to pay double wages?

it really is not hard.

Back in the late 80s I had a company and my friend had a McD shop. He was paying his workers 2.0 pounds per hour and I was paying my workers 5 pounds per hour. Because it had to be a living wage. Its not roket science.

Is the toilet brushat the ready? Get set, go.

You can only do that when you have a)too few workers b)making huge profits c)you have no competition. Was your business like that? I doubt... from my experience there is nothing in the market which is virgin ground.

For small companies (1 boss+4 employees, all doing productive work) the boss might earn 25% from each employee, however for a company that has one boss+400 employees the profit from their work goes down dramatically to about 3-5%. In the first case the boss earns 2 times more than any of his employees, in the latter he may earn 12 to 20 times more.
There is NO normal business that can pay it's employees 25% more without getting bankrupt.

I 'd bet mcD would also go bankrupt raising his employees salaries by just 10%, while keeping the same selling prices.

NB. I actually doubt you had any business, hearing you telling such nonsense that you were paying your workers double than the other guy.

I tink it must be christmas spirit punch youy are drinking. Go easy on the gin.

Read my posts again.

I did not say keep the p[rices same. Infact I specificly asked the toilet brush boy to see if he can work out by how much he has to raise his prices to pay those who are earning under 15 pounds an hour to be paid 15 pounds an hour. All I get is christmas islands heads - not a sound.

Surely it is not that hard to work it out? The toilet brush boy fancies himself as a finance boy.

It really is not rocket science.

Back in the 90s, I also had two friends who set up insurance brokerage each. One employed 17 staff and the other 4. One paid minimum wages and the other paid 3 times the minumum wage. They had exactly the same turnover about 3.5 million each.

Guess which one went bust?
And one of the reasons was crap service. You pay peanuts you will get monkeys is a very old saying.

This makes a very interesting read indeed.
18,000 dollars in an day but pay the very people who actually actualise it minimum wages. This owner raised the wages to $13. I am sure he could have gone to $15 if he really tried.

https://www.cnbc.com/2021/07/10/mcdonalds-minimum-wage-raise-and-the-fast-food-franchise-future-.html

Imagine if they put up their prices by say 2.5% and paid a higher wages too and advertised themselves as decent employers. It takes a bit of brains to think of others instead of just yourself. I wonder how many bosses actaully talk to their staff rather than see them as failed individuals that deserve what they get. A bit like Toilet Brush Boy here.

[Pyrpolizer]

Lordo suppose the whole issue is resolved via a law setting the minimum salary in UK to 15 Stg an hour.
What do you think will happen concerning unemployment rate among all people, and more particularly among the unskilled?

[Lordo]

Lordo suppose the whole issue is resolved via a law setting the minimum salary in UK to 15 Stg an hour.
What do you think will happen concerning unemployment rate among all people, and more particularly among the unskilled?

I have heard it all befor. Small businesses will not be able to afford it. It does not work.

Currently we have a very low Minimum wage and consequently these people aprox 4 million actually get paid Universal credit.

So a person working for Bezos gets paid UC which mean Bezos is being subsidised.

I asked before work out in any business how many people are getting paid less than 15 pounds an hour and work out how much they would have top raise their prices to meet it. I am telling it aint much.

There is no point paying people poverty wages. It is a crime against a humanity but legal.

Have you seen what the man in USA did for 45 of his stores and McD is also doint it to all their company owned stores too. It just goes to show that it can be done. No excsuses.

[repulsewarrior]

https://morningstaronline.co.uk/article ... tudy-finds

...expect Labour/labour strife in England.