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Jack in the Box CEO reconsiders automation, kiosks

businessinsider.com.au

11–20 of 66 posts

Re: Jack in the Box CEO reconsiders automation, kiosks

#11
Is it really true that the minimum wage before was JUST at the point where replacing workers wasn't worth the cost, and now it's going just over that threshold?

If they can find a way to replace workers with machines, my guess is they will. My local walmart has one worker managing about ten self-checkout stations now. Panera Bread has stations where you order your food; no cashier needed. And the wage they are paying here is well above minimum wage, anyway.

CEOs will eliminate all the employees they can, because they consider that their job. And then they'll give out executive bonuses as massive as they can get away with.

There is no reason why the minimum wage should be so low that no one could make a living off it.

Re: Jack in the Box CEO reconsiders automation, kiosks

#12
post #3

Earlier quoted context omitted.

Yeah, but each company just thinks in isolation. It's a bit of a prisoner's dilemma.

Edit: I think my comment was misunderstood.

Yes, but if only all the fast food restaurants automate, only a small part of demand is lost.

Clearly, it is optimal strategy to automate because other industries will take longer to automate.

Re: Jack in the Box CEO reconsiders automation, kiosks

#13
post #3

Earlier quoted context omitted.

Yeah, but each company just thinks in isolation. It's a bit of a prisoner's dilemma.

Edit: I think my comment was misunderstood.

This is wrong. From the perspective of, say, 200 years ago everything has been automated. But everyone definitely hasn't lost.

It's actually the opposite. Automation makes us all better off.

Re: Jack in the Box CEO reconsiders automation, kiosks

#14

Is it really true that the minimum wage before was JUST at the point where replacing workers wasn't worth the cost, and now it's going just over that threshold? If they can find a way to replace workers with machines, my guess is they will. My local walmart has one worker managing about ten self-checkout stations now. Panera Bread has stations where you order your food; no cashier needed. And the wage they are paying…

Actually, there are perfectly good reasons the minimum wage should be below a "living wage".

Re: Jack in the Box CEO reconsiders automation, kiosks

#15

Is it really true that the minimum wage before was JUST at the point where replacing workers wasn't worth the cost, and now it's going just over that threshold? If they can find a way to replace workers with machines, my guess is they will. My local walmart has one worker managing about ten self-checkout stations now. Panera Bread has stations where you order your food; no cashier needed. And the wage they are paying…

The Federal minimum wage is $7.25/hr. At 2,000 hours a year (a full time job) that's $14,500 which is above the poverty level for a family of 1 ($12,060) and pretty close to the poverty level for a family of 2 ($16,240).

Just in case anyone was curious.

Re: Jack in the Box CEO reconsiders automation, kiosks

#17
Reminds me of an oldie but a goodie: Manna, a short story by Marshall Brain. It is speculative fiction from 2003 that starts with the first burger joints being automated.

https://en.m.wikipedia.org/wiki/Manna_(novel)

It is available to read for free on the author’s web site.

Re: Jack in the Box CEO reconsiders automation, kiosks

#18

Is it really true that the minimum wage before was JUST at the point where replacing workers wasn't worth the cost, and now it's going just over that threshold? If they can find a way to replace workers with machines, my guess is they will. My local walmart has one worker managing about ten self-checkout stations now. Panera Bread has stations where you order your food; no cashier needed. And the wage they are paying…

Actually, there are perfectly good reasons the minimum wage should be below a "living wage".

No, there are literally no good reasons for that.

If you work a full-time job, and I don't care what that job is, your employer absolutely should adequately compensate you, for the amount of time spent on your job.

Your employer is buying your time, the most precious and absolutely non-renewable resource you have. Don't sell it too cheaply.

Re: Jack in the Box CEO reconsiders automation, kiosks

#19

McDonalds around the Europe already have those kiosks (not all, yet). Same like self-checkout in stores - it’ not uncommon.

They have them in the US too. It is funny, if you go in and there is a line at register, almost all the kiosks sit empty. You can order your food and have it handed to you before even part of the line is served. It tends to get you dirty looks.

Re: Jack in the Box CEO reconsiders automation, kiosks

#20
The Target near my apartment in Brooklyn is not giant, but due to population density it has a ton of registers. Over the holidays, the replaced a sizable chunk of these registers with self-checkout kiosks. Although there was a long line to use the self-checkout kiosks, it was a faster and better experience than waiting for a register to open.

More importantly, there were still a lot of people working in this section. People were directing customers to registers, guiding people through checkout, and (my favorite) putting things that people left behind back on shelves immediately. Although it was still hard work, the job definitely seemed preferable to standing behind a register and moving things past the scanner.

I am still confident that short-term automation will improve environments and turn bottom-tier jobs into more productive roles (in Jack-in-the-Box's case, maintenance teams for the kiosks, software developers to code the kiosks). In the debate about minimum wage increases, a lot of people see automation as a negative. It may hurt in the short-term but we will see a major benefit faster than people assume.

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