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# Would you pay more so they get paid more?? ***Article & poll**

Posted by on Jul. 31, 2013 at 1:33 PM
• 16 Replies

## Poll

### Question: Would you pay 68¢ more for a Big Mac to double McDonald's wages?

Options:

Yes

No way

other ( don't eat at Mcdonalds)

Only group members can vote in this poll.

Doubling McDonald's Salaries Would Cause Your Big Mac To Cost Just 68¢ More: Study [UPDATE]

Posted: 07/29/2013 4:28 pm EDT  |  Updated: 07/31/2013 12:22 pm EDT Follow:

McDonald's can afford to pay its workers a living wage without sacrificing any of its low menu prices, according to a new study provided to The Huffington Post by a University of Kansas student.

Doubling the salaries and benefits of all McDonald's employees -- from workers earning the federal minimum wage of \$7.25 per hour to CEO Donald Thompson, whose 2012 compensation totaled \$8.75 million -- would cause the price of a Big Mac to increase just 68 cents, from \$3.99 to \$4.67, Arnobio Morelix told HuffPost. In addition, every item on the Dollar Menu would go up by 17 cents.

McDonald's declined a request to comment from The Huffington Post.

This research comes as fast-food workers across the country strike for a \$15 per hour minimum wage. Workers are also protesting for the right to unionize without fear of retaliation. Protesters are holding strikes in seven cities over a four-day period, according to Salon.

Morelix looked at McDonald's 2012 annual report and discovered that only 17.1 percent of the fast-food giant's revenue goes toward salaries and benefits. In other words, for every dollar McDonald's earns, a little more than 17 cents goes toward the income and benefits of its more than 500,000 U.S. employees. Thus, if McDonald's executives wanted to double the salaries of its employees and keep profits and other expenses the same, it would need to increase prices by just 17 cents per dollar, according to Morelix.

After HuffPost published this story on Monday, Morelix updated his research to reflect that his 17.1 percent figure only takes into account the payroll & employee benefits of McDonald's company-operated stores and excludes franchisee-run stores.

McDonald's franchises make up more than 80 percent of McDonald's restaurants worldwide and their exclusion from Morelix's analysis has left it open to criticism. University of Kansas School of Business economics professor George Bittlingmayer told Forbes that Morelix's model was "a little bit of a leap of faith."

Still, National Employment Law Project Policy Analyst Jack Temple said in an interview with HuffPost that Morelix's findings are "consistent" with what he has seen in previous research. A 2012 study from the University of California, Berkeley, for example, found that a federal minimum wage increase to \$9.80 per-hour would cost American households just 10 cents more per day on average for food.

Thompson said last week that McDonald's has "always been an above-minimum wage employer." Yet experts and workers alike have questioned that claim, arguing that the CEO is out of touch with how difficult it is to live on the wages McDonald's offers.

A recent study from NELP found that jobs like cooks, cashiers, delivery workers and other non-managerial positions across the fast-food industry earn a median hourly wage of \$8.94 per hour. As fast-food wages remain relatively stagnant, many workers actually have less buying power today than their peers did during the 1950s, writes Mark Bittman of The New York Times.

This story has been updated to reflect the fact that Morelix's analysis excludes franchisee-run stores.

by on Jul. 31, 2013 at 1:33 PM
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Replies (1-10):
by CAFE SASSY HBIC on Jul. 31, 2013 at 1:34 PM

yep..............I love Big Macs, lol

by Anonymous 1 on Jul. 31, 2013 at 1:35 PM
Sadly, yes.. lol! I love big macs. Though, I am working on not eating there anymore.
by Anonymous 2 on Jul. 31, 2013 at 1:36 PM
I don't eat out much because it is expensive already
by on Jul. 31, 2013 at 1:36 PM
I already do, starting wage at most fast food places in my area are \$12-15/hr. I honestly don't even notice the increase in price.
by Gold Member on Jul. 31, 2013 at 1:39 PM
What state do you live in? Is the cost of living there high?
Quoting purple_panda:

I already do, starting wage at most fast food places in my area are \$12-15/hr. I honestly don't even notice the increase in price.
by Ruby Member on Jul. 31, 2013 at 1:41 PM

I would....I love Big Macs....my worst vice I think lol

by on Jul. 31, 2013 at 1:42 PM
I'm in western ND. Cost of living is high, unemployment hovers at 1%. There is a shortage of employees, housing and infrastructure. It has driven starting wages up, average income here is \$71,000 annually.

Quoting babyspots17:

What state do you live in? Is the cost of living there high?
Quoting purple_panda:

I already do, starting wage at most fast food places in my area are \$12-15/hr. I honestly don't even notice the increase in price.

by Anonymous 3 on Jul. 31, 2013 at 1:42 PM
No.
I mean if that's what a big mac cost, I would pay it, but...

I wouldn't voluntarily pay more to double their wage. Thats ridiculous. Fastfood jobs are meant for students as entry level jobs, they arent meant to support a family
by ☆Mrs.Winchester☆ on Jul. 31, 2013 at 1:43 PM

I dont like big macs, but I will fork over extra for a quarter pounder.

by Platinum Member on Jul. 31, 2013 at 1:44 PM

I hate Big Macs. But I would pay \$0.68 more for a quarter pounder with cheese.