While checking out Reddit today, I stumbled across a breakdown of McDonald’s budget.?With all the debate on raising the minimum wage, someone compared McDonalds’ sales to their labor costs. Headlining the paper full of figures, the user, MdotBooth, headlined their work:
“Okay, maybe not $15.00 an hour, but come on McDonalds.”?
In the comments, the user stated he got the numbers off of?the McDonald’s’ website.
- Basically, McDonald’s makes a ton of money weekly ($2 billion to $3 billion).
- Their weekly labor costs range from $326 million to $408 million at $8.00/hour.
- So that gives McDonald’s a weekly income of $2 to 3 billion a week with labor only ringing in at around $382 million. According to the math, that’s 8.9% of the weekly sales.
The poster then wrote this below which really brings it home:
“All labor expenses for the entire company are made within the first 6 hours of the work week.”
Now after asking my husband to do some math following the user’s logic, my husband came to this conclusion: if correct, the minimum wage at $12/hour would still only account for 15 percent of weekly sales. Pretty sure it won’t break the bank to raise?the wages of McDonald’s employees.
