Fast Food Worker - sm - © Koshij via Pintrest

Entry-Level Fast Food Jobs Not ‘Bottom Of The Market’

Surprise! Entry-level jobs at many Fast Food joints are NOT the worst-paying in the the overall job market. A new survey finds resto chains are paying the most to ‘beginner’ employees in several US states…

McD's of the Future - © McDonald'sThe fast Food resto of the future will be smaller, automated, ‘smarter’
and totally tuned to take-out, delivery and drive thru business…

The results of the survey, by CashNetUSA, surprised many. And not just in the Fast Food Sector. In addition, the survey revealed interesting geographical distribution info on top entry-level jobs in a number of industries…

In general…

The survey produced several ‘key results’ on the national level:

  • Tenet Healthcare Corporation is America’s top company for high-paying entry-level jobs, paying 87.84 percent above the local average local salary.
  • Arby’s is the top restaurant chain in the country for entry-level jobs, paying 46.14 percent paid above the average national local salary.
  • Target is the top retail chain for high entry-paying jobs, paying 79.74 percent above the average local salary.
  • Citigroup Inc. is New York City’s top firm for high-paying entry-level jobs, paying 93.10 percentabove the average NYC salary.

Overall:

  • Healthcare companies reported the top entry-level wages in more than half of the 50 states.
  • Financial corporations came in a distant second.

But other, unexpected entities rule in some states:

  • Chewy.com – the pet toy and accessories company – led all other employers in it’s home state, Tennessee, paying 100.00 more than the average entry level wage.
  • Amazon dominated in Washington State, paying 96.15 percent more than the average stater-job wage there.
  • Educational institutions came in first on entry-level wages in 9 states.

Focus on Fast Food

What really speaks to traditional claims that restaurant jobs are among the lowest paid is the fact that three quick service restos are paying the top starting wages of all busi9ness in three different states:

  • Domino’s Pizza pays 49.06 percent more than the median starting wage in Nevada.
  • Carl’s Jr. pays 99.10 percent more than the median ‘beginner’ wage in Oregon.
  • Chili’s Grill & Bar pays 45.00 percent more than the median entry level wage in Kansas.

Conventional wisdom…

The conventional wisdom surrounding entry-level jobs has held that Fast Food employment is a two-way street. The kids are supposed to learn valuable lessons about personal presentation, punctuality and teamwork, and develop a healthy work ethic. In return, the employers traditionally paid very low wages. Sort of an allowance and acknowledgement of their investment in the kids life education.

That was an era when McDonald’s was billing itself as benefactor of youth, and boasted that it was the ‘first real job’ of millions of America’s future leaders.

Very Different today…

But the Fast Food employment picture is very different today than it was 30, or even 20 years ago. It’s just just kids working in that sector anymore. And with the ‘democratization of the workforce seeking McJobs, the world’s Fast Food ideology leader has changed radically its pitch to entry-level workers.

“Maybe you’re a people-person searching for somewhere fun to work. Or a student looking to grab a few shifts per week around your classes. Or a working parent looking for a kid-friendly schedule. Or a night owl looking for an evening gig close to home,” McHire.com posits. “Maybe you’re even all of those things wrapped into one. […] Wherever you are in your life, you can find a meaningful career at McDonald’s – with a side of whatever it is that makes you happy.”

And it’s the same at all the Fast Food chains.

Blame it on the adults

With adults increasingly infiltrating the ranks of front line Fast Food workers, the ultra-low wages still legally allowed in the resto sector in many jurisdictions have proven to be… out of date.

That’s what was behind the recent successful drive for a huge jump in the Fast Food minimum wage in California. Adults of all ages were making up a significant proportion of the workforce. And they were expecting a ‘living wage’. The state government agreed, voting them a minimum wage of $20 per hour starting last month.

Cali Fast Food proprietors reacted immediately to their increased staff costs with menu price hikes of up to 8 percent.

My take

The CashNet survey was a real eye-opener for me. I was truly surprised to see Fast Food chains out-paying all other businesses in three states. And I was shocked to find Arby’s out-paying all other restos in the land. The implication is that fast Food and Fast Casual restos are actuallytreating thyeir entry level employees better than we thought all across the land.

Yes. It’s definitely a different world, today, than it was when the Fast Food chains started up. And they’re facing a whole army of economic challenges. Every one of them has hatched what it calls a ‘resto of the future’ concept. And a big part of that shift will be a reduction of human staff in favour of automated systems and artificial intelligence.

In the larger context, the current generation of Fast Food workers have bever had it better, But the next generation of Fast Food sector entry level workers may find themselves out of a job.

~ Maggie J.

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