ahalpert
Major Contributor
interesting article in CNN Business: https://www.cnn.com/2024/09/20/business/self-service-kiosks-mcdonalds-shake-shack/index.html
It's particularly notable because it's essentially an admission against interest seeing as CNN Business caters to capital and not labor.
Sure, that's not our industry. But it's easy to imagine some parallels. For example, my biggest client is Christie's auction house. They only produce videos for their top auction lots, a small fraction of their total offerings. If it became cheaper and faster to produce videos, they might make videos for a larger share of their lots.
It's also wild to realize that if California had panicked and canceled its minimum wage hike in the face of job-loss predictions, it would have left 20% of fast food workers' current wages on the table...
It's particularly notable because it's essentially an admission against interest seeing as CNN Business caters to capital and not labor.
McDonald’s touchscreen kiosks were feared as job killers. Instead, something surprising happened...
touchscreen kiosks have added extra work for kitchen staff and pushed customers to order more food than they do at the cash register...
“In theory, kiosks should help save on labor, but in reality, restaurants have added complexity due to mobile ordering and delivery, and the labor saved from kiosks is often reallocated for these efforts,” said RJ Hottovy, an analyst who covers the restaurant and retail industries at data analytics firm Placer.ai.
And in some cases, kiosks have even been a flop. Bowling ally chain Bowlero added kiosks in lanes for customers to order food and drinks, but they went unused because staff and customers weren’t fully trained on using them.
Even some of the benefits of kiosks touted by chains — they upsell customers by suggesting menu items and speed up orders — don’t always play out. A recent study from Temple University researchers found that, when a line forms behind customers using kiosks, they experience more stress when placing their orders and purchase less food. And some customers take longer to order tapping around on kiosks and paying than they do telling a cashier they’d like to order a burger and fries. Not to mention the kiosks can malfunction or break down.
“If kiosks really improved speed of service, order accuracy, and upsell, they’d be rolled out more extensively across the industry than they are today,” Hottovy said...
California this year raised the minimum wage for the state’s fast food sector workers by $4 to $20. It raised a familiar refrain that those workers would be replaced by technology, such as self-service kiosks.
But the quick-service and fast-casual segments of the restaurant industry continue to grow. Staffing levels were nearly 150,000 jobs, or 3%, above pre-pandemic levels, according to the latest Labor Department data.
Sure, that's not our industry. But it's easy to imagine some parallels. For example, my biggest client is Christie's auction house. They only produce videos for their top auction lots, a small fraction of their total offerings. If it became cheaper and faster to produce videos, they might make videos for a larger share of their lots.
It's also wild to realize that if California had panicked and canceled its minimum wage hike in the face of job-loss predictions, it would have left 20% of fast food workers' current wages on the table...


