Seattle ZPizza closing due to minimum wage increase?

[wa_dave]

I dream of only having to pay $15 per hour. Our min is $23.72 for a casual (adult 21 +) or $18.97 for fulltime with 4 weeks annual leave with 17.5% loading plus 10 days sick leave, and other leave entitlements, plus we have to pay 9.5% superannuation (retirement fund). 20 year olds get 90% of adult rate, 19 = 80%, 18 = 80%, 17 = 70%, 16 = 60%. This rate is for all staff from couter-hands, cooks, dish washers to drivers, plus drivers get delivery fee for using their own cars and tips that they keep. Add to this double time and a half on Sundays and Public Holidays
We also have annual increases set by Fair Work Australia who over see workers pay and conditions. Past years it has been around 5.5% but this year it was only 3.8% so we get increases every year.
Dave

 

[pizzapiratespp]

The AU model is what the California Government wants here. What is 17.5% loading?

 

[RPCLady]

in my county alone, our prices are considered ‘sticker shock’ for the locals, those who have ever lived elsewhere understand that we are priced correctly…

Most the restaurants in our tiny town keep trying to undercut their burger competition, its insanity and makes most restaurants totally unstable here unless they serve alcohol, which we don’t… BUT we are the real deal. Pizza is our thing, since we’re family owned/operated we have a minimal amount of labor costs to deal with.

I’m grateful we do not do any fried foods nor burgers, we stick with just pizza, calzones, grinders, a couple of salad options, Ital Sausage or Meatball Sandwich and the usual starters such as bread sticks or garlic bread. We did add Pasta to our menu about a year ago… and as much as we’ve advertised it, our hick community still doesn’t understand that we have pasta! We’ve advertised in the local paper… and they still don’t get it. We are fortunate that there are no fast-food joints here, with the exception that the gas station at the end of town added a Subway… so its competing with all the underpricing of the restaurants and since we just don’t do sandwiches in general – no real threat there.

 

[bodegahwy]

Looking at the exchange rate, $15 US$ is about $20 AU$. As long as everyone else has to pay the same the field is level and we can all compete. As soon as the rules are different for different kinds of businesses it turns into a mess. All in all though, if dining out becomes too much more expensive than eating at home the consumer behavior will change away from eating out.