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Work On Your Game Content/business and money/🍕Pizza Hut Fired 1,200 People... ❌🥺
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🍕Pizza Hut Fired 1,200 People... ❌🥺

According to CBS News, Pizza Hut is set to lay off 1,200 workers in California.


Why? There’s a new minimum wage law that requires employers to pay their staff more money.


Chipotle and McDonald’s, also in response to the new law, are raising menu prices in California.



Understand: THIS is what really happens when the minimum wage gets raised.


What people think happens: All employees keep their jobs, simply getting to take home more money while the business keeps less bottom-line money. This is what your favorite politician / socialist wants you to believe happens.



This does NOT happen. As a matter of fact, it NEVER happens.



Let me help you understand why.


Businesses exist and sustain because they understand their economics. Your business will not last long with bad economics or poor financial management. Businesses, just like you and me, want and expect to do better financially as time goes on. Publicly held businesses, like Pizza Hut (owned by YUM! Brands) answer to shareholders. It’s not just a personal choice for one person. When’s the last time you volunteered for a pay cut?


Exactly.


What does this have to do with the minimum wage? Everything.



To keep the math simple, if you have staff who are worth $10 per hour – meaning, one hour of their work is producing $10 worth of value for you – then you pay them what they are worth: $10.



People who are earning $10 right now, deserve exactly exactly what they are getting.



When a new law goes into place and demands that you raise wages to, let’s say $20 to keep it simple, now you have a financial and economic issue in your business: The government is demanding that you pay $20/hour; but you have staff who are only worth $10/hour.



This is bad math for the business. If you pay $20 to people who are only worth $10, you will go out of business.



How is this?



Do the math.



If someone is worth $10 per hour, but you are paying them $20, that means you are effectively losing $10 every hour they work (the $20 you pay, minus the $10 they’re producing). You are losing money.


So, how do businesses respond to minimum wage requirements?



By doing exactly what I told you they’re doing at the top of this article. They fire low-level workers, and / or raise prices.



In other words, they pass the costs onto someone other than themselves.



This is how business works. It's how capitalism works. You cannot be in business by simply eating every cost you incur. You must find a way to offset those costs.



I’m not arguing right versus wrong. I’m telling you what it is.


This is why it used to cost $.10 cents to go to the movies, and now it costs $20. Businesses have simply passed on the increased cost of doing business to the customers, or have cut staff, or demanded that staff do more work for what they’re being paid.



This is how business works.



This is not a negative thing. It’s just reality.



The problem many people have, is that instead of figuring out how to make this work for them, they would rather complain and bitch about the reality. That is a bad strategy.



The good news is you’re here, and I will tell you how to get on the right side of this equation. You have options.


First of all, you need to understand value and worth in terms of finances and economics, not emotions and feelings.



👆If you get ONE thing from this article, let it be this sentence.


Many people hear about this news of companies cutting staff or raising prices and say stupid things like, “the CEO could take a pay cut! Then they can easily pay for everyone to make more money!”



Yes – this is stupid.


While it is theoretically possible (in some cases), it is not a reflection of reality.


The CEO earns what they earn because the CEO job is worth more than the line cooks’ job.


How do I know? By looking at their paychecks.


You are worth what you can command in the marketplace, and what you ultimately accept from the marketplace.


☝️ If you get TWO things from this article, this is the second.


If the marketplace offers you a shit job and you accept it, that’s your value – until or unless you change the situation.


It is easier to replace a cook or DoorDash driver than it is to replace a CEO. Just the truth.


What does this mean?



It means (here’s a third thing to take from this article 👉), STOP BITCHING ABOUT CEO SALARIES AND BECOME THE FUCKING CEO.



Stupid Person: “If eVerYoNe beCaMe a CeO, ThErE woULD bE nO oNe tO aCTuaLLy wORk!” 🤡



Theoretically, true.

Realistically, false.



Most people – 98% of humans – have no drive, no determination, no discipline, and no vision of ever being wildly successful. So, 98% of people are unqualified to be CEOs. So, that concept of everyone being a CEO and no one being a worker will NEVER happen.



Secondly: understand that the price of living life is always increasing.



I worked at McDonald’s in high school. You could get a full meal – a burger, fries, and a drink – for $5 back then. I went on UberEats today and a Big Mac meal is $11. Simply living life costs more money every year than it did the year before. This is a reality of life, and you need to adjust and prepare for this ongoing, never-ending reality, instead of complaining about it.



Translation: You need to be improving just as quickly as (if not faster than) the cost of being human is increasing. If you are not doing this, you are losing, even if you don’t feel the effects of it yet tangibly. It will catch up to you.


Like the Pizza Hut workers in California.


Here’s what to do next: Join me in Work On Your Game University so you can ––



1) Have the mindset to know how things actually work in business so you ar mentally equipped to squeeze all the juice out of yours



2) Have a clear game plan for what we’ll do, wheen, where and how, with me assisting you



3) Install systems that produce consistent and duplicatable results



4) Have everyone and everything held accountable for producing results.



Go here: http://www.WorkOnYourGameUniversity.com

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