Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
He's not to blame. Why would you even think that? And yeah, I've heard the "just move" thing before. It's cool for some folks, but some folks just can't afford it, got family in the area, etc. It's a great theory, but in reality, it doesn't play well.
I saw this same thing when I lived in Seattle. (Which recently had the same "raise" thing happen.)
Seattle used to be fairly cheap, then the Californians sold their housing and moved to Seattle. They overpaid for housing and housing prices shot to the MILLIONS. Then they hated the place because it rains all the time, and went back to California. But the home prices stayed retarded. So now, there are two classes of people there. Those that can afford it, and those that can't.
The last time I checked, the poverty level for subsidized housing in Seattle was 46K a year. Yeah, under that you are just some POOR schmoe.
Maybe you are right. She should just move. Start over. Yeah. That's so simple. Especially with the kid.
You havent responded to one thing I said, you only went on to moan again about high cost of real estate.
People move all the time decause of cost of living, even the poor... Often times they get priced out of neighborhoods where they have owned homes for decades when neighborhoods turn around..
However, we'll probably still get the standard crowd in here arguing that the closing wasn't related to the workers getting raises, that the business was poorly run (although shutting down the portion of the business that is losing money is a perfectly sound business decision), or some other fallacious reasoning as to why someone else is to blame rather than the workers who arranged to get themselves fired.
Quote:
Originally Posted by Grsz11
Do people not understand correlation versus causation? According to the article, the restaurant had never been profitable. Is there some additional information you can show that links the wage increase with the closing?
Ta da. It didn't even take that long for this false argument to show up.
Read the article again. The restaurant wasn't making a profit, but the workers still decided that their pay should be doubled. The restaurant attempted to offset this massive increase in outlay by raising their prices. Now, what happens when a restaurant raises its prices while the prices of the neighboring restaurants remain the same? Well, unless either the food or the service is exceptional, people stop dining there. Not all people - unless the price increase is drastic - but enough to affect the bottom line.
Go hang out with any group of waitstaff whose pay is determined by a low hourly wage + tips. Ask them what their motivation for giving exceptional service is. I'm willing to bet that the majority of them will say "tips". But guess what? They doubled their pay, which takes away the incentive for chasing those tips. What are the chances that the quality of service went up after the pay increase? As anyone who has worked in food service can tell you, pretty slim. If the restaurant was already losing money, it's a pretty easy inference that the food quality wasn't all that fantastic to begin with either.
So, poor food quality + no incentive for the wait staff to be exceptional = restaurant closes. No matter what kind of spin the owners and/or the press try to put on the story, the simple fact of the matter is that asking for your wages to be doubled while working at an establishment that is operating on slim or no profit margins is tantamount to asking to be unemployed. Be careful what you wish for, because you just might get it - with a bonus.
Restaurants at casinos routinely dont make a lot of profit. They are loss leaders to entertain the guests who are there gambling, in order to keep them from leaving..
At some point, the cost no longer justifies the expense.
Ozone Park is not a tourist destination. People don't have to eat at the casino, given it is located within 10 miles of 6 million people. The buffet did not work. Genting Group will replace it with something else that has a broader appeal to the masses.
I used to live in NJ. The GSP was chock full of chartered buses each morning bringing masses of retired folk, from the tri state area, to Atlantic City. Many parked themselves at a slot machine and brown bagged it, not exactly the image the casino sought to create. Nonetheless, the real money is being made off the slots, not food. No doubt, the Ozone Park casino is more convenient for many and some of the brown baggers likely diverted to the casino closer to home.
This casino has a food court with many popular fast food outlets and 2 upscale restaurants.
Location: Georgia, on the Florida line, right above Tallahassee
10,471 posts, read 15,910,149 times
Reputation: 6438
Quote:
Originally Posted by pghquest
You havent responded to one thing I said, you only went on to moan again about high cost of real estate.
People move all the time decause of cost of living, even the poor... Often times they get priced out of neighborhoods where they have owned homes for decades when neighborhoods turn around..
That happened in Seattle, too. Let me see if I can find that link. As for
Kerri Lyon, a Genting Group spokeswoman, said that there was no connection between the new contracts and the price increase, and that the restaurant had lost money since it opened.
You know, if you read the story, it's like the group, which is based out of Malaysia, agreed with the higher pay, because they didn't want to show their books, and then dumped these people later because the restaurant wasn't being profitable. It's not because they couldn't afford it. They already said they could.
At least, not according to the article that was linked. Hey, OP, got any article where they say that it's linked?
Oh yeah, you asked who pays for it. That would be the company. The company would pay for it.
That's how things work. You work, you get paid.
Resorts World boasts that the giant slot parlor attracts 35,000 visitors a day and more than 12 million a year. It posted revenues of $696.5 million in the year ended in March, 38 percent of the $1.8 billion in combined revenues for all nine casinos in the state.
The electronic slot machines at Resorts World averaged $432 a day last month, far more than slot machines in Las Vegas, Atlantic City or Connecticut.
It is unfortunate that people learned the hard way, that artificially imposed wage levels are often not sustainable. It is doubly bad for the servers, who, no doubt, were getting large tips all along, and not relying on simply the paycheck wage rate.
It's just laughable that the one former employee said she thought they were "being greedy." Yeah, greedily losing money, I guess!
Ask anyone that is self employed and has to look for work daily.
As one who has been self employed for over 20 years now, I know this is true. One cannot simply ask for whatever one wants. The market determines the value of work.
Kerri Lyon, a Genting Group spokeswoman, said that there was no connection between the new contracts and the price increase, and that the restaurant had lost money since it opened.
You know, if you read the story, it's like the group, which is based out of Malaysia, agreed with the higher pay, because they didn't want to show their books, and then dumped these people later because the restaurant wasn't being profitable. It's not because they couldn't afford it. They already said they could.
At least, not according to the article that was linked. Hey, OP, got any article where they say that it's linked?
Oh yeah, you asked who pays for it. That would be the company. The company would pay for it.
That's how things work. You work, you get paid.
Resorts World boasts that the giant slot parlor attracts 35,000 visitors a day and more than 12 million a year. It posted revenues of $696.5 million in the year ended in March, 38 percent of the $1.8 billion in combined revenues for all nine casinos in the state.
The electronic slot machines at Resorts World averaged $432 a day last month, far more than slot machines in Las Vegas, Atlantic City or Connecticut.
Because we all know that a company isn't going to fudge the facts if those facts may cause bad publicity.
What do you think would have happened if the company had made a statement flat-out blaming the closure of the restaurant on the fact that their salary outlay doubled? Do you think they would have gotten good publicity from a media that is pushing for raising the minimum wage? Is it just barely possible in your mind that the company is engaging in public relations by trying to avoid telling their 175 laid off workers that they were idiots? Or do you actually, honestly believe that the doubling of those workers' salaries had nothing to do with the company making a decision to cut their losses?
If you believe that the doubling of the salaries had nothing to do with this closure, then you have never run a business of any sort, nor have you ever bothered to learn about economics, and are probably living well beyond your means on debt that you'll never manage to pay off.
Tablets may start replacing waiters and waitresses at Applebees and other restaurants. These tablets would probably screw up the order less and you wouldn't have to wait around 10 minutes to pay for the meal either -- as each tablet has a credit card swipe.
People forget that businesses exist to turn a profit. A restaurant providing quality food at cheap prices is just one way to help make a profit. If a restaurant is forced to pay more for labor - they will look to decrease labor costs in other ways like replacing staff with tablets...a profit will be made or the place will close down.
This is no surprise. When employees think they are worth more than the "service" they are willing to perform, they will be eliminated.
The wage increase made it even less profitable which appears to be the straw that broke the camel's back.
Whiny liberals will be coming in to blame corporate greed in 3......2...1..
Whiny liberals don't think anyone needs to make a profit. It's all greed.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
