Amazon-Whole Foods Deal Is Bad News For Store Cashiers And The Fight For $15 Minimum Wage

(Photo by David Ryder/Getty Images)

The Amazon-Whole Foods understanding will have winners and losers. Among a winners will be consumers, as Amazon’s record and aloft services will yield some-more grocery options, saving them time and income during a same time.

Among a losers will be normal area stores, that won’t be means to contest with Amazon’s razor skinny handling margins – and smallest salary employees like cashiers, as Amazon’s record will make them condonable and speed  up a trend already underway in normal sell chains…and in a process, make a $15 smallest salary irrelevant.

While it’s still misleading how Amazon will re-organize Whole Foods, a video expelled on Amazon Go stores final year might yield a good hint—there will be no cashiers. They will all be transposed by technology, that monitors business entering a store, annals what they buy, and ensures that they are charged a suitable amount.

To be fair, a primary motorist behind Amazon’s new store judgment is to speed the shopping knowledge by cutting down the prolonged lines customarily celebrated in convenience stores, rather than slicing labor costs. And Amazon’s record might assistance revitalise Whole Foods, and enhance positions in other store areas like food credentials and store shelf stuffing.

Still, Amazon customarily operates during razor skinny margins, and slicing an worker or dual can make a disproportion between creation and losing money.

The difficulty is that other store bondage will also have to do divided with cashiers to keep adult with Amazon, accelerating and broadening a trend already underway in a sell industry. Wal-Mart and Target have been regulating record to reinstate labor that is customarily paid a smallest wage.

Amazon’s pierce comes as a authorization sequence like Amazon McDonald’s announced that it would be replacing cashiers with grouping kiosks. McDonald’s is  another association that operates during low margins; during slightest a franchises do, as a quick food marketplace is rarely competitive.

fast food marketplace is rarely competitive.

Source: 6/18/2017

That’s positively bad news for a quarrel for $15 smallest salary movement. In fact, a transformation might have helped Walmart, Target, Amazon, McDonald’s and a like to step adult a trend to replace workers, who are now some-more expensive than technology, that customarily becomes some-more fit and reduction dear over time.

But that’s a existence in rarely rival industries where record drives sales expansion and direct for better-paid labor.

While smallest salary mandates assistance low paid workers move home a aloft compensate in a brief term, they send these workers to a stagnation lines in a prolonged term, as companies reinstate labor with machines.

That’s how a good means turns into a bad one, an nauseous law for a quarrel for a $15 smallest wage.

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