An $11,000 wage increase is ~$5/hr for a full time employee.
Starting pay at Startbucks is around $15/hr. They’re famously stingy with full-time though, so in reality it is quite a bit more than a 25% increase.
Honestly, I was expecting to find some glaring error in the logic on this but I don’t really see it.
The glaring error is this screenshot is listing an income figure that is comparable to the 2022 total revenues in the 2022 fiscal report.
https://www.macrotrends.net/stocks/charts/SBUX/starbucks/ebitda
It looks like Starbucks 2023 EBITDA was $7.3 Billion and the net income was $4.1 Billion.
The post makes a good point, but uses garbage data. Why do they do this? Although an $11,000 raise would elliminate the actual net earnings figure.
There it is. I kept finding investor reports claiming the same 25 bil number as the net profit, but that’s just goofy if their actual bottom-line was under 5.
And that $11,000 figure is now about 6x too big. Meaning we’re talking about a less than a dollar raise. Not to even mention ebida is STILL more than bottom-line profits.
From their press release website, $36 biliion consolidated net revenue reported at a 16% profit margin for fiscal year 2023 leaves $5.76 billion after every expense has been deducted.
It appears they’ve done ~$670MM of stock buybacks this year as well (after a ton of press coverage last year saying they were stopping stock buybacks), which would have been net income.
Yeah, this inflationary period shows that it has to do with profit-seeking and not monetary supply. We made the money printers go BRRRRR for a very long time with almost no inflation, then suddenly COVID and supply chain hiccups gave corporations an excuse to transfer more of society’s wealth to themselves by raising prices and not lowering them again afterwards.
Can’t expect change when all we elect are wealthy people who care more about their stock portfolios than their constituents.
Yup. It’s pure insanity that most of Congress is made up of lawyers & businesspeople.
Inflation quadrupled from 2020 to 2021 and then almost doubled again from 2021 to 2022.
It’s not (just) because they’re greedy that they don’t lower them back down, it’s because they’d go out of business. One 2024 dollar was 83 cents in 2019, that’s way more than the net profit margin for most retail.
Greed is a constant, they’re not any more greedy now than they were before covid.
B-b-but I was told that paying employees more would cause inflation!
I’m pretty sure the last couple of years has been mass rich fuck retaliation for pushing some fast food workers wages to $15/hr.
This is garbage data. Learn the difference between revenue, gross profit, and net profit.
Ok. $36 biliion consolidated net revenue reported at a 16% profit margin for fiscal year 2023 still leaves $5.76 billion in money that went somewhere after everyone was paid, taxes were avoided paid and all approved expenses were handled.
Edit: adding source https://investor.starbucks.com/press-releases/financial-releases/press-release-details/2023/Starbucks-Reports-Q4-and-Full-Year-Fiscal-2023-Results/default.aspx
All together it’s $528.773 billion! That’s $66 for each and every single person on the planet!
What even the fuck.
Obviously it’s not going to go far if you’re spending it at Culver’s, but for some people out there it’d be a big deal.
