Saturday, May 17, 2014

$15/hr Minimum Wage, and Automation

          So many of you may have heard, or read about the fast food workers push for higher minimum wages, and unionization.  Many reports have come out showing this movement as being pushed from unions, not by the workers themselves.  If your not up on these connections here are a few links to get you up to speed.

http://www.detroitnews.com/article/20140514/OPINION01/305140001

http://laborpains.org/2014/04/09/worker-committees-a-15-million-seiu-project/

        This as I stated when the push began, raising the minimum wage would lead to adoption of automation for many low wage service positions.  I envisioned fully automated fast food joints, with an AI tied into huge data bases allowing for greatly increased efficiency, and profit margins.  I could never have realized how fast this innovation would progress, so fast it's left me wondering.  Could it be that this is a push instigated by the fast food companies themselves, to lend legitimacy to automation of public sector service jobs.  When I look at the idea of greater automation one of the sticking points is the majority still believe people need jobs, while I agree people need to be productive, and contribute, that isn't the same as jobs.  This belief will lead people to protest more machines taking more jobs, unless their is a situation that can be used to justify the automation.  So what makes me see these connections, a few related articles.

http://www.cnet.com/news/mcdonalds-hires-7000-touch-screen-cashiers/

As you can see, cashiers are already obsolete, what has been keeping the change over at bay has been the cost benefit,  potential doubling of the cost of each cashier has for sure altered that equation.

So how about the back end? they will still need people to cook the food right?

Well, not so much

check out http://momentummachines.com/, if you are honest with yourself you can more then likely already see a fast food place with no visible employees.

while innovation and automation have been shown to create more jobs then they replace, these jobs are of a different skill set, with few if any of the current employees having the education to fill these positions.

I called this year to be when smart machines would make their presence known, this is a step in that direction


Jack
aka
PanseyBard

    

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