Posted on Aug 26, 2022
A Chipotle restaurant in Michigan becomes the first in the chain to unionize
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If I were the franchise owner I would just shut down the location. Unions have a place but not at a franchise where corporate sets pricing and supplies all the components of whatever you sell. In this case the owner does not have the ability to raise prices, or change to cheaper suppliers to offset increased labor costs.
By the way a Chipotle Franchise costs between $125 and $150K to open.
By the way a Chipotle Franchise costs between $125 and $150K to open.
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I spent much of my life working in a business where most of it was non union. Eventually I moved to the Chicago area and for the first time had to deal with a union. It was an interesting experience and surprising as well. What I discovered was that in the non union world I had been working in, we started people out at a higher wage than under the union contract. The benefits were also not as good. We gave 5 days for funerals in the non union world but the union contract called for 3 days as an example. Whereas the benefits in the non union world were better, it was the members of the union who had to pay their dues to get less.
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