Building robot McDonald's staff 'cheaper' than hiring workers on minimum wage
10:18, 25 May 2016 Updated 14:20, 25 May 2016 By Jessica Haworth
The worrying forecast could threaten jobs at the fast food franchise, a former CEO of the company warns
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A former McDonald's CEO warned that robots will take over staff jobs at the fast food empire - because it's cheaper than employing humans.
Ed Rensi has said that buying highly skilled robotics is a cheaper alternative than employing people on minimum wage to work in the company's worldwide restaurants.
He warned that huge job losses are imminent, and commented that it would be 'common sense' to replace humans in the workplace.
This comes as a study into the future of human employment has predicted a surge in machine-led work such as robotic counsellors, body part makers and virtual lawyers.
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A battery-powered robot serves dishes up to 8 hour a day in a restaurant in Shenyang, capital of northeast China's Liaoning Province
The worrying research, by professor of management practice at London Business School, Lynda Gratton, and futurologist David A. Smith, suggests that humans will be replaced because robots are able to produce better results.
Prof Gratton said: "Studies have suggested that a third of jobs in Europe will be replaced by technology over the next two decades."
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If the recent comments are to be believed, McDonald's staff could face the same fate.
Former CEO Ed Rensi said: "I was at the National Restaurant Show yesterday and if you look at the robotic devices that are coming into the restaurant industry.
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A robot carries meals during the World Robot Exhibition 2015
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"It’s cheaper to buy a $35,000 (£24,000) robotic arm than it is to hire an employee who’s inefficient making $15 (£10.20) an hour bagging French fries.
"It's nonsense and it’s very destructive and it’s inflationary and it’s going to cause a job loss across this country like you’re not going to believe."
He told FOX: "It’s not just going to be in the fast food business. Franchising is the best business model in the United States.
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A "male" robot waiter delivers meals for customers at robot-themed restaurant in Yiwu, Zhejiang, China
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"It’s dependent on people that have low job skills that have to grow. Well if you can’t get people a reasonable wage, you’re going to get machines to do the work.
"It’s just common sense. It’s going to happen whether you like it or not. And the more you push this it’s going to happen faster."
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A robot delivers food on a hospital ward
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Demonstrators demanding an increase in the minimum wage protest in front of a McDonald's restaurant in Chicago
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A demonstration for workers' rights
Prof Gratton added: "As middle-skilled roles disappear, workers may find that the 'rung' above them no longer exists, and that the career ladder may begin to look more like a career web.
"The ultimate implication is that workers cannot now expect to gain seniority by moving 'up', but rather moving sideways by gaining additional complex skills." |
