Restaurant owner realizes he lost all his employees not due to unemployment aid, but poaching

[ck4829]

A taco restaurant in Texas closed down after being left with just three kitchen workers, its owner told Insider.

Paul Horton, the owner of Taco Crush in McKinney, about 30 miles north of Dallas, said that larger companies had poached some of his staff by offering much higher wages, or benefits.

"I know we lost half a dozen that were offered an extra $5,000 a year to go somewhere else," he said.

"Or even just benefits - being a small, independent business, I can't compete with wages on bigger companies, let alone offer them any kind of benefits," he added. He didn't name the bigger companies that he said poached his staff. When asked what he paid staff, Horton said it was a "reasonable wage," without elaborating.

https://www.yahoo.com/news/owner-texas-taco-restaurant-closed-074012759.html

"Nobody wants to work anymore"
"... for you"

[liberalmuse]

1. Can't pay staff a living wage?

Don’t open a business or be your own staff until you can. People whining because other businesses are willing to provide benefits and actually pay more than bottom of the barrel wages need to sit down.

[Happy Hoosier]

8. EXACTLY! NT

[jimfields33]

9. It's a great lesson for these businesses

This guy learned the hard way. Now most will close and the workers will be better off. Good riddance to greedy business owners. I hope more close until businesses get the rude awakening this country needs. Good news story this morning. Best of luck to the employees who told him to take this job and shove it.

[soldierant]

125. Except that he didn't learn.

Not if he's still claiming the wages he was paying were "reasonable."

[MissMillie]

13. Yes... and no

I'm not quite ready to let go of all small business, and let the big companies (chain restaurants, etc) take over.

This is where a new tax code is needed. Big businesses that make more money need to be taxed more, and small businesses who DO provide a living wage and benefits should be given the tax breaks.

(although I imagine there becomes an issue of franchising.. which I fully admit I know very little about the profit structure)

[Merlot]

45. Agreed. If he's implying that bigger chain stores took his employees

then yes, that's an issue that needs to be addressed.

This is where a new tax code is needed. Big businesses that make more money need to be taxed more, and small businesses who DO provide a living wage and benefits should be given the tax breaks.

Also applies to evictions - there needs to be a distinction between large corporations who own multi-unit buildings and small owners with a couple units and mortgage who depend on the income.

[Demsrule86]

127. When folks talk about supporting small business...Mom and Pop...I always think back to my days

working my way through school...Mom and Pop were awful...they paid less than bigger companies, didn't always produce checks on payday, and were often quite nasty to deal with. I have never understood why a guy with a business thinks people should work for nothing so he can have money but his employees don't...my sis works for a guy like that now...another local company whose bright idea was that he would only pay them when there was work...no more weekly pay...they all found better jobs. And he is still whining about it...the replacements were not half as good ...serves him right. If you pay a shitty wage and don't offer benefits then you don't belong in business IMHO.

[IronLionZion]

26. They're claiming it's the size advantage

larger businesses have economies of scale that allows them to pay more than smaller businesses.

This is one of many reasons why benefits like health insurance should be independent from employment. Single payer would be great at leveling the playing field.

[Red Mountain]

119. Agreed

Health insurance aside.....and the situation we have now is a mess.....I think a lot of people would prefer to work for non-corporate businesses.

I can't help but think that's where future innovation lies.

[scarytomcat]

30. if you can't pay a fair wage you shouldn't have a business

raise your prices or serve smaller portions but pay the workers

[jaxexpat]

61. There are way too many business owners who believe that's the way to run a business.

Starve your employees. Pay just enough that some will stay. The only way they can sleep at night or maintain their place in the church pew hierarchy is to tell themselves "it's the American way", placing themselves on a pedestal and throwing hate at anyone who calls out their immorality. These days they do so with more fervor than ever because this lie is coming home to roost. Every unemployed person is another nail in the coffin of their "business plan".

Our society lives in the shadow of a common unspoken dread:
That, like South Park's pee tipping point at the water park, our under-employed, unemployed, our homeless will soon present an irrecoverable drag on our economy. The invisible will "suddenly" show up everywhere. No place to hide, even in gated communities. And that there will be no solution which avoids universal suffering and uncertainty. That national mood is what's made selling fear so easy for the GOP.

[LakeArenal]

54. The real shame is even $15/hr is not a living wage.

[BannonsLiver]

97. Depends on where the person lives

There are large swaths of flyover country where $31,500 ($15 an hour) is okay for a single person, but not a family of 4. I think it’s important to remember that everyone doesn’t live in Manhattan, the Bay Area or the greater Los Angeles metropolitan area.

[Demsrule86]

128. No $15.00 an hour is not a living wage even in Ohio anymore...but it is better than less and with

two people working...you can make it. Also, our jobs are often manufacturing-oriented which means overtime at time and a half and usually double on Sunday.

[albacore]

84. These guys would be a lot more competitive if we had national health care...nt

[Mr.Bill]

109. You are correct.

But even without that, a small business usually has access to a trade organization or franchisor that offers group health insurance at a price competitive to what large companies pay. I had this type of insurance almost my entire working life.

[Demsrule86]

129. Sure but it won't happen anytime soon.

And I have serious reservations about a possible Republican government being in charge of health care.

[RicROC]

141. if the US had national healthcare........

this might be THE key for having Dems winning more elections.


I have a good friend whose company is owned by 'Christians' in Oklahoma, who cover his health insurance with Blue Cross of Oklahoma. Problem is, he lives in the Northeast and for him, every medical office and procedure is 'out of network' because he does not live in Oklahoma

It's not any true company benefit for him. He has better coverage if he buys local Northeast insurance but he pays dearly for it out of pocket.
Would it be too much to ask for those 'Christians' to do the Christian thing and give him coverage he could really use?

[BannonsLiver]

92. What's a livable wage?

I’ve yet to ever see that determined on DU. I Have seen people say $50-60 an hr is ideal for nonsalaried jobs in grocery stores and fast food. Have also seen people say in some parts of the country that’s not enough. There doesn’t seem to be a consensus.

[Mr.Bill]

110. There's no consensus because it varies

so much by location.

[Elessar Zappa]

113. Depends.

$15/hr is probably ok if you’re single and live in the rural South whereas in Manhattan or San Francisco you’d probably need to make at least $30/hr.

[LastLiberal in PalmSprings]

139. Dan Price, CEO of Gravity, established $70,000/yr as his company's minimum wage.

Despite predictions of every conservative pundit that this "socialist" move would bankrupt the company, it has tripled its revenue. One self-proclaimed "expert" predicted that the company's failure would be a case study at Harvard Business School.

Price said he made the decision after hearing an employee talking about the second job he had to work just to make ends meet. He reduced his multi-million dollar salary to $70,000, downsized his life and gave the balance to his employees.

Harvard Business School is going to use Price's company's success as a case study.

[BannonsLiver]

148. Very difficult for a small family owned restaurant to pay staff $70k a year.

[ProfessorGAC]

150. His Profit Margin Went Up, Too

So, profits increased by even more than revenue.
And, his customer retention is 92%, in an industry where the average is 68%.
The biggest reason? Productivity skyrocketed. That makes customers happy because this vendor is more efficient & responsive.
He took a huge salary cut personally. (A million to the same 70 grand). But, as majority owner that bump in profits way more than makes up for it.
And, he's paying down debt which increases long term cash flow for growth & positions his company as a low risk borrower should leverage be needed.
Business pundits predicted his doom, but he's laughing all the way to the bank.

[3Hotdogs]

126. It was about 5 years ago. Juice business opened in our town and posted Help wanted in the local

website. Offered to let you work for two weeks, FREE. If it worked out for you and the owner, you would be hired.

I responded that the offer was a violation of the N.J. labor laws.

The business lasted about 4 months before closing.

[TheRealNorth]

2. But but, it's only the "Free Market" when it works for me....

[rickyhall]

18. But you're right. If you can't make your overhead, including labor, you can't stay in business.

[niyad]

3. I would hazard a guess that "reasonable wage", as defined by him, and "living, thriving

wage", are not in the same zip code.

[Diamond_Dog]

4. No benefits?

He offers no benefits at all and he wonders why people won’t work there? DUH

[c-rational]

44. +1

[GemDigger]

60. Our local walmart is now starting at a whopping $20.80.

I think they are starting to get the picture.

[TexasBushwhacker]

120. But for how many hours per week?

Only 1/3 of Walmart hourly workers are full time (30 or more hours per week). The average full time hourly worker only gets scheduled 34 hours per week. The devil is in the details.

[Rabrrrrrr]

73. I'm sure he's perfectly willing to give them the benefit of helping fill out their SNAP application

and providing the documentation they need that proves h̶o̶w̶ ̶p̶o̶o̶r̶l̶y̶ ̶h̶e̶'̶s̶ ̶p̶a̶y̶i̶n̶g̶ ̶t̶h̶e̶m̶ ̶w̶h̶i̶l̶e̶ ̶h̶e̶ ̶e̶n̶r̶i̶c̶h̶e̶s̶ ̶h̶i̶m̶s̶e̶l̶f their eligibility.

[radicalleft]

5. Economies of scale at work

Same as Walmart driving out mom and pop stores

[ck4829]

7. I think if we want to preserve mom-and-pop stores, then we should be arguing for UBI

I work at a non-profit, it's a calling to me.

Working at a mom-and-pop store should also be considered a calling.

Work may not be steady and one may not have benefits, it can be supplemented through UBI.

[Demsrule86]

130. No, these people are in it to make money. I have no desire to support a Mom and Pop business.

Often such folks live very well while their employees starve.

[MissMillie]

17. Bingo!

I believe I just said this a few posts up.

Mom & Pop are limited as to what they can pay in wages/benefits because Mom & Pop actually pay income tax--a considerably higher income tax (as a percentage of profits) than Walmart does.

The big companies need to start paying taxes.

And there should be tax INCENTIVES for small businesses to pay a living wage and offer benefits. (They don't get the tax breaks up-front. They have to show that what they receive in tax cuts is truly part of a "trickle-down" business model.)

[Wingus Dingus]

50. Yes, small businesses aren't on a level playing field.

They usually pay less, and your reward for working for them is usually flexibility and understanding in terms of scheduling or getting time off to pick up your kid at school, etc.--having worked at such places when I was young.

[BannonsLiver]

88. A lot of people in the thread cheering that on

Weird times.

[radicalleft]

91. Agreed...

I have no pity for the franchises and the like, but the mom and pop stores just can't compete.

Ex.

Mega corp can sell cheeseburger for $2 (cost of $1.75), but when they sell millions, they make huge profits, whereas M&P burger joint only sells 100 per day, they just don't make enough...

[BannonsLiver]

96. Yeah I don't expect

Small mom and pop businesses to pay mostly pt workers $75,000 a year to wait tables while providing a full suite of top of the line benefits, as some here (who apparently don’t get out much) would endorse.

[MoonlitKnight]

6. The anti-immigration sentiment has a lot to do with this too

It’s probably a bigger factor that isn’t getting much discussion.

[LeftInTX]

40. Exactly, but I checked him out and his place is gourmet tacos

So it seems to be a "white business"

But most taco places are run by immigrants and they hire family and friends and pay minimum wage at the most. Many times the staff does not speak English. They cater to locals. Most of their staff probably could not get jobs at a larger chain.

[MineralMan]

10. Poor baby...

Won't pay his workers enough, so they find jobs elsewhere. What a pity.

Recalculate, Mr. Horton. Figure out your pricing, wages, etc.

Can't make the numbers work out? Maybe you need to be looking for a job yourself?

[Johnny2X2X]

11. The morals of a lot of these small business owners are awful

They do not value their workers, they do not believe their workers deserve a dignified living.

What kind of awful person sees people who work for them and are the reason they themselves can earn a living and thinks its OK that those people live in squalor, that those people can barely afford to feed themselves, barely afford to clothe their children? That those people don't deserve dignity, that their children don't deserve a life with some hope?

Nobody wants to work for peanuts anymore when they can find a job at Costco or Amazon for $18 an hour that pays vacation and benefits. This is the free market at work, workers have some leverage for the first time in generations right now. "reasonable wage" to him obviously isn't reasonable to his workers.

This business owner doesn't value others, doesn't value the worth of others, and doesn't properly value what he himself receives from the labor of others. Restaurant work is very hard work. Line cook is hell during lunch and dinner rush. If you're not paying a living wage, you aren't going to find people willing to do that work. Get your act together and figure out how to run a business successfully while paying dignified wages.

[Coventina]

23. My sister found this out personally, when she went to work for a friend's restaurant

She became a waiter at his privately owned restaurant for approximately $3 an hour + tips.

This was in 2018.

He felt like he was doing her a favor.

He takes 3-4 week long vacations a year. Give his staff no time off, no medical, etc.

She quit as soon as possible and it almost ruined their friendship.

[Johnny2X2X]

28. My wife

My wife worked for a family business, a garden center that also had landscaping crews. Just awful people who perfected the art of paying the bare minimum while getting rich.

They'd throw a Christmas party every year, and one year, the patriarch of the family, Archie, gave a speech that revealed his mentality in a nutshell. He said, "because of me your children have shoes on their feet." He went on and on about how what he made is the reason his workers can survive. It was disgusting. Didn't get the chance to, but I wanted to say to him that he's wrong, he's not the reason his workers have shoes on their feet, his workers are the reason he has shoes on his own feet.

This is a family whose grand parents started a business they inherited. They were struggling until an interstate was built right next to their garden center and they were able to sell hundreds of acres of their land to the state for the interstate. They pay the least amount possible with little to no benefits. No one makes a dignified salary for them unless they're family. The family, they live like kings, they've perfected a system of taking money from the business so they can all live in big lake houses while their ever revolving door of employees work their fingers to the bone for them. They fire people who get injured on the job. They fire people who miss days sick. They cheat people out of their vacation time and they rarely deliver on promises of raises.

Huge Trumpers, awful people who are convinced that they are great people and the salt of the earth. Too many business owners look at their businesses as a guarantee to be rich, when that requires them to crap all over their employees. I hope this recent shift in balance puts them out of business. Workers deserve dignity, glad to see that becoming a reality for more and more under Biden.

[LeftInTX]

57. A garden center???

Damn...most of those places struggle...They really do.

We've had lots of them go out of business here starting in 2008. We have a good one near my house. I know the owners probably have some money because, they also owned a chain of Tru Value Hardware stores. The Tru Values went out of business. They own two garden centers and the one near my house has had the same employees for 20 years. My son did some volunteer "work" for them when he was under 16. (It was more of a learning experience than work, if you know what I mean..He learned how to take care of plants etc)

[SWBTATTReg]

80. Some friendship, eh? Thank goodness she saw the light and got out quickly, after realizing...

she was being taken advantage of by him...slave driver.

[kirkuchiyo]

27. The owner at my previous job said...

...he viewed employees as tools, same as a hammer or a drill. Nothing more, nothing less, just overhead to be gotten as cheaply as possible. Funnily enough all the good people left (we are all still close friends) and they can't get any decent help...

[Demsrule86]

131. +1000

[SallyHemmings]

12. I'm sure the poacher

will respect his worth and offer him a job. He too may get a bonus for his expertise.

[70sEraVet]

14. I get that small employers can't afford to provide benefits.

They should all be clamoring for Medicare-for-all! It would level the playing field, and Americans would be healthier.

[MissMillie]

25. I'm tired of the "Medicare for All" argument

I'm sorry, I know that for a lot of people it's a step in the right direction. BUT IT IS NOT ENOUGH!

Two adults in my household. One of Medicare at a cost of $160/month. The other completely uninsured.

The $160/month makes things incredibly tight for us--pinching pennies/food bank/Go-Fund-Me-when-something-breaks-down tight for us. Making Medicare available to the other person isn't going to help us AT ALL. We don't have the $160/month for it.

If we had that Medicare premium in our pockets every month, we could participate in the economy. We could actually buy some new clothes when we need them, or replace the roof (desperately needed), or put a new exhaust on my 14 year-old car.

The same is true for every working-class household. And when the working class has money to spend, they spend it--which creates jobs.

Not to mention--

HEALTH CARE IS A HUMAN RIGHT!!!!!

[70sEraVet]

35. I'm on Medicare, and I agree with you - its not enough.

But it can be improved. We don't HAVE to have a Medicare program with high premiums, and seniors on Medicare shouldn't have to worry that they will face bankruptcy if they have an expensive surgery with a long hospital stay.
But Medicare is POPULAR! Insurance companies shout "Socialism" to scare people. But people trust Medicare. I think its the only way to provide healthcare for all Americans.

[Elessar Zappa]

36. We need Medicaid for All.

I was on Medicaid and most services and drugs were free. Medicare is too expensive.

[MissMillie]

41. Well, besides the monthly premium

We're still shelling out for deductibles, prescription co-pays, eye care, and dental.

I'm going to repeat--health care is a human right.

Universal health care for all is what is needed.

And I don't believe for one minute that the country can't afford it. $300 million/day in Afghanistan for 20 years while the tax rates on the richest people in the country were consistently cut (to the point where some of the richest pay NOTHING and all their tax cuts went towards stock-repurchasing to make themselves even richer).

This country has the money.

[Elessar Zappa]

42. We can afford it.

But there has to be political will.

[MissMillie]

47. LOL... we got out of Afghanistan and INCREASED the DoD budget

our priorities are screwed up

[MissMillie]

55. The benefit of the increase goes to the military contractors

and their stockholders.

All of whom contribute to political campaigns.


It's a vicious cycle.

[GoneOffShore]

75. Indeed - healthcare is a human right and many countries get that.

The US? Not so much.

[Voltaire2]

142. Medicare for all legislation abolishes

all premiums copays and deductibles.

[MissMillie]

145. I wasn't aware of that

I thought it just meant that everyone was eligible for the current Medicare program (which at the moment is woefully inadequate for our household).

[Voltaire2]

149. We can't even get Democrats to agree on

expanding the current Medicare to cover dental and vision and to replace the massively awful prescription part D. So my hopes for a comprehensive universal system are minimal. But we can dream.

[Demsrule86]

132. No then they shouldn't be in business.

[dsc]

15. The benefit point isn't unfair

the same benefits cost considerably more when provided by a smaller company. This is especially true of health insurance.

[Elessar Zappa]

20. It always baffles me

that small business and corporation alike don’t seriously lobby for government single payer healthcare. It would save them a ton of money.

[70sEraVet]

38. I agree. Even large corporations would benefit.

Right now, American companies face a disadvantage; they have to provide health insurance, while companies overseas don't have to worry about it.

[MissMillie]

48. +1 (n/t)

.

[Xolodno]

79. Many large corporations...

...actually do want single payer. They have to have their HR teams to negotiate and do a ton of paperwork every time renewal comes up. Its a huge cost.

[Demsrule86]

133. The ACA has helped with this...small companies can take advanage of it if they choose too.

So no benefits are the cost of doing business or they could pay a tax for their people to use an ACA plan.

[Horse with no Name]

138. Texas didn't expand Medicaid

There are very few providers that accept the ACA in Texas to the point that it isn’t really a benefit unfortunately.

[edhopper]

16. Larger issue

Why do they not have benefits, because so many of these small business owners oppose the social safety net needed to give everyone the benefits they need. Because "Taxes". Here is a clue, Universal Healthcare means you don't have to worry about providing it.
Keep voting Republican all you small business owners, you are voting yourself out of business.

[MissMillie]

19. +1

Universal health care would also remove that "benefit" from employment negotiations (either by unions or individuals), so bargaining on wages and sick leave would not be held hostage to whatever happens to a deal on health care.

[edhopper]

21. I am always amazed

at how many working people oppose UHC. They have bought into the propaganda and suffer because of it.

[Mr.Bill]

115. The downside would be Unions

could no longer tell their members they were the reason they have health insurance.

[JT45242]

22. "reasonable wage" equals 50 cents more than minimum wage

I am just guessing -- but these guys offer just above minimum wage to say 'i am a generous' employer.

Zero sympathy as I have worked for a bunch of his type over the years

[BannonsLiver]

89. I'm not sure

There are posters here who have claimed in the past threads $75 an hour is not a livable wage. In reality I suspect that we’d never reach a consensus on what is a livable wage. I do think there is a solid understanding of what’s not livable, however.

[ret5hd]

107. Maybe someday you'll get over the trauma.

[Mr.Bill]

116. Or, as Chris Rock says,

being paid minimum wage is like your boss telling you "I'd like to pay you less, but I can't because it's against the law".

[durablend]

24. "Why won't people work for my shitty wages?!?!?"

"DAMN LAZY FREELOADERS!!!!!!"

[Demsrule86]

134. Here in Ohio, companies before the pandemic who were paying terrible wage like 10 bucks and hour

now start folks at 18-20...and my husband's boss said they do better this way less turnover. Hubs got a raise and promotion yesterday. Only been there going on four weeks.

[ProfessorGAC]

151. Better Pay Generally Boosts Productivity, Too

But, many small business owners aren't strategic thinkers.
They don't understand what productivity gains provide so the idea that raising pay actually gets at least as much financial benefit as the delta in pay escapes them.

[Demsrule86]

152. I agree. And many have been living pretty good on the backs of their workers...times up folks.

[James48]

29. You know who will willingly work

For low wages?

Haitian refugees fleeing a earthquake. They’ll come work for you.

[Escurumbele]

31. I am not a small business owner but, maybe this demands some analysis before trying to throw

any owner of a small business under the bus for "not paying a living wage" to his/her employees.

I know for a fact that "Worker's Comp" insurance is very expensive, my nephew has a small business and it really hurt his bottom line to get what, by law, he had to get. He pays his employees well by the way, they get an hourly pay plus a percent of the sale, he has very little turn over.

I do believe Congress needs to look at small businesses to find out how to make things more balanced. It is not a mystery that corporations have the money to pay benefits, and other perks small businesses cannot afford. Small Businesses success is very important for a healthy middle class.

So instead of thrashing small business owners, there has to be a thorough analysis on how to help small business owners provide for their workers a living wage.

[PaulRevere08]

59. Universal heath care would be a HUGE boost to small companies.

[Escurumbele]

64. 100% with you. Free education as well.

[TexasTowelie]

63. The restaurant is in McKinney, Texas.

It's an upper-middle class suburb north of Dallas. A livable wage there is at least $15 an hour and probably closer to $20 an hour.

By the way, Texas does not mandate that employers have workers compensation insurance. About one-third of employers in Texas do not carry workers comp. I doubt that this tightwad employer even considered WC insurance since it isn't mandatory. Also, the premium for WC insurance is directly tied to the wages they pay--if they keep the payroll low, then it decreases the premium for the WC policy. Similar arguments also apply to Social Security and Medicare taxes since those are taxed at a flat rate for anything less than a six-figure income.

[Escurumbele]

74. I used "Workers Comp" insurance as an example, so lets put that one aside and talk about health

insurance.

I am not sure how much money that restaurant makes, and maybe he makes enough money to cover insurance for all his workers, but health insurance for small businesses is also very hard to get, the costs are very high and the fact that you have to pay a share for each employee makes it even harder.

That is why the suggestion of universal healthcare is paramount to help small businesses and people thrive.

Congress needs to create a committee to analyze the current small business situation, to come up with solutions, and pass bills that will help small business compete with the big guys. Everyone talks about the wonder of capitalism where those who work hard and compete can get ahead, but the big guys are always making things hard for the little guys, that has to change. That is why a "Social/Democratic" (progressive) system is the best, it releases people from dealing with what should be part of the citizens benefits, like health, education, etc.

[Lonestarblue]

76. The median income in McKinney in 2019 was close to $90,000 a year.

McKinney is wealthy enough that they built a high school football stadium for more than $70 million if I recall correctly. I suspect this guy just wanted to keep paying workers a few dollare per hour plus tips.

[TexasTowelie]

98. I knew that McKinney is one of the wealthier suburbs, but I didn't recall what the median income is.

You're correct about the $70 million football stadium.

Obviously, the businessowner should be considered as "less than successful" since he doesn't understand how the market forces affect his business. The margins in the restaurant business are already tight for those who know what they are doing. For someone that is clueless, they better have six-figure reserve because it will take that long for them to learn the ropes just to break even. This business couldn't handle the trifecta of factors affecting it--a tight labor pool, food inflation, and a reduced customer base. It also doesn't help that he is in a highly competitive market.

[Mosby]

81. The WC policy I had with Travellers

The premium was based on the number of employees. Wages had nothing to do with it.

Businesses also pay into unemployment insurance, the gees are based on the number of employees and a UI rating based on the number of terminations w/out cause over some time frame.

[TexasTowelie]

103. I worked with the Texas Department of Insurance and started out by coding statistical data

on the individual policy risk reported by insurers. Premiums are calculated by obtaining the amount of payroll for each worker class code and multiplying it by the rate promulgated for each class code. The amount of premium determined for each class code is totaled and then is subject to other adjustments such as experience modification and premium discounts that begin at a certain percentage. The premium discount increases as the size of the policy increases. For very small policies, there is a minimum rate that is charged. I even attended a few of the hearings when rates were recalculated.

When I worked with a private insurance company, I filed aggregate financial information with NCCI and about 11 states that had independent bureaus. When the insurance company decided to liquidate it reached a point where the only state where we wrote business was in California since that was where the company was domiciled. There was a point that we were spending nearly a million dollars per year to keep the mainframe computer running and the only use remaining was to determine premiums for WC policies. I was drafted to create a new rating engine to calculate premiums on a desktop application so that we could alleviate that million dollar expense.

The only class codes that I saw that based premium upon the number of employees were related to aviation coverage for corporate jets. In those cases a flat rate is charged for each seat.

After 25 years of experience in the insurance industry, I feel quite comfortable stating that the amount of payroll (wages paid) does determine the premium paid. As a matter of fact, I used to see disciplinary actions and investigations done by the California Department of Insurance where employers underreported their payroll in order to decrease their premiums and were fined accordingly for the fraud they attempted to perpetrate.

So I guess that you are telling me is that I didn't know what I was doing after 25 years of working in that field with underwriters and actuaries?

[obnoxiousdrunk]

94. Stop trying to

be reasonable. +1

[JI7]

111. I am a small business owner and know many of them are right wing assholes

The fact is many small business owners work long hours themselves to get by but with the hope things will get better and they can start hiring people once that do better financially.

But some appear to be assholes and want to be fully staffed but don't want to pay for it.

There is a point where if you don't want to put in the effort for your business and want to rely on cheap labor then you shouldn't have the business.

[Horse with no Name]

137. If I am not mistaken, Texas does not require employers

To carry WC insurance.

[DemocraticPatriot]

33. The employees didn't like the way the restaurant cooked their eggs?

Sorry, couldn't resist.

[AllaN01Bear]

37. we had a chance to raise the minimum wage to $15.00. the rs and businness blew it.

[fescuerescue]

69. Still do. Why not lump it in with the $3.5T bill

[panader0]

83. Don't forget about Sen. Kirsten Sinema and her little thumbs down curtsy.

And to think I voted for her.

[AllaN01Bear]

87. me thinks shes a false flag. when is she due for reelection?

ah mark twain. my fav smart alec.


/revision/latest?cb=20090729102006

[Klaralven]

39. McKinney TX appears to have every fast food and chain restaurant in the US

One fewer doesn't significantly dent the number of taco restaurants in McKinney.

Plus, his strip-mall location probably isn't ideal.

[LeftInTX]

51. This is a "gourmet" taco place, so you never know

Last edited Thu Sep 23, 2021, 12:33 PM - Edit history (1)

Some of those places do OK, but it's a palate issue also. Unique tacos versus old style. There is good and gourmet and there is good and old style. Good and old style is much easier and better business venture. Good and gourmet is often a novelty issue. I don't like Torchy's Tacos, but lots of people do, but I don't like them. (They're an Austin based company and their tacos taste like they were conceived in Austin...LOL) https://torchystacos.com/

Still many taco joints fail because there are so darn many. Mediocre doesn't cut it. There are good and cheap tacos all over the place. There are bad and cheap tacos all over the place. I went to place near my house called Fajita Express. I will not go back. Food was blah. The sour cream on the chalupas was not even "sour"..I think it was just plain old cream. It's amazing that the place stays in business.

&t=130s

[cstanleytech]

43. So it was supposedly a "reasonable wage" and yet he lost employee's to

someone else.

[S/V Loner]

52. The guy didn't start a business. He bought himself a job...

and his salary was based on his employees backs. Robbing his employees was his paycheck.

[SunSeeker]

140. Yup, his employees paid for his job.

[33taw]

53. Sounds like some folks don't want to work for poor wages for him to realize his dream of owning

a restaurant.

[chwaliszewski]

56. Bummer.

[lpbk2713]

58. "Next thing you know they'll want time off for a family funeral."

"This is getting out of control."

[Crowman2009]

62. Maybe he should spend more on salaries than horde it into his expensive house and multiple cars.

These owners are always loaded while their workers have next to nothing.

[AZLD4Candidate]

65. Mr Horton, if your business can only survive offering slave wages with no benefits

Your business model is terrible and exploitive and you deserve to lose your business.

That is called CAPITALISM!!! People go where the pay is better, benefits are better, and treatment is better.

Can anyone wonder why In-And-Out Burger has a waiting list for employees with little turnover? Because they start part-timers at 14.50 an hour, full timers at 18.25 an hour, and offer full benefits for both. Learn from them, Mr. Horton.

[fescuerescue]

66. If a Fat Cat millionaire restaurant owner can't pay his employees

Then that's one less restaurant we need.

[Elessar Zappa]

77. I doubt he's a millionaire but

yes, if can’t afford to pay a living wage with benefits then he shouldn’t have a business.

[fescuerescue]

95. Business should be required to put up a large bond before going into business

and granted a business license.

Something like $500,000.

If the workers are paid less than the official Federal living wage, then the difference is drawn from the bond and the business required to replenish those funds.

If the funds aren't replenished, then revoke the business license and shut it down.

[JCMach1]

101. I live in McKinney and have no idea even where it is

Should tell you all you need to know ..

[TygrBright]

70. Well, toots, if they didn't need benefits from employers b/c we all get them from government... n/t

[keithbvadu2]

71. Would he work for such a "reasonable wage"?

[Rabrrrrrr]

72. "I can't find people willing to sacrifice and screw themselves for my business - this is unfair!

We need slavery!!"

Fuck you.

[live love laugh]

105. 💯

[Sherman A1]

78. That is how markets work.

[Grins]

82. "I can't...offer them any kind of benefits."

Sounds like an argument for universal health care. For America!!!

[FakeNoose]

85. The smart owners and managers understand that good employees

... are worth paying more, and they deserve to be treated like "partners" in the business.

Good employees understand that they have a stake in seeing that their company succeeds, because they have been made to feel that it's their future too. Good employees will encourage their own friends and family to patronize the company, especially if it's a restaurant or retail store. Good employees will sometimes even work extra hours or help out in another way if they feel they're being appreciated for the sacrifice.

I'm retired now, but I worked in a company where employees were treated fairly and respectfully by the owners and managers. It was always understood that hourly wage or annual salary was only part of it, that we were all working towards a common goal. This type of management starts from the top down, and the employees do understand and appreciate it, because it's so rare.

[pandr32]

86. Interesting. We are moving into a service economy.

It makes sense to work out the kinks so employees/workers get better pay now as most new jobs and opportunities are in the service sector. New businesses should learn they have to factor in better pay and benefits in the first place. Smaller businesses that can't pay well still have the option of being their own employees until they gain popularity--other than that they won't make it.

[phylny]

90. Poaching is a real issue in our little lake town in Virginia.

A restaurant had someone from another restaurant come, sit and order food, and tried to lure staff away to their place. Problem was that the staff is treated really, really well at the original place and they wouldn't leave anyway.

[ret5hd]

108. So, are you saying...

that treating your employees as valuable assets rather than chattel is a viable option?

I dunno, sounds awful risky to me.

[phylny]

118. Ha!

It's hard to deal with the clientele around here. One restaurant was berated because they require proof of vaccination to dine there. People lost their minds. So my husband, neighbors, and I all ordered take-out two weekends in a row just to support them (I'm not dining in at this time out of an abundance of caution as I'm babysitting our infant granddaughter).

[KG]

93. kinda like the story I read (might be anecdotal) the owner was mad coz

people wanted to know the pay before even applying

[LizBeth]

147. That is what I am finding thru out the process is pulling teeth how much they are paying.

As if I am a problem because I want to know up front and not waste time with interviews. After being offered trying them to get me the number. It is my right and I should up front be able to get that info, as much as them finding out my qualifications before even bothering to interview.

[liberal_mama]

99. There was just a business owner complaining about this in my town's Facebook group

She says, "My jobs aren't meant to be a living wage. They are for someone who wants a little extra spending money." She's mad that she can't find or retain employees.

[radicalleft]

102. OK...maybe that's legit

She's the main employee and needs someone to cover things while she get's a day off or something??? A lot of teenagers don't want to or don't have the time for PT jobs the way my generation did. Too many extra curricular activities these days...

[JCMach1]

100. Straight up, he's not. No restaurant jobs are below $12 in McKinney

Many are more now. Almost all are providing benefits and flexible schedules.

It's back to the 70-80's when it was mostly kids working in food service and making decent wages to do it.

At least in this part of TX

[live love laugh]

104. He's full of 💩: He wouldn't even say what he pays.

Wages are a cost of doing business.

[Brainfodder]

106. Piling on, but bears repeated, don't start a business if you can't pay but scraps, exploity much?

Explains the 81% failure rate of new businesses within 3 years?

It seems many aren't good at math?

If you want $100,000 for you at the end of the year in your business, you need profit of 100,000, which translates to 100,000 more taken in then you spend on it.

If your business is selling meals as an easy and popular example, being a simple pizza shop, htf are you going to have OVERHEAD of the building, employees, any benefit packages, the cost of ingredients, and all that, operate say 300 days a year, 8 hours a day, so 2400 hours, and wind up with revenue - costs of operation and still have 100Gs for you?

This is why you hear about people owning 20+ restaurants, eh?

[Withywindle]

112. "Poaching," lol

Acts like they belong to him.


Bootstrapper types always say "Well then get a better job" when workers protest low wages - and they cry when people do. Suck it up, buttercup.

[Ziggysmom]

114. MIT's Living Wage Calculator is quite interesting. Surprised me a great deal.

https://livingwage.mit.edu/

[randr]

117. Fix the immigration problem and employ the refugees

[ret5hd]

121. ...under the same living wage and benefits...

that every employee should have in this country.

[BigmanPigman]

122. I watch Restaurant Impossible

and have learned what a lot of small businesses/restaurants are supposed to pay the staff, the food and the overhead. You get what you pay for in the restaurant business. Owners should automatically factor in the costs of staff as much as the food and the overhead. 33% each.

[Grokenstein]

123. "Don't like it, work somewhere else!"

"...no, wait, this isn't fair, I didn't think you'd actually call my bluff!!"

[Ellen Forradalom]

135. The pandemic laid bare

how many people feel entitled to and are dependent on the quasi-slave economy of food service. No one is entitled to a fast-food meal. If no one is working at the Sonic or the Cracker Barrel, make yourself a meal at home and pack some sandwiches before you hit the road. It’s what we used to do before ubiquitous cheap fast food.

The whole thing is repellent and I just cook all my meals at home now.

[Renew Deal]

136. This is one of the reasons why the US needs to adopt some form of universal care.

Because forcing businesses to pick up the bill for health insurance harms both businesses and workers. It reduces workers mobility and options.

[Dorian Gray]

143. huh

you lost your staff to a higher paying job? you don't say.....

[Mr. Ected]

144. Sounds like Paul Horton's business model isn't equipped for profit

Unless the slaves behave.

Perhaps Mr. Horton will have to crush his own tacos to make a living now. Or shut down his poorly-conceived business.

Wa - wa - wa.

[bluecollar2]

146. Horton hasn't figured it out

In America, the guy with the most money wins.

That's known as capitalism...murica!!!!

If I still lived in the area I'd make it a point to stop in and tell him what a great meal i had at one of his competitors.

On edit: he's gone out of business so I wouldn't be able to stop in....bummer.