The Mexican fast-food brand, Chipotle, is raising its prices so they can pay their employees more.
Chipotle customers better start digging a little deeper into their pockets as the company has raised prices across all their menus!
But according to reports, they've done it so they can pay their employees more. Should we consider it noble? Or a capitalist cop out? Maybe a bit of both.
The Mexican chain is planning to hand over all responsibility to their consumers by hoping they pay more for the same products rather than finding some room within the six billion dollar profit made in 2020, the company's highest recorded revenue ever, according to Statista.com.
As per NBC News, executives at the company announced the controversial move during the Baird Global Consumer, Technology, and Services Conference.
Prices at Chipotle restaurants across the country will rise about 4 percent. However, you'll be happy to know that amounts to just a few cents added to each item. It's a small price to pay to know that at least the workers are being paid a livable wage.
"It feels like the right thing, at the right time, and it feels like the industry is now going to have to either do something similar or play some kind of catch-up," CFO Jack Hartung said.
"Otherwise you'll just lose the staffing gain."
The small inflation comes in the hope that these new wages will attract more potential employees to the company, especially after the demand for fast food has increased over the past year or so. A lot of other companies seem to be struggling with maintaining a staff base as the demand continues to grow.
This is the second time since 2018, that Chipotle has raised its prices.
Back in 2018, they increased them by 5 percent, which, when you put into perspective was only a thirty-five cents increase on the standard price of the burrito bowls. So this latest increase is less than that. Not bad really when you think about it like that, but let's just hope the company does more to make sure their staff are paid a fair wage for their time and effort.
What do you thin about the big move?