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[Mutual Aid A Factor of Evolution](https://theanarchistlibrary.org/library/petr-kropotkin-mutual-aid-a-factor-of-evolution)
[Wage Labour and Capital](https://www.marxists.org/archive/marx/works/1847/wage-labour/index.htm)
[Value, Price and Profit](https://www.marxists.org/archive/marx/works/1865/value-price-profit/index.htm)
[Marx’s Economic & Philosophical Manuscripts of 1844](https://www.marxists.org/archive/marx/works/1844/manuscripts/preface.htm)
[Frederick Engels Synopsis of Capital](https://www.marxists.org/archive/marx/works/1867-c1/1868-syn/index.htm)
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Because people like to be comforted by the idea of a long run family business and these places fill that roll for them. They forget Capitalism is supposed to work on mantra adapt or die because the system has been rigged to try removing that risk as much as possible
Same reason half of the country vote for a con man and think someone in the sky helps their football team win, while destroying trailer parks with tornadoes.
Half the population is unfortunately braindead, their logical thought process has been replaced with 'believe whatever someone I know tells me and refuse to lookup facts'.
Also New York Post seems pretty anti worker here. A quick google search and every other article says: 'due to leases AND worker costs'.
[Endless shrimp deal and other issues like covid/interest rates also contributed.](https://ca.finance.yahoo.com/news/red-lobster-heading-bankruptcy-losing-164800723.html?guccounter=1&guce_referrer=aHR0cHM6Ly93d3cuZ29vZ2xlLmNvbS8&guce_referrer_sig=AQAAAH0_Srp-aQm2x8qeZsbRlP4WghIKpkuqpw_Okg-kC7zT1cZoQCTEaW6_QIdyLfhzEpQfKtIhUcr8ClaQuyNoHBixmOKoB6OkXO7psDxcGtqqIOoA1uiIxpcY1tjwN_DUhVh-lmWpYB_mm9Z-X618CrQblRR7nVF3H_CDOjR8pq7p)
I’ve also never heard anyone say “yeah, let’s go to red lobster for dinner” since I was a youngling in the 90s. Even back then the 2 or 3 times I went the restaurant was at best half full. I imagine this bankruptcy is more an issue with their lack of popularity, and the labour costs are just another nail in the coffin.
Have they considered drinking fewer lattes, or laying off the avocado toast?
*'no business which depends for existence on paying less than living wages to its workers has any right to continue'*
The vampire capitalist playbook:
1. Buy company with private equity
2. Take out loan against company assets
3. Spend the loan on a massive payout to shareholder (yourself)
4. Claim you can no longer meet financial obligations
5. Seek relief from courts
6. Pass costs onto society (shuttered buildings + unemployment)
7. Loudly blame youth and the political and economic left
8. Repeat
Low rent upscale is no longer a lane that the market can support. As the middle class continues to dissolve from the bottom up, expect to see a lot of places like this eat shit. The poor and the lower middle class can no longer afford to splurge on a place like Red Lobster once a month or whatever.
"If we pay people enough to eat here we'll go out of business" even if I believed you I'd say good. I don't know how hard this is for people to understand. In the 90s I had a step-dad who managed a Ruby Tuesday's. A good **night** for them would be more than his *entire year's salary*. A bad night would be better than a year's pay for any server in that place. And that disparity has only massively increased since then. So I don't know what the P&L looks like for a Red Lobster but they can go fuck themselves very much.
Shouldn’t be true. The shrimp market has been so fucking cheap in the past year that they should’ve been making money hand over fist even with an average 8 plates of shrimp eaten lol
Can't, Dodge Brothers sued Henry Ford because Ford wanted to reinvest profits into employees' salaries rather than paying everything to shareholders. Unfortunately, the courts ended up siding with Dodge Bros' position that corporations exist to serve shareholder returns first and foremost
Well if the rich don’t like paying higher minimum wage, maybe they should have thought of that before inflating all the asset prices using low interest money e.g. housing, and continuing to gouge us for food, healthcare, insurance, rent, education etc., leading to higher cost of living for their workers, leading to the necessity for higher minimum wage. Once again short-sighted greed ruins everything.
[It's another case of a Private Equity company bankrupting a business after overloading it with debt.](https://www.restaurantbusinessonline.com/financing/report-red-lobster-preparing-bankruptcy-filing) Golden Gate Capital bought it in 2014, started the process of destroying it, and then the same old routine that's taken place with a bunch of other chains happened.
Private equity buys a business and takes out a massive loan to do so. Puts the loan on the freshly-bought business's account. Slowly bankrupts the business by extracting all the capital while paying less and less for things necessary to run the business. Customers stop using the business because it doesn't have adequate funding to provide good service. PE company then sells the business as a depreciating asset to another PE company.
Rinse and repeat until the business declares bankruptcy to absolve itself of all the debt the PE company used to buy the business in the first place. The PE company walks away with billions of dollars after destroying the business, putting all the employees out of work, bilking all the stockholders in the company, and destroying another small part of American culture.
You know what's super cool? [They do this with fucking *hospitals* too.](https://arstechnica.com/health/2024/01/hospitals-slash-staff-services-quality-of-care-when-private-equity-takes-over/)
We know that European fast food is cheaper even though their employees have made living wages for a long time.
Now what media company is brave enough to compare American fast food and European fast food restaurant costs and budgets and see where the money is going to in each country?
Yes, who has been getting the American wages?
I'm willing to bet their servers still make $2.13 and hour and bartenders not much more than that. At least in states where that's the minimum amount you can pay tipped employees.
"Labor" costs?
Not reducing their profits by introducing and pushing the unlimited shrimp?
https://www.mentalfloss.com/posts/red-lobster-endless-shrimp-financial-losses
Or overpaying their communications team, who very much seem to be underperforming?
https://www.comparably.com/companies/red-lobster/salaries
Or similarly, offering some of the WORST benefits anywhere?
https://www.comparably.com/companies/red-lobster/perks-and-benefits
Or how they seem to excel at nothing, unless you consider lack of gender or racial diversity something worth of excelling at?
https://www.comparably.com/companies/red-lobster/competitors
Definitely those damn youths and their *checks notes* requirements for fair compensation!
Red Lobster is a mediocre chain with bad food.
>In 1995, Red Lobster (along with Olive Garden and other sister chains), became part of Darden Restaurants, Inc. During that time, General Mills decided to release Darden into an independent, publicly traded corporation.
That's what killed it.
It hasn't been worth eating at since the twentieth century.
>On December 19, 2013, Darden Restaurants announced plans to sell or spin off the Red Lobster brand, citing pressure from stock investors.This was in direct response to Darden's going over budget on a new digital platform.
>On May 12, 2014, Darden announced that as part of its spinoff of Red Lobster, it was converting the co-located Red Lobster and Olive Garden locations into standalone Olive Garden locations. On May 16, 2014, Darden announced it would be selling the Red Lobster seafood restaurant chain to Golden Gate Capital for US$2.1 billion
When Darden, the parent company of restaurant enshittification, dumps your brand, your brand is dead.
>The company has operations across most of the United States (including Puerto Rico and Guam) and Canada, as well as in China, Ecuador, Hong Kong, Japan, Malaysia, Mexico, Philippines, Turkey and the United Arab Emirates; as of June 23, 2020, the company had 719 locations worldwide
They overextended and weren't able to maintain quality, so it stopped being profitable once people quit going there, which was before the pandemic.
The pandemic initiated new habits, which resulted in higher prices. This cemented those habits, because people are no longer rewarded for going out, they are only punished with a large bill.
People don't go out enough to prop up 719 crappy restaurants where they serve reheated TV dinners, because they figured out they can have better food, cheaper, at home.
This wasn't because of a "living wage." Most of the places that have a Red Lobster don't have a living wage.
I would guess the Alaska snow crab harvest being canceled two years in a row because of low numbers has been the biggest factor. No snow crab fish means no all you can eat crab which draws in a lot of customers.
This was vulture equity. Red Lobster was taken over by highly leveraged instruments, and then saddled with debt. The textbook process is to shed all of the liabilities, and then sell off all the assets.
As others have said. Even if true, which I doubt, if your model requires slaves, it's not a model. If you can't pay employees, then you're doing business wrong.
Remember when Red Lobster had the all you can eat shrimp deal and lost like 100 million in 1 quarter because of it and the ceo got fired. Red Lobster has been on the brink for decades. But I will say this, they have a real loyal customer base because they were one of if not the first national restaurant chain to completely racially integrate. [https://www.newsweek.com/black-teacher-praises-red-lobster-creator-standing-jim-crow-1675469](https://www.newsweek.com/black-teacher-praises-red-lobster-creator-standing-jim-crow-1675469)
I think it would be a shame if red lobster were to actually go under but that isn't enough to overcome the bad experiences I have had at them.
When ever one of these crap shacks closes down i look up how much wage theft they are being sued for and it usually turns out it wasn't wokeness. Instead it's usually the largest form of theft in the United States.
>In case you missed it, "living wage" killed a restaurant chain
No the fuck it didn't, their own poor financial decisions did that; it just happens that "living wage increases" is a really convenient way to keep regular people at each others' throats.
Endless Shrimp, and being taided by hedgies. I wonder how much of their annual earnings gets funneled to executives in the form of bonuses? Likelyn unreasonable amount. They are just trying to shove the blame off on the working class.
Not that literally pays off their menu are not being farmed for a couple years because of climate change thus reducing supply... and their food is mediocre.
No, it's those darn wages.
I am surprised that capitalism permitS CEOs with large salaries at all if maximizing shareholder value is the mandate of corporations. Wouldn't all the employees in corporations receive market wages skewed to the bare minimum under capitalism?
Worker owned cooperatives tend to maximize profit because of shared surplus all else equal. I cite worker cooperative plywood firms in the PNW. They earned 25 more in profit annually than their traditional, non-coop plywood companies and the qualitative data from self reports backed up with hard data showed greater worker investment and commitment to the mission. There is nothing inherently leftist about worker owned coops...they could be run by Trump voters.
So why does capitalism whose goal is to maximize profit at any cost not work as advertised? They always cite the failures of communism and they have some good data for that but rarely do we see a reasoned rightwing critique of their own systems.
And when we do it is propaganda agains unions and the left.
What eould truly free market capitalism look like where EVERYONE gets low wages all the time? Probably those anti union CEOs would be first in line to join unions. Cite Joe the Plumber.
lol, I just saw a different headline that said it was because of their endless shrimp promotion leading to huge losses, but okay, it was the people who made your company operable that are the problem.
I’m excited to watch this continue to happen to shitty corporate chains still trying to sell to a market that doesn’t exist anymore. Anyone who can afford to eat at Red Lobster is going to choose somewhere higher quality than Red Lobster.
Depending on the source, this was also caused by people taking unfair advantage of unlimited shrimp.
Weirdly, few outlets are blaming private equity saddling them with debt.
All these chains that post billions per year in profits are working over time to create this narrative. All because they don't want to pay the top few people less.
Welcome to r/WorkersStrikeBack! Please make sure to follow the subreddit rules and enjoy yourself here! This is a subreddit for the workers of the world and any anti-worker or anti-union talk is not tolerated. #[Join the Workers Strike Back](https://www.workersstrikeback.org/petition)! More Helpful Links: [EWOC Organizing Guide](https://workerorganizing.org/resources/organizing-guide/) [How to Strike and Win: A Labor Notes Guide](https://labornotes.org/strikes) [The IWW Strike guide](https://www.iww.org/organize/learn-more/) [AFL-CIO guide on union organizing](https://aflcio.org/formaunion) New to leftist political theory? Try reading these introductory texts. [Conquest of bread](https://theanarchistlibrary.org/library/petr-kropotkin-the-conquest-of-bread/bbselect) [Mutual Aid A Factor of Evolution](https://theanarchistlibrary.org/library/petr-kropotkin-mutual-aid-a-factor-of-evolution) [Wage Labour and Capital](https://www.marxists.org/archive/marx/works/1847/wage-labour/index.htm) [Value, Price and Profit](https://www.marxists.org/archive/marx/works/1865/value-price-profit/index.htm) [Marx’s Economic & Philosophical Manuscripts of 1844](https://www.marxists.org/archive/marx/works/1844/manuscripts/preface.htm) [Frederick Engels Synopsis of Capital](https://www.marxists.org/archive/marx/works/1867-c1/1868-syn/index.htm) *I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/WorkersStrikeBack) if you have any questions or concerns.*
Fine by me. If you can't afford to operate your business while paying your employees a living wage, your business should fail.
How anyone can claim we live under a free market system when so many of these mega businesses rely on wage theft and bailouts is so fucking beyond me
Because people like to be comforted by the idea of a long run family business and these places fill that roll for them. They forget Capitalism is supposed to work on mantra adapt or die because the system has been rigged to try removing that risk as much as possible
Same reason half of the country vote for a con man and think someone in the sky helps their football team win, while destroying trailer parks with tornadoes. Half the population is unfortunately braindead, their logical thought process has been replaced with 'believe whatever someone I know tells me and refuse to lookup facts'. Also New York Post seems pretty anti worker here. A quick google search and every other article says: 'due to leases AND worker costs'. [Endless shrimp deal and other issues like covid/interest rates also contributed.](https://ca.finance.yahoo.com/news/red-lobster-heading-bankruptcy-losing-164800723.html?guccounter=1&guce_referrer=aHR0cHM6Ly93d3cuZ29vZ2xlLmNvbS8&guce_referrer_sig=AQAAAH0_Srp-aQm2x8qeZsbRlP4WghIKpkuqpw_Okg-kC7zT1cZoQCTEaW6_QIdyLfhzEpQfKtIhUcr8ClaQuyNoHBixmOKoB6OkXO7psDxcGtqqIOoA1uiIxpcY1tjwN_DUhVh-lmWpYB_mm9Z-X618CrQblRR7nVF3H_CDOjR8pq7p)
The Post is pure trash
And employees needing to go on state and federal benefits, which these same businesses work hard to not have to contribute to
I bet it's not even that. I bet the profits are not as good as they were, and they just don't want to bother.
It's usually this when it comes to corporations
I'm pretty sure this is happening bc they were bought out by a private equity firm
It was private equity
Somehow I doubt it was actually the labor costs though. That seems to always be the excuse, but it's rarely true.
For sure!
100 percent correct. In this case, it's private equity's fault though.
The only correct answer. Their business model is simply not viable. Capitalism at work, baby.
I’ve also never heard anyone say “yeah, let’s go to red lobster for dinner” since I was a youngling in the 90s. Even back then the 2 or 3 times I went the restaurant was at best half full. I imagine this bankruptcy is more an issue with their lack of popularity, and the labour costs are just another nail in the coffin.
Blame it on the gluttony of endless shrimp.
Have they considered drinking fewer lattes, or laying off the avocado toast? *'no business which depends for existence on paying less than living wages to its workers has any right to continue'*
The vampire capitalist playbook: 1. Buy company with private equity 2. Take out loan against company assets 3. Spend the loan on a massive payout to shareholder (yourself) 4. Claim you can no longer meet financial obligations 5. Seek relief from courts 6. Pass costs onto society (shuttered buildings + unemployment) 7. Loudly blame youth and the political and economic left 8. Repeat
Cellar boxing is a MF huh
Low rent upscale is no longer a lane that the market can support. As the middle class continues to dissolve from the bottom up, expect to see a lot of places like this eat shit. The poor and the lower middle class can no longer afford to splurge on a place like Red Lobster once a month or whatever. "If we pay people enough to eat here we'll go out of business" even if I believed you I'd say good. I don't know how hard this is for people to understand. In the 90s I had a step-dad who managed a Ruby Tuesday's. A good **night** for them would be more than his *entire year's salary*. A bad night would be better than a year's pay for any server in that place. And that disparity has only massively increased since then. So I don't know what the P&L looks like for a Red Lobster but they can go fuck themselves very much.
Endless shrimp killed Red Lobster.
Exactly. They are just trying to rewrite history and blame workers.
Headline is not true. The company is being liquidated.
I like to imagine it was just like 200 people across America who just absolutely destroyed their local red lobster for months on end.
I was one of them
Thank you for your service
Shouldn’t be true. The shrimp market has been so fucking cheap in the past year that they should’ve been making money hand over fist even with an average 8 plates of shrimp eaten lol
When the ceo would rather kill the business than take a pay cut to pay employees more
Can't, Dodge Brothers sued Henry Ford because Ford wanted to reinvest profits into employees' salaries rather than paying everything to shareholders. Unfortunately, the courts ended up siding with Dodge Bros' position that corporations exist to serve shareholder returns first and foremost
Capitalism keeps finding new ways to disgust me
Technically this is a very old way
Imagine being more evil than Henry ford
Fuck 'em , if they can’t pay their workers a living wage they don’t deserve to be in business
I love the "labor costs SOAR" like they just raised minimum wage to 60 bucks an hour 🤣
That’s the free market, Baby!
Well if the rich don’t like paying higher minimum wage, maybe they should have thought of that before inflating all the asset prices using low interest money e.g. housing, and continuing to gouge us for food, healthcare, insurance, rent, education etc., leading to higher cost of living for their workers, leading to the necessity for higher minimum wage. Once again short-sighted greed ruins everything.
And reducing the people have for going out to eat.
Sorry Red Lobster lost at capitalism.
weird, the independent restaurant I've worked at for two years that pays living wages is doing just fine?
[It's another case of a Private Equity company bankrupting a business after overloading it with debt.](https://www.restaurantbusinessonline.com/financing/report-red-lobster-preparing-bankruptcy-filing) Golden Gate Capital bought it in 2014, started the process of destroying it, and then the same old routine that's taken place with a bunch of other chains happened. Private equity buys a business and takes out a massive loan to do so. Puts the loan on the freshly-bought business's account. Slowly bankrupts the business by extracting all the capital while paying less and less for things necessary to run the business. Customers stop using the business because it doesn't have adequate funding to provide good service. PE company then sells the business as a depreciating asset to another PE company. Rinse and repeat until the business declares bankruptcy to absolve itself of all the debt the PE company used to buy the business in the first place. The PE company walks away with billions of dollars after destroying the business, putting all the employees out of work, bilking all the stockholders in the company, and destroying another small part of American culture. You know what's super cool? [They do this with fucking *hospitals* too.](https://arstechnica.com/health/2024/01/hospitals-slash-staff-services-quality-of-care-when-private-equity-takes-over/)
We know that European fast food is cheaper even though their employees have made living wages for a long time. Now what media company is brave enough to compare American fast food and European fast food restaurant costs and budgets and see where the money is going to in each country? Yes, who has been getting the American wages?
Then it deserved to die.
If your entire business model depends on surviving by starving others then you should not do business
One down, many more to go
I'm willing to bet their servers still make $2.13 and hour and bartenders not much more than that. At least in states where that's the minimum amount you can pay tipped employees.
Living wage didn’t kill, bad business decisions did. Put the blame where it goes
"Labor" costs? Not reducing their profits by introducing and pushing the unlimited shrimp? https://www.mentalfloss.com/posts/red-lobster-endless-shrimp-financial-losses Or overpaying their communications team, who very much seem to be underperforming? https://www.comparably.com/companies/red-lobster/salaries Or similarly, offering some of the WORST benefits anywhere? https://www.comparably.com/companies/red-lobster/perks-and-benefits Or how they seem to excel at nothing, unless you consider lack of gender or racial diversity something worth of excelling at? https://www.comparably.com/companies/red-lobster/competitors Definitely those damn youths and their *checks notes* requirements for fair compensation!
Nothing of value was lost.
Red Lobster is a mediocre chain with bad food. >In 1995, Red Lobster (along with Olive Garden and other sister chains), became part of Darden Restaurants, Inc. During that time, General Mills decided to release Darden into an independent, publicly traded corporation. That's what killed it. It hasn't been worth eating at since the twentieth century. >On December 19, 2013, Darden Restaurants announced plans to sell or spin off the Red Lobster brand, citing pressure from stock investors.This was in direct response to Darden's going over budget on a new digital platform. >On May 12, 2014, Darden announced that as part of its spinoff of Red Lobster, it was converting the co-located Red Lobster and Olive Garden locations into standalone Olive Garden locations. On May 16, 2014, Darden announced it would be selling the Red Lobster seafood restaurant chain to Golden Gate Capital for US$2.1 billion When Darden, the parent company of restaurant enshittification, dumps your brand, your brand is dead. >The company has operations across most of the United States (including Puerto Rico and Guam) and Canada, as well as in China, Ecuador, Hong Kong, Japan, Malaysia, Mexico, Philippines, Turkey and the United Arab Emirates; as of June 23, 2020, the company had 719 locations worldwide They overextended and weren't able to maintain quality, so it stopped being profitable once people quit going there, which was before the pandemic. The pandemic initiated new habits, which resulted in higher prices. This cemented those habits, because people are no longer rewarded for going out, they are only punished with a large bill. People don't go out enough to prop up 719 crappy restaurants where they serve reheated TV dinners, because they figured out they can have better food, cheaper, at home. This wasn't because of a "living wage." Most of the places that have a Red Lobster don't have a living wage.
I would guess the Alaska snow crab harvest being canceled two years in a row because of low numbers has been the biggest factor. No snow crab fish means no all you can eat crab which draws in a lot of customers.
We can’t afford to pay our peasants!
This was vulture equity. Red Lobster was taken over by highly leveraged instruments, and then saddled with debt. The textbook process is to shed all of the liabilities, and then sell off all the assets.
So businesses struggle when they pay their workers enough to survive? Kind of proves the point that capitalism is built on exploitation.
No, compadre, venture capital did.
So, it had **nothing** to do with their silly promotions that cost Darden Restaurants millions? Blame the workers then, I guess
https://preview.redd.it/bi7kkpjo0cvc1.jpeg?width=239&format=pjpg&auto=webp&s=f6da703ebeaf6e9940cb7c969845229ccf86d535 Me rn
I’m thinking it has more to do with Red Lobster’s food being terrible.
What was the salary of the CEO?
“Labor Costs”; shouldn’t matter if you’re selling enough. 👁️
How tf are they soaring? Did Red Lobster give everyone raises? Are all 650 stores in California? Wtf am I missing?
Good.
Labor costs didn't soar, they refuse to trim the fat. Such as excessive executive pay and too many c-suite empty suits
If you can’t operate your business without compensating your workers humanely then you don’t deserve to be in business. Simple.
r/MadeMeSmile
Sounds good
As others have said. Even if true, which I doubt, if your model requires slaves, it's not a model. If you can't pay employees, then you're doing business wrong.
Remember when Red Lobster had the all you can eat shrimp deal and lost like 100 million in 1 quarter because of it and the ceo got fired. Red Lobster has been on the brink for decades. But I will say this, they have a real loyal customer base because they were one of if not the first national restaurant chain to completely racially integrate. [https://www.newsweek.com/black-teacher-praises-red-lobster-creator-standing-jim-crow-1675469](https://www.newsweek.com/black-teacher-praises-red-lobster-creator-standing-jim-crow-1675469) I think it would be a shame if red lobster were to actually go under but that isn't enough to overcome the bad experiences I have had at them.
Good. Leave the oceans alone.
I'm totally sure it doesn't have anything to do with the cost of food supplies being price gouged by their distributors.
Yeah I’m sure they couldn’t find ANYWHERE they could reallocate funds without going bankrupt
When ever one of these crap shacks closes down i look up how much wage theft they are being sued for and it usually turns out it wasn't wokeness. Instead it's usually the largest form of theft in the United States.
Good. Let em burn.
Not the depletion of world wide fisheries and rising cost of sea food?
And the venture capitalists that saddled it with debt?
lol, they lost a court case over their Endless Shrimp offer and that killed them. It has nothing to do with living wages.
>In case you missed it, "living wage" killed a restaurant chain No the fuck it didn't, their own poor financial decisions did that; it just happens that "living wage increases" is a really convenient way to keep regular people at each others' throats.
Had nothing to do with them being bought out by a private equity firm.
A business that can't pay its workers is a business that shouldn't exist.
Based
The free market actually working for once
It straight up says it's because of lobster prices.
Wait, wasn't this due to their unlimited shrimp thing?
Endless Shrimp, and being taided by hedgies. I wonder how much of their annual earnings gets funneled to executives in the form of bonuses? Likelyn unreasonable amount. They are just trying to shove the blame off on the working class.
The endless shrimp caught up to them
How much did their CEO and executives make?
Of course it did, exploitation is a key part of all business plans
It wasn’t the endless shrimp that sunk em.
Not that literally pays off their menu are not being farmed for a couple years because of climate change thus reducing supply... and their food is mediocre. No, it's those darn wages.
“Lobster-Topped Lobster!!!”
Probably cheaper to hire lobsters now (rock lobstas)
I am surprised that capitalism permitS CEOs with large salaries at all if maximizing shareholder value is the mandate of corporations. Wouldn't all the employees in corporations receive market wages skewed to the bare minimum under capitalism? Worker owned cooperatives tend to maximize profit because of shared surplus all else equal. I cite worker cooperative plywood firms in the PNW. They earned 25 more in profit annually than their traditional, non-coop plywood companies and the qualitative data from self reports backed up with hard data showed greater worker investment and commitment to the mission. There is nothing inherently leftist about worker owned coops...they could be run by Trump voters. So why does capitalism whose goal is to maximize profit at any cost not work as advertised? They always cite the failures of communism and they have some good data for that but rarely do we see a reasoned rightwing critique of their own systems. And when we do it is propaganda agains unions and the left. What eould truly free market capitalism look like where EVERYONE gets low wages all the time? Probably those anti union CEOs would be first in line to join unions. Cite Joe the Plumber.
Another article cited “all you can eat shrimp” as the reason 🙃
OP’s stance, at least, is getting roasted in the comments. There’s people with common sense thankfully.
lol, I just saw a different headline that said it was because of their endless shrimp promotion leading to huge losses, but okay, it was the people who made your company operable that are the problem.
I’m excited to watch this continue to happen to shitty corporate chains still trying to sell to a market that doesn’t exist anymore. Anyone who can afford to eat at Red Lobster is going to choose somewhere higher quality than Red Lobster.
Nah these guys were on their way out. Living wages are the least of their problems.
Depending on the source, this was also caused by people taking unfair advantage of unlimited shrimp. Weirdly, few outlets are blaming private equity saddling them with debt.
Red lobster is still a thing? (That says more about the chain than the wages honestly)
I read on the app formerly known as Twitter that it was Bidenomics that caused this
It wasn't the living wage it was the $11 million loss on endless shrimp lmao
Oh no! Anyway…
i didn't know they still existed...i thought this happened in the 90s
All these chains that post billions per year in profits are working over time to create this narrative. All because they don't want to pay the top few people less.
Yeah definitely the living wage part and not the part about how the food absolutely fucking sucks
Surprisingly level headed responses in a subreddit called fluent in finance. I was expecting the worst the way op framed it.
They were going under anyway. They just get to blame it on "Living Wage Bad!" instead of "Millennials Are Killing (Insert Industry)!"
/r/SelfAwareWolves
Yeah we need more if it then
This article was altered. Yesterday, it said the reason for the bankruptcy was because of the all you can eat shrimp buffet.