Let’s Not Quibble About the Price of Hot Dogs

No, this will not be a vegan lecture on meat-whiz and intestines. Thing-2, my spawn, told me a story and because it is so badass and stupid at the same time, I had to research to confirm its veracity.

Let me preface this post by sharing lessons I learned while working for a major business entity. Don’t get me started on shameless greed. The misuse of corporate bankruptcy to tear up union and vendor contracts, cutting wages, pensions, staffing, benefits, unreasonable work rules, despite having hundreds of billions in assets, etc.

Just don’t get me started on April, the man’s bonus month. Upper management pilfers profits garnered by squeezing laborers. And those big-wigs who miscalculate the anger they incite will always exit the company via a golden parachute, pockets stuffed. The old saying: “happy wife, happy life,” should carry over into business: “content employee, satisfied customer.” It doesn’t. Leaders in today’s corporate world aren’t concerned about anything but profit. Discontented employees are unpleasant when forced to face a dissatisfied, irate public, rightfully disappointed in the missing amenities they once enjoyed. But don’t take it out on the employee who had to move into a smaller apartment because of a pay-cut. So the big boss could get a second yacht.

“Smile.”🖕🏼

Corporate greed is born from individuals who really believe they deserve their income because no one else can do what they do. At the same time, they like to remind employees, “you are easily replaced.”

The gratitude dolled out these days for a duty well done, or an assignment completed understaffed, can be a Starbucks gift card or to celebrate ten-years of employment a gold pin, made of nickel and gold spray-paint.

Costco did it right.

Many years ago, a news telecast focused on Costco founder and former CEO Jim Sinegal. His business model was based on paying and treating employees well. He is of the opinion that a fair CEO compensation should be about 12x the average paid employee.

The report is nearly twenty years old, but when other CEOs paid themselves several millions in annual salary, he collected only $350k. Don’t feel too bad for him. As a founder of the company, he had $150 million in stock.

Happy employees bring in repeat customers.

The Costco hot dog is life.

The Costco hot dog is love. pic.twitter.com/AkT1E39MwS

— QENNY is hurkle-durkling (@AKBrews) February 17, 2024

Unfortunately, people age and retire. This was the case with Sinegal. He is now 88, but when he negotiated his exit with the team that took over his business, they spoke about changes, price point margins and profits. A fight broke out, or perhaps it was only a heated disagreement. It ended with Jim Senigal issuing a threat:

“If you raise the fucking hot dog, I will kill you. Figure it out.”

Costco founder Jim Sinegal

That’s true. Costco hotdogs are a foot long and come with a large soft drink. The price will always be $1.50, at least while Jim Sinegal is alive.

I love that.

Costco’s Co-Founder Told The Company’s CEO That He’d Kill Him If He Raised The Price Of Hot Dogs

Costco’s last outgoing CEO, Craig Jelinek made $16.8 million in 2023, that’s 336 times the median worker’s pay. Costco is still a good place to work as far as benefits and wages for a retail job. They take a loss in the hot dogs. 🥳

https://www.businessinsider.com/costco-ceo-made-336-times-median-workers-pay-2023-12?amp

With an entirely different business model, Wendy’s is planning to price like Uber. They’ll charge more at peak hours. When most people eat, when employees get their hour lunch break, the registers will raise without warning. It would be unfortunate if they never had busy times again to test this model. You can bet there are no plans to increase workers’ compensation in tandem with pricing.

“Wendy’s will soon begin testing surge pricing.”

Wendy’s will soon begin testing surge pricing | CNN Business