Shake Shack Is Raising Prices So It Can Pay Workers More

From Fortune:

by Abigail Abrams

Shake Shack is starting off the new year by giving its workers higher wages, and the company is hoping its customers will be happy to pay for it.

The popular burger chain has raised many of its menu prices by as much as 36 cents, Eater reports. This translates to about a 1.8% price hike. The regular ShackBurger has gone up 10 cents to $5.39 in places like Long Island and New Jersey, while it has increased 26 cents to $5.55 in New York City, Miami, Las Vegas, and other big cities. The Chick’n Shack rose 26 cents as well, but other items like fries and the classic shakes have not seen their prices rise.

This is far from the first time Shake Shack has increased prices to better compensate its workers. The chain made a similar choice last year, and its millionaire founder Danny Meyer has talked about the importance of paying workers fairly.

With this round of raises, the company gave a boost to employees across the board, from entry-level workers to salaried managers, according to Eater. Now workers in Shake Shack’s New York City locations have a starting hourly wage of $12.50, which is 50 cents more than the city’s fast food minimum wage of $12.

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