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McDonald's Reintroduces Bagels in California to Counteract Wage Hike Effects

The fast-food giant aims to boost sales and manage rising labor costs with the popular breakfast item and a $15 million advertising campaign.

  • McDonald's reintroduces bagel sandwiches at California locations as a strategy to offset the new $20 minimum wage for fast food workers.
  • The 'Rise and Dominate' task force developed this initiative, which includes a significant advertising spend aimed at increasing store traffic and sales.
  • Franchisees express concerns that price increases alone cannot compensate for the wage hike, prompting innovative solutions such as the bagel reintroduction.
  • The reintroduction of bagels is expected to increase sales by 10%, with a focus on digital sales for better profitability.
  • Other measures include new scheduling systems and better traffic projections to further support franchisees under the new wage law.
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