Did One Chick-Fil-A Owner Start A Fair Wage Revolution?

Four years ago, one Chick-Fil-A in Sacramento, California started paying their workers $17 an hour. At the time the operator of the location, Eric Mason, told local news reporters “we’re looking for people trying to raise families and improve their lifestyles.” With estimates putting turnover at 144% in the fast food industry and job vacancies 70% higher than pre-pandemic levels, Mason’s story seems well ahead of its time. His retention is around 76%, which offers yet another proof point of the perfectly obvious ... it’s better to hire someone and hold on to them.

The interesting thing is, employers like Mason get celebrated for their generosity in being willing to pay employees more, but it’s not only the money that allows them to succeed. It’s also the fact that someone who prioritizes their people financially is likely to do so otherwise too. Other competing brands might now be willing to pay $17 an hour for a worker because they are desperate. Their retention, though, is unlikely to get any better because that higher wage isn’t also accompanied with a higher level of care for their workers.