Yahoo Tech‘s story on Domino’s testing out automated deliverers starts out with “Domino’s thy name is innovation.” But it actually should start out with, “Domino’s deliverymen, thy name is death because of the minimum wage.”
Reportedly, Domino’s is testing an automated delivery experience over in Australia. The pizza titan is expecting to deploy an automated vehicle that can follow a map, avoid obstacles, navigate sidewalks and keep your pizza hot and fresh en route to your home.
Oh, and your drinks will remain cold so don’t worry about that!
Domino’s has ostensibly been testing out the four-wheeled robot vehicle throughout Queensland for a little while now. But now it’s ready to expand the project. You may think that it’s just an early April Fools joke, but Domino’s assures the public that it’s no jest.
“Domino Robotic Unit (DRU) DRU is cheeky and endearing and we are confident that one day he will become an integral part of the Domino’s family. He’s a road to the future and one that we are very excited about exploring further,” said Domino’s Group CEO and Managing Director Don Meij in a statement.
“The DRU prototype is only the first step in our research and development as we continue to develop a range of innovations set to revolutionize the entire pizza-ordering experience.”
Is this a case of innovation or an answer to rising labor costs? Both.
It’s true that automation is just a part of the evolution of the marketplace. It’s a way to cut down on costs, lower prices and satisfy the customer. However, with pushes all over the Western world to raise the minimum wage substantially, it looks as if automation has been amplified in all of the businesses involved in the service sector.
McDonald’s cashiers are being replaced, fast food cooks may soon be replaced with machines and waiters are gradually being replaced with machines. And these things are happening in such a short amount of time as opposed to unfolding over a longer period of time.
The Foundation for Economic Education’s Adam C. Smith wrote a very interesting op-ed examining how businesses enhance their automation capabilities when governments try to impose mandated wages.
“A nationwide minimum wage will do more for Silicon Valley engineers than it will for struggling inner city youth,” wrote Smith.
He added:
“The challenge facing employers and employees is to create value for their customers. No mere wave of a pen can magically increase the value that is created. The minimum wage perversely harms those it is intended to help, as it is the least productive workers who will first be replaced by machines.”
In the future, delivery men will become obsolete. The minimum wage has claimed another victim.
Why limit this to just Pizza? Why not use these to eliminate Fedex, UPS, USPS?