Average cost of a big mac6/28/2023 The labor shortage issue has been widespread for the burger chain – even forcing some stores to limit hours of operation. The news of McDonald’s increasing menu prices comes as the restaurant industry battles a supply chain crisis (read: here & here) and labor shortage that is disrupting operations. “Certainly, I was hoping and expecting that we were going to see the situation improve maybe a little bit more quickly than what’s materialized,” Kempczinski said. Rising labor and commodity costs are pushing up menu prices in the US by approximately 6% this year. ![]() On top of that, labor costs are up at least 10%. He said commodity costs are up 3.5% to 4%, up from the 2% increase earlier this year. ![]() The problem with higher-priced menu items is that they will diminish the buying power of the working poor who frequent the Chicago-based burger giant.įamous for the Big Mac burger, the company is paying more for food, packaging, and other supplies, CEO Chris Kempczinski told investors Wednesday. McDonald’s is faced with higher food and labor costs, is raising menu prices at a much faster pace than historical rates, focused on preserving profits.
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