Economic Reality and Delivering Pizzas
August 1st, 2008 by Ana
Last weekend I mentioned the numbers on the economics of delivering pizzas changed with the new pay scale that went into effect with the increase in minimum wage. Today in between deliveries, I ran hard numbers from the last two weeks of this new pay scale and it wasn’t pretty.
Minimum wage went up 70 cents an hour, and to compensate the boss man cut our per-delivery pay by 53 cents per delivery. Since I could only find two nights recedntly where I only ran one delivery per hour or less, this is actually a PAY CUT for me. Last weekend I was running 2 or 3 deliveries per hour.
Gas prices have eased a little bit in the past week, coming down from $3.99 per gallon for 87 octane to one station only charging $3.65 per gallon. Since I can remember $0.68 per gallon in 1999, I say “only” with my tongue firmly in cheek.
What my number-crunching this afternoon showed me is my earnings delivering pizzas has taken a nosedive. When I started driving just one year ago, I was making an average of $14-15 per hour when figuring in hourly, gas offset/per-delivery pay, and tips. The numbers from these past two weeks has only been $8-11 per hour. That’s BEFORE gas expenses are deducted.
I just told the boss man to not schedule me anymore, unless one of two things happens:
- Gas comes back down to $3.25 per gallon or less; or
- He raises the per-delivery pay
He didn’t look the least bit surprised when I said it. We drivers tried to stage a mini-revolt last weekend at the employee meeting, and the Boss Man reminded us that Tennessee is a “work at will” state … which means it’s our choice to work or not. The insiders have been grumbling that they think we drivers were being paid too much before this pay change.
The Boss Man may not have looked surprised, but he also told me he’d look into whether he could raise our per-delivery rate. For now, I am not going to be scheduled, by my request. The economics have changed, and it’s just not worth the time away from my family at present.
We’ll be okay financially … that was the point of getting out of debt! We just won’t be moving as fast towards our financial goals. Only owing a mortgage and utilities gives us the freedom to make quality-of-life decisions like this.
Posted in pizza delivery |
August 1st, 2008 at 11:28 pm
Way to stick up for yourself!
Hopefully the boss or the company will understand and help out.
August 2nd, 2008 at 12:39 am
Good for you!!
August 2nd, 2008 at 9:30 am
[…] Revolution - Economic Reality and Delivering Pizzas I guess Dave Ramsey’s advice to ‘get a pizza delivery route to get out of debt’ is […]
August 2nd, 2008 at 4:33 pm
How much does your pizza boss charge for pies? I’m sure he has had raw material increases, but how much is he charging these days?
It seems to me that the media and the talk shows are doing everything they can to send our economy into a recession. Employers are frightened and consumers are fearful. It’s turning into a self-fulfilling prophesy at this point.
Why should you take a pay cut? Why is your boss so frightened into thinking that his product and service aren’t worth the same cost of living as so many other products. Movie tickets? Cable TV? Cell phone plans? Microwave Popcorn?
Sorry, you’re trying to make a point and all I want to do is vent. It’s nice to hear from you even if it is nothing but more bad news.
August 4th, 2008 at 2:02 am
It’s not just pizza deliveries. Groceries are getting expensive too. Taking the trip to the nearest warehouse chain is not that feasible anymore. Having two jobs is not even enough especially if you have bills to pay.
August 4th, 2008 at 2:05 am
I like how you get to work only when you like it and not whenever you’re boss says so. You can devote your time to other worthwile things or other money making schemes.
August 5th, 2008 at 10:12 pm
Good on you for sticking up for fair pay. It is incredible that they absorbed the increase in minimum wage by cutting your per delivery rate. I think you did the right thing.
August 7th, 2008 at 5:33 pm
I have read your blog in its entirety, and while you may feel validated in your blog, you paint your “bossman” as someone out to make a buck on the backs of is employees.I find that hard to believe. He is an independent business man(not part of a major corporation). The price of everything has gone up. The cost of flour, cheese, and other raw materials have gone up, including a fuel tax that is added to invoices. That is the economics of a small business.
Since I am on the topic, does your “bossman” provide hats and shirts for you to wear for free? Who pays for that? Did he exhaust every possibility before reducing your “per delivery charge”? I dont understand your math of $14-15 per hour. Minimum wage was 5.85 per hour. If you made lets say $1.25 per delivery and you did 4 deliveries per hour, that is only 10.85 per hour not including deliveries. As a consumer, you can’t bank on EVERY delivery giving you a big tip or one at all. In today’s economy, most factory workers don’t make 10.85 a hour and top out at $14-15 per hour.
It seems to me that you want him to cut his profits to make sure you make $14-15 an hour despite the fact that his costs are rising as well.
August 19th, 2008 at 3:22 pm
I used to deliver pizza a long time ago- man was that awesome!
Costumes, managerial conflict, free food, stiffing customers- I miss it every day.
I’d go home crying laughing every single night.
September 2nd, 2008 at 1:30 am
What I liked the most about this post is the last part… where you talk about having the freedom to decide what you do with your life.
By having this freedom for sure you can find another part time opportunity to get out of your other debts!
Thanks
September 16th, 2008 at 8:27 am
wow, i’m losing my job on Nov 1. seems like the us economy is going into the toilet. with no disrespects to you, i sure hope i don’t end up delivering pizza. i know for sure it won’t make a dent in my mortgage no matter how many pizzas i deliver. so i feel for ya.
September 22nd, 2008 at 10:17 am
i think that what you guys are asking from the ‘boss man’ is very reasonable… i have been a delivery boy myself way back when, and i would have done the same thing if i had been in the same situation…
October 6th, 2008 at 11:40 am
I’ve worked as a delivery boy too and the conditions were better than yours. And still I leaved that place because of the conditions. I was running all day long and I couldn’t stand it anymore.
October 11th, 2008 at 9:03 pm
It seems like the “boss man” used the increase in minimum wage as an excuse to pay less. That’s strange.
October 12th, 2008 at 9:22 am
No matter were you live the crisis is affecting all kinds of jobs. What I suggest is to be good at what you do and make sure your boss needs your work.
October 15th, 2008 at 12:44 am
The minimum wage went up, the pay per delivery went down. Same thing happened last year. The bossman doesnt have to pay a dime if he doesnt want to on the pay per delivery. The drivers at this store deliver pizzas and thats it, no making pizzas, no taking orders on the phone, no washing dishes, no folding boxes. Thats right, the driver can be sitting down and reading a book for an hour AND STILL GET PAID! She failed to mention that. The drivers at this store GET PAID MORE, AND DO LESS WORK than ALL the pizza delivery jobs in town. When you have a driver who complains about ONLY getting a $2 tip, while still averaging over $3/tip per delivery, maybe its time for that driver to leave, and she did. Afterall, she made enough money to get out of debt. Also, the drivers at this store DO GET PAID MORE THAN THOSE who do everything else. Never had a problem with her, but i feel like you guys should know it isnt a terrible place to work, and she was the ONLY one to leave.
October 15th, 2008 at 6:03 pm
Ex-coworker,
you may be right that she was the only one to leave, do you think she was the only one to run the numbers and care about the financial future? I commend her for stepping up and taking her own destiny into her hands..kudo’s to Ana…
October 16th, 2008 at 12:21 pm
[…]you may be right that she was the only one to leave, do you think she was the only one to run the numbers and care about the financial future? I commend her for stepping up and taking her own destiny into her hands..kudo’s to Ana…[…]
i agreed
October 21st, 2008 at 4:48 am
Aldous Huxley, author of the classic novel, Brave New World, gives his readers a “warning” of what would come to pass if the government completely controlled our everyday lives. Published in 1932, Huxley wrote the book based on his prediction of how London, his hometown, might look in the year 2540, assuming the continuance of programs to end war, conflict, suffering, and antagonistic (aka: “free”) thought. Huxley painted a picture of what the world would look like if people were unable to speak their minds, or live how they want to, free from the confines of the multiple levels of government. Many people criticized and continue to criticize Huxley for his novel. Several seeds have been planted in the U.S., which have created alarming parallels to Huxley’s novel. The socialist and communist movements have been lurking in the shadows of America for many generations, but the movements have recently come to the forefront of the political platform. Some politicians are attempting to assign the government exclusive control of too many aspects of daily life. For example, in certain areas of Los Angeles, elected officials have created restrictions on where new fast food restaurants can and cannot establish themselves. Yes, you heard me right; the “man” is telling you that you can’t get a juicy hamburger and fries in South L.A., whether you like it or not. What’s worse is that state and national politicians are trying to rob you of your right to access fast and easy payday loans. Politicians want to eliminate payday loans in an attempt to win the votes of bigger corporations like banks, so they can take office and promote their self-interests. Stand up and be heard.. Fight to free yourself from the government’s ever-increasing power over your daily life.
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October 24th, 2008 at 3:30 am
Alaska Governor Sarah Palin, who is currently a Vice Presidential Candidate, has been getting more negative responses from the mainstream media than she has in praises. For example, last weekend she made her late-night entertainment debut on NBC’s well-liked pop culture mainstay, Saturday Night Live. Instead of praising her for being the good sport she was, she was criticized by the press for her appearance. For several weeks now, jabs left and right have been taken at Palin, attempting to knock her out on everything. They question her performance as Governor of Alaska and her possible position as the Vice President of the United States. They had even extensively utilized the story of her seventeen-year old daughter who got pregnant out of wedlock to spread a horrendous tale to further condemn the VP candidate. Some in the media, including moderate experts, have stooped so low as to insinuate that our country will fall if something should happen to Republican Presidential Candidate John McCain, forcing Palin to take over the office of Presidency. These attacks are low-blows packed with half-truth or outright lies. Conversely, a large number of people admire Palin for her hard work and efforts that brought better things to her home state of Alaska. Many come to her defense, pointing to her unwavering support for the disabled, her work in the interest of children and people with special needs. People have put their faith in Sarah Palin, considering her support for personal responsibility and financial freedom. Much of this includes her fight against the destruction of cash advances, which is a legitimate and invaluable resource that many responsible, hard-working citizens have come to rely on in times of unexpected financial situations.
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October 30th, 2008 at 3:58 am
The United States of America is now experiencing financial meltdown but despite of this problem the forthcoming 2008 Election is one of the biggest happening in the country for this year. Alexis de Tocqueville, the great French political philosopher, once said, “The surface of American society is covered with a layer of democratic paint, but from time to time one can see the old aristocratic colors breaking through.” Although that quote was first spoken several decades ago, it seems fresh to the ears, ringing true nationwide during this election. In this case, we have elected government officials and hopefuls, for some reason or another, who have at least claimed that cash advances are damaging to the American people. Some have even gone as far as to propose devastating measures that would wipe out the entire industry in some states, or even the whole country! Ohio Governor Ted Strickland is one of the people supporting these initiatives. He is on the move to pass Ohio’s HB 545, which will, in fact, destroy the industry and leave about 6,000 of his people unemployed. Even worse, both Presidential candidates, Barack Obama and John McCain supported a bill that ultimately banned payday loans to military personnel. In addition to that, Obama is supporting related propositions that will make it almost impossible for short-term lenders to continue operating. Let’s continue our concentrated effort to keep those aristocratic colors from breaking through while we fight not only for the good fate of payday loans, but for our rights to financial freedom.
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November 3rd, 2008 at 10:38 am
It may sound funny but is the reality for many people whose jobs depends on Motorcycles or cars.
November 3rd, 2008 at 9:41 pm
Have resorted to taking my breakfast, and occasionally lunch with food in the office pantry (Dry biscuits with sugar bit on top), bring office supplies home and staying overtime (Without compensation) to clear up freelance work. Life is tough.
November 6th, 2008 at 4:45 am
Are you planning to do some more pizza delivery again when the new semester starts? With the cost of gas falling again it may make it viable again. It’s always good to here that you have no significant outstanding debts other than your mortgage, which let’s face it, most people will have.
November 10th, 2008 at 3:50 am
The long controversy on the presidential candidates had end. The election is over and America has appointed a new leader. The people have chosen “change” by electing Barack Obama for the next President of the United States. Whether the United States changes for the better or for the worse, there is no doubt that change is in store for our country. It’s clear that Americans believe Obama will bring a positive change to our country. Everybody is expecting changes and improvement to our country. We’ve heard many of the promises he has made to the U.S. from lowering taxes for the middle class to putting a timeline on the war in Iraq and trimming the federal budget “line by line.” However, Obama also supports the elimination of the payday loan industry. He believes that eradicating the payday loan industry will protect low-income and families in general from falling victims to predatory lenders. On higher ground, it will be a violation to our financial freedom if the option to utilize affordable payday loans is wiped out. There’s no assurance that removing payday loans would be a good solution in terms of economical crisis that all of as is suffering up to the present day. Threatening our rights to financial freedom is not a great start to creating positive change. We should always think twice, be open-minded!
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