Chipotle hires robots in California to make food to avoid paying $20 min wage

Chipotle restaurants in California have introduced two robots to replace human workers in an effort to slash labor costs in response to the state-mandated $20 minimum wage. The first robot called the "autocato" can peel, stone, and cut an avocado, and then turn it into guacamole in 26 seconds. The other robot dubbed the "digital makeline" has the ability to portion salads and bowls based on orders from the mobile app.

The robots are part of an automation push that Chipotle's executives think could reduce the number of employees and help lower rising labor costs, as reported by the Daily Mail. The machines are currently being used at restaurant locations in Huntington Beach and Corona del Mar.

The controversial $20 minimum wage hike signed into law by Gov. Newsom took effect on April 1, which immediately sparked mass layoffs and permanent business closures. Burger King and other chains have already reduced the number of cashiers by rolling out digital ordering terminals in their Golden State locations.

While Chipotle believes the robots would advance its operational procedures, the impact on its labor costs remains unclear.

"These robotic devices could help us build a stronger operational engine that delivers a great experience for our team members and our guests while maintaining Chipotle's high culinary standards," said Curt Garner, Chief Customer and Technology Officer in a press release on Monday. "Optimizing our use of these systems and incorporating crew and customer feedback are the next steps in the stage-gate process before determining their broader pilot plans."

The Mexican chain stated that the continued distribution of the new machines to additional restaurants will be contingent upon feedback from customers and staff.

Chipotle contended that the utilization of the machinery was not solely about "efficiencies," but also about the consistency of its menu items. The company, which operated nearly 3,400 locations in the United States, acknowledged in July that there were legitimate customer complaints regarding disparities in portion sizes among its stores.

The digital makeline is expected to free up a significant amount of staff time, as two-thirds of the chain's orders are for salads and bowls, according to executives.

It's unclear how employees feel about being replaced with robots.