I was in management when the wage in AZ was raised to $7.25 an hour. We just cut hours like a sonofabitch to make up the difference.

In these corporate fast food joints, every cent is tracked. Food costs can be controlled to a point but nothing can be controlled like labor can.

They will cut labor hours before they pass the cost along to the customers.

Don't forget they have share holders to keep happy and must show an increasing profit year over year.