Chipotle says it will raise menu prices by about 4%

Posted at 12:42 PM, Jun 09, 2021

Chipotle fans will pay a few cents more for their burrito bowls in the near future.

Chipotle executive Brian Niccol said Tuesday at the Baird Global Consumer, Technology and Service conference that the fast-casual Mexican chain had raised prices by about 4% to cover a recent wage increase for its employees.

The 4% price increase means a customer with a $10 order would pay an additional 40 cents for their food.

According to the New York Times, Niccol said that the company preferred not to raise prices, but "it made sense in this scenario to invest in our employees and get these restaurants staffed, and make sure we had the pipeline of people to support our growth.”

In May, Chipotle announced it was increasing restaurant worker's wages to an average of $15 an hour, CNN reports.

The wage hike comes as restaurants across the country are struggling to hire workers as the country emerges from the COVID-19 pandemic. Chipotle itself says it plans to hire 20,000 workers this summer, according to the New York Times.

CNN reports that McDonald's and Darden Restaurants — the parent company of Olive Garden and LongHorn Steakhouse — have raised wages for their employees in recent weeks.