“On the labor side, we're probably seeing a little over 10% labor inflation right now.”

In context

“ou've teased out things like menu with chicken and beverage and technology benefits in CRM and the operations, but I'd love to get your sense about what's most important on the horizon? Thanks. Chris Kempczinski: Okay, you go Kevin. Kevin Ozan: I'll start with the inflation and then we'll go back to Chris on your second question. So let me give a perspective. Right now, second quarter year-over-year in the US, food and paper inflation -- well, let me talk about it this way. For the full year in the US, we expect roughly 12% to 14% inflation. It's a little higher than that in the second quarter, likely a little higher than that in the third quarter. And then we expect to see it to moderate some in the fourth quarter. Obviously, that's based on what we know today. That's on food and paper. On the labor side, we're probably seeing a little over 10% labor inflation right now. Part of that is, we had strategic wage rate increases in our company-operated restaurants kind of mid last year. So, we won't start lapping those until the second half of the year. So more of that inflation was hit in the first half of the year than the second. To your point on the international side, right now, the range is probably similar on average, the 12% to 14% for the year, but a couple of things there. One, we're probably at the higher end of that range on the international side. Two, there's probably a wider range of scenarios like Chris talked about. And three, different than the US, we don't see that moderating. Their increases will actually likely be higher in the third and fourth quarter than they were in the first and second quarter. So, to your point, Europe is getting hi”