Ashby Gets Cash, Seek Pulls Out, and Hockey Hooters

[00:00:00] Hi, it's your kids. Lock the doors. You're listening to HR's most dangerous podcast. Chad Sowash and Joel Cheeseman are here to punch the recruiting industry right where it hurts.

[00:00:11] Complete with breaking news, brash opinion and loads of snark. Buckle up boys and girls. It's time for the Chad and Cheez Podcast.

[00:00:19] Oh, yeah. Two guys who love girls with new wave hairdos and hockey jerseys. Hi kids. It's the Chad and Cheez Podcast. I'm your co-host Joel Omaha Cheezeman.

[00:00:37] This is Chad. Let them out, Sowash. And on this episode, Ashby more like Cashby. Seek pulls out and hockey hooters. Let's do this.

[00:00:50] What's up, Bureau Chad? No, I'm representing today. Is that the Portuguese national official shirt? Is Ronaldo going to be, is he done on like the national team stuff?

[00:01:02] I don't know. I don't know if he's just playing Saudi Arabia and then he'll come back later or not. I mean, I don't think we need him. We are stacked with talent.

[00:01:10] He's 39, I think. My kid loves Ronaldo. I mean, what's not to love? But like loves Ronaldo. Ronaldo and Messi are like Jesus A and B for my kid.

[00:01:20] Dude, if you want to see Jesus A like Ronaldo go to Madeira where he was actually he was born and that entire island, which is gorgeous by the way, is like Ronaldo heaven.

[00:01:32] Yeah, when we're in London for rec fest, I think I think the wife's going to try to hit the Cincinnati Miami game, which should include Messi as playing.

[00:01:41] Although I think he's sort of hit or miss. Those tickets aren't going to be cheap. Not going to be cheap. But I think there's always question of whether he'll be there or like what he's doing.

[00:01:49] So anyway, I'll be in England. I won't worry about it. But that's that would really make my son happy for sure is what it is. Is what it is. All right.

[00:01:57] You were sick yesterday. You good now?

[00:01:59] Yeah, I'm good. It was the Algarve flu, which makes sure that it doesn't take you off the beach for too long.

[00:02:05] Yeah, and beach is a good remedy for most sicknesses by the way. But yeah, we got a lot to go through. So let's get to shout out.

[00:02:12] Shout out!

[00:02:13] I've got quite a few and you have like one. So I'll go ahead and knock a couple out. My first one is we're recording this on June 6th, which was D-Day 80 years ago.

[00:02:22] A lot of kids don't appreciate it or know it. You and I are a little bit up there in age.

[00:02:26] But for those that don't know 150,000 allied troops landed on Nazi occupied France on this day 80 years ago.

[00:02:33] Seventy-two thousand Americans, sixty thousand British and fifteen thousand Canadians.

[00:02:38] It was the largest amphibious invasion in on record and still remains.

[00:02:42] Twenty thousand Normandy residents perished during that time, which a lot of people don't talk about.

[00:02:49] Number of Germans killed a little bit of a mystery.

[00:02:51] Most estimates put it like five to ten thousand Germans who died, but a credible sacrifice.

[00:02:57] You and I are beneficiaries of the sacrifice that our grandparents made.

[00:03:02] And so is Europe.

[00:03:03] Just wanted to, yeah, the world at large for the most part.

[00:03:06] And just wanted to point that out that we are recording on a historic day and wanted to shut some light on this day 80 years ago.

[00:03:13] Yeah, and if you've never been to Normandy, go. You've got to go to the beaches of Normandy.

[00:03:17] We actually took the kids a few years ago and we were doing a whirlwind tour of Europe and I had to go to Normandy.

[00:03:23] So we did. And it is all inspiring to think of trying to actually hit those beach heads and then having fortified defenses that you can actually go in and walk in and whatnot.

[00:03:35] But having fortified defenses against you was it's amazing.

[00:03:39] So if you get a chance, if you ever get a chance, people just travel, get the hell off the couch, go travel, go enjoy yourself and go visit places like Normandy.

[00:03:48] I mean, the cemetery there, the U.S., the American cemetery that is there, it'll set you back.

[00:03:53] It's haunting. And I can't imagine you actually served in the military.

[00:03:57] So your perspective is much different than mine.

[00:04:00] But I made sure to go to the edge of the water, turn around and try to envision what it was like with pillboxes and obviously arms.

[00:04:07] Coming down, all the beaches are pretty cool.

[00:04:09] You know, and like the Canadians did a really good job.

[00:04:12] The artistry around the English beach, just really cool stuff.

[00:04:16] They're all very different.

[00:04:17] Every country has sort of done their own commemorative around each one.

[00:04:20] But don't just go to one beach.

[00:04:22] Try to go to all of them.

[00:04:23] Very special experience and should be on everyone's bucket list for sure.

[00:04:27] Agreed, agreed. Well, we also had another special experience.

[00:04:30] We actually got to meet Dennis Tupper in the flesh at Unleashed.

[00:04:34] But my shout out goes to Dennis Tupper.

[00:04:37] This is almost an Indeed free show, kids.

[00:04:39] So this is very special.

[00:04:41] But five years ago we recorded an episode with Dennis entitled Indeed Conspiracy Theories where his first prediction was indeed pivoting to staffing.

[00:04:51] Yes, back in 2019, as Joel always says, predictions aren't wrong.

[00:04:56] They just haven't happened yet.

[00:04:58] So shout out to Dennis Tupper Domus.

[00:05:01] That's right.

[00:05:02] And here's to you Tupper, your favorite sound bite.

[00:05:05] What are you doing, step bro?

[00:05:08] All right. I got a couple more shout outs.

[00:05:10] One is going out to Shu-O Wang.

[00:05:12] She's the co-founder and chief revenue officer at Deal who we talk about quite a bit on the show anyway.

[00:05:18] She is one of the newest recipients of Forbes richest women in the world.

[00:05:23] Also $850 million.

[00:05:25] She is now number 39 on the list.

[00:05:28] So shout out to her.

[00:05:30] Great success and it's great seeing women co-founders getting acknowledged on major media and fattening their bank accounts.

[00:05:38] Yes, in our space.

[00:05:40] Interesting story.

[00:05:41] She was a Chinese immigrant.

[00:05:42] Obviously we talk about immigration quite a bit.

[00:05:44] Chinese immigrant 16.

[00:05:46] She sold scooters in high school at local flea markets.

[00:05:50] She went to MIT.

[00:05:51] She started an air purifier company called Aegis.

[00:05:56] And then she founded Deal.

[00:05:57] So incredibly successful and shout out to her.

[00:06:00] And my final shout out goes to Sweet Green, one of my favorite restaurants, Chad, because they serve up salads like nobody else's business.

[00:06:08] Just kidding.

[00:06:09] I've never set foot into Sweet Green, although I drive past one as I go to Taco Bell on a regular basis.

[00:06:14] Will you ever?

[00:06:15] Yeah, anyway.

[00:06:16] So they're one of the first companies, public companies to talk about how automation has impacted their business.

[00:06:23] They have an automated system called Infinite Kitchen that will shoot out salads and the salad veggies and everything that goes on the salad.

[00:06:32] Sounds pretty simple, but it's made a big dent in their margins, which have increased 28 percent.

[00:06:37] They've increased order accuracy and efficiency.

[00:06:40] And they actually pointed out improved employee retention due to the new automation.

[00:06:47] So their stock has been rewarded.

[00:06:49] And as Wall Street typically reacts, every other company will want to start automating and reporting the automation numbers in their quarterly reports.

[00:06:58] So just like the year of efficiency, I predict that the year of automation is coming upon us and Sweet Green's maybe one of the first companies to start start that trend.

[00:07:08] Yes.

[00:07:09] And I'm going to say it's the decade of efficiency because it's not going to happen just this year.

[00:07:14] And this is what we should get used to.

[00:07:16] And this should be literally the focus of all of our jobs.

[00:07:19] Number one, because if we become more efficient, we can do more.

[00:07:22] Right.

[00:07:23] Again with less, which is nice, which means we can go hit the beach and not to mention we can possibly take a little time to go register for some free stuff at ChadCheese.com slash free.

[00:07:33] You can win craft beer.

[00:07:34] Never automated.

[00:07:35] Never automated.

[00:07:36] This is the free stuff at Chad and Cheese.

[00:07:37] Not yet.

[00:07:39] Free craft beer from Aspen Tech Labs.

[00:07:42] That's right.

[00:07:43] Our kids over at Aspen Tech Labs.

[00:07:44] T-shirts from Aaron App.

[00:07:46] Those lovely, lovely t-shirts.

[00:07:49] New guns and roses.

[00:07:50] Feels like a hug from Chad and Cheese thanks to Aaron App.

[00:07:53] Whiskey from Tex Colonel.

[00:07:55] One bottle from Joel.

[00:07:56] One bottle from Chad because Tex Colonel loves you twice as much as every other company that's out there.

[00:08:02] And if it's your birthday, it's rum from Plum.

[00:08:07] Go to ChadCheese.com slash free and register.

[00:08:10] Do you feel the tension in the air right now?

[00:08:13] I know I can.

[00:08:14] I can feel it all the way down in my lungs.

[00:08:16] Alright, Chad.

[00:08:17] Some listeners enjoying another year around the sun.

[00:08:20] This will be a mega birthday shout out because as I mentioned in last week's show, I am taking some time off to be on a beach in Vietnam and hanging out in Singapore.

[00:08:30] But celebrating another year around the sun include Karen Wong, Anders Storm and Christina Baciu, Mark Anderson, Andy Patterson, Martin Dangerfield, Scott Allen, Liz Wessel, Kim Oelstra, TJ Lowe, Jim Stroud, Robin Walsh, Zach Martin, Aaron Bosko Vuchatovich.

[00:08:53] I said that incorrectly.

[00:08:54] Probably Olga Nasriva, Jay Arnold, Katherine Henry, Jane Curran, super fan of our show by the way.

[00:09:00] Eric Baker, Nicole Bowers, Katie Wagster, Linda Whitmore, Lindsay Nimar, Courtney Howard, Jamie Hartler, Roberto, Jesse Sims, Andreas Lofgren, Josh Gamble, Amy Warren, Vince Morgan, Anna Brekka, Nancy Barisavoy and Matt that British guy Alder.

[00:09:18] Don't call him Matt.

[00:09:19] I'll celebrate another trip around the sun.

[00:09:22] Happy birthday.

[00:09:23] Happy birthday everybody.

[00:09:25] Excellent.

[00:09:26] I didn't get a lot of two babies.

[00:09:27] We are getting too many fans.

[00:09:28] What are we going to do about like at one point our birthdays are going to be way too crazy to talk about?

[00:09:32] I don't know.

[00:09:33] It'll be a separate podcast like The Shred.

[00:09:35] We'll just do a birthday podcast.

[00:09:37] We'll figure something out.

[00:09:39] We'll figure something out.

[00:09:40] Events kids, Wreckfest, Wreckfest, Wreckfest.

[00:09:43] Nebworth is happening.

[00:09:44] That's right.

[00:09:45] Nebworth Park just north of London.

[00:09:46] Just hop on the train.

[00:09:47] You'll be right there.

[00:09:48] It's a one day event July 11th.

[00:09:50] And today, Joel, I actually got an email that said there's only 500 tickets left and you say, oh 500 tickets.

[00:09:56] That's a lot.

[00:09:57] Oh no, it's not.

[00:09:58] That should go fast.

[00:09:59] So if you do not have your ticket and your team's tickets because this is an all hands kind of thing kids.

[00:10:04] You come, you learn together, you talk together, you meet other people in the industry and you know you have a little drink, little libation after.

[00:10:12] You got to come.

[00:10:13] That's on July 11th.

[00:10:14] Then in Nashville is a two day event.

[00:10:17] That's right.

[00:10:18] We're doubling it up in the United States, September 12th and 13th.

[00:10:24] So really excited.

[00:10:25] We're going to be on the disrupt stage in Nebworth.

[00:10:28] I think we're still working on Nashville.

[00:10:31] We're going to be there.

[00:10:32] No questions.

[00:10:33] Just what we're going to be doing there.

[00:10:34] We will be doing parties.

[00:10:35] I can fucking guarantee you that.

[00:10:37] But if you haven't gotten your tickets, go to Wreckfest.com.

[00:10:40] Pick Nashville.

[00:10:41] Pick Nebworth.

[00:10:42] Pick them both.

[00:10:43] Pick them both and we'll see you there.

[00:10:45] And nothing says party Chad like Cole Cheeseman up in Nebworth passing out t-shirts.

[00:10:51] Let's check on Cole.

[00:10:52] He's on summer break.

[00:10:53] Let's see what he's doing.

[00:10:54] Geez, geez.

[00:10:55] He's in a bad mood.

[00:10:56] And while you're talking about that, I'm bringing some sexy to the show for the next couple of weeks.

[00:11:00] Okay, because you know cheese is not going to be here.

[00:11:03] So I got to bring the sexy to the show.

[00:11:05] So the first week we are going to have, give me one second here kids, and then we're going to have a little bit of a party.

[00:11:12] We are going to have, give me one second here kids, Maureen.

[00:11:16] Oh, there we go.

[00:11:19] She's going to be next week's co-host and then guess what?

[00:11:24] And then we have another Joel coming.

[00:11:26] Not a Joel Cheeseman, but a Joel.

[00:11:28] So yeah, we're going to go ahead and we're going to have Mo and Joel the next couple of weeks while you're out to give you a little time off because you deserve it.

[00:11:40] I don't know if anybody told you that or not, but you deserve it.

[00:11:44] I know you need somebody named Joel on the podcast at all times if at all possible.

[00:11:50] If you're not watching on YouTube, you just missed all the fun stuff we just did.

[00:11:55] So go to YouTube slash at Chad Cheese and subscribe.

[00:12:00] And I'll book in this travel news by saying that I am unplugging for about two weeks headed to Asia, Singapore and Vietnam.

[00:12:09] So if you email me, don't expect an immediate response.

[00:12:13] If you hate something I do like I like I'm out.

[00:12:16] I'm out people podcasting isn't necessarily a job per se.

[00:12:20] It does take up some ongoing thought to get this show on a regular basis.

[00:12:23] So I am excited for a couple of weeks off not from Chad miss him deeply.

[00:12:28] But yeah, everybody else I'm taking some taking some time off and I'm a little bit disappointed that I'm going to miss out on some time with Toby Dayton.

[00:12:35] If you guys listen to the monthly jobs report show CEO from link up gives you incredible data.

[00:12:41] We dig into it like CNBC and Bloomberg do not so make sure that you catch that.

[00:12:46] It will just be a Chad and Toby show.

[00:12:48] I will maybe make an appearance with a guest video, but otherwise that's that's coming up next week.

[00:12:54] Topics.

[00:13:00] Ashby more like cash be the San Francisco based ATS has raised 30 million dollars in a series C round bringing its total to 70 million dollars.

[00:13:10] The company will use the funds for product development and enterprise expansion.

[00:13:14] They count companies like Open Door, Reddit and Deal.

[00:13:17] There's still again as clients founded in 2018.

[00:13:20] They employ 130 folks.

[00:13:22] Chad we've seen a lot of ATS is over the years.

[00:13:25] Tell me what you think about the new kid on the block.

[00:13:28] The new kid on the block.

[00:13:29] So I mean in the current environment, we've talked to a ton of investors and they're all saying it's really hard to get funding unless you are angel or seed right?

[00:13:39] So 30 million in anything past that is that's a pretty damn good round.

[00:13:44] So there's got to be something special about these guys.

[00:13:47] A couple of excerpts from the announcement from Benji Ashby's co-founder and CEO.

[00:13:52] While we have grown more than six times since our series B and we're now serving over 1300 customers, we are by no means complacent.

[00:14:03] I'm continuously disappointed by the state of software products today.

[00:14:07] Software should be more intelligent, powerful and do more for us today.

[00:14:12] Most business software is still a simple database with a few delightful and truly helpful features.

[00:14:19] So where does Ashby have the advantage going into the space?

[00:14:24] Well, newer platforms are more nimble because they're not playing the heavy tech debt game and they're thinking about creating systems that recruiters want to be in all day.

[00:14:34] So they're thinking about the entire experience, not just a job seeker experience.

[00:14:39] Also, Ashby has integrated sourcing as a feature for targeting qualified candidates in your already paid database.

[00:14:48] Right? So something we've talked about on this podcast for years.

[00:14:52] You spend all that money, you might as well have your applicant tracking system serve up candidates that already are qualified or may have already been through the process with you before.

[00:15:01] And AI is turning sourcing as a platform into a feature.

[00:15:07] That to me, and that's what we've talked about, I think a few times on the podcast since we started talking about a lot about generative AI.

[00:15:13] A lot of these platforms are really turning around to become features.

[00:15:17] So big winners for the new investment because of integrations with AI into the aspects, different aspects of their platform, including sourcing and scheduling, expanding into enterprise.

[00:15:30] That's big. Talk about opening the TAM for God's sakes.

[00:15:34] So yeah, I think for me, you know, we haven't heard a lot about Ashby.

[00:15:39] I think the first time we really saw them at an event was this year in at Transform in Vegas where they were they were like one of the first booths you saw.

[00:15:48] They had prime space and like, oh, these guys are actually coming along.

[00:15:52] So I think that was probably pimping and getting ready for this round.

[00:15:56] 60% of the time it works.

[00:15:59] By the way, kids, Chad's recovering from an illness and I'm mentally on vacation already.

[00:16:03] So don't expect too much from this week's show.

[00:16:05] Anyway, the ATS market is a weird one.

[00:16:09] Everyone hates their ATS apparently.

[00:16:12] So it tends to be like a relationship that is bad and you want to get out of it.

[00:16:16] And then the instant a new thing comes along, everyone jump ship to that new thing.

[00:16:21] You and I have been around long enough to know when iSims was cool.

[00:16:24] Then Jobvite was cool.

[00:16:26] Oh, social media. That's awesome.

[00:16:28] Smart recruiters was cool.

[00:16:30] Greenhouse was cool, has been cool for quite a while.

[00:16:33] And now comes along Ashby to be the cool new thing that everybody wants to leave their current relationship and jump on on Ashby.

[00:16:41] They have some really cool companies that are clients they have to their credit raised in a way that their competitors have.

[00:16:47] Just a quick reminder, smart recruiters is raised $225 million.

[00:16:52] Greenhouse raised $110 million and iSims a total of $93 million.

[00:16:57] So Ashby is not a squirt gun in a gunfight.

[00:17:02] Like they have artillery to go on a global scale and they're talking about the enterprise rollout and going more global.

[00:17:09] So I have no doubt that they will be a successful ATS.

[00:17:12] My question will be when does something else come along to be like, OK, Ashby's old and haggard, a little bit overweight.

[00:17:19] I'm going to go jump on the next hot thing.

[00:17:21] They're going to have a hard time as everyone else has to be that cool new thing, to stay with with technology, to be a customer service juggernaut.

[00:17:29] Because we've seen a lot of ATS is come and go in terms of the cool kid on the block.

[00:17:34] And these guys are just the newest cool kid.

[00:17:36] Whether they can keep that mantle, I don't know.

[00:17:38] The ATS business at large is is challenged as we talked about on the show.

[00:17:43] It's been largely commoditized.

[00:17:44] Everyone has an ATS.

[00:17:46] So how can you go above and beyond that?

[00:17:48] And they at least are doing things with AI and trying to get beyond just being an ATS.

[00:17:52] But it's a it's a real track me.

[00:17:54] And it's really challenging.

[00:17:55] Their founders don't have a core competency around employment or recruitment.

[00:17:59] So I guess that may be a hurdle.

[00:18:01] Maybe it's a benefit, but that is something worth noting.

[00:18:04] So ultimately, I would say like good for them.

[00:18:06] They're the hot chick at the bar.

[00:18:08] Can they keep that title?

[00:18:10] History says they can't.

[00:18:11] But I'm open to the opportunity that they may be the hot chick for a long time.

[00:18:16] Greenhouse was still hot and has been hot for over a decade.

[00:18:19] So I think Ashby could certainly do it.

[00:18:21] Yeah, well, I think one of the things that Ashby has to beware of is that going into enterprise and those big contracts,

[00:18:29] they're going to ask you to do shit that you shouldn't do.

[00:18:32] The most powerful word in any language is no.

[00:18:36] Right. Turn down the money.

[00:18:38] Because I remember back in the recruit soft days before they became to Leo,

[00:18:42] they had a standardized process methodology to be able to push candidates.

[00:18:47] And it was a much more nimble system even way back then because they had standards in place for all of their customers.

[00:18:53] Then they went enterprise with some big fucking companies.

[00:18:57] And those companies broke the system because they asked them to do things from a customized standpoint for them that nobody else is doing.

[00:19:04] So it's going to be interesting.

[00:19:06] Yes, I agree 100 percent.

[00:19:08] I do think that we're getting to the point with the paradoxes, the fountains, the Harrys.

[00:19:15] And obviously now with Ashby where you have more flexible systems, but only if you say no to those bigger contracts.

[00:19:25] It all means to say no to the contracts themselves, but just some of the shit that they pile onto them.

[00:19:30] So I think they've got a good chance, but not if they succumb to the almighty dollar.

[00:19:36] Yeah. And another thing I'll point out to their credit is that they've grown pretty slowly and organically.

[00:19:42] I mean, their headcount has increased almost 100 percent over two years.

[00:19:45] But we haven't seen like the huge increase and then a drop and then sort of a gradual down.

[00:19:50] They are organically expanding headcount and seem to be doing it correctly from that standpoint.

[00:19:55] Agreed.

[00:19:56] All right, all right, all right.

[00:19:58] All right. Let's talk about pulling out Chad.

[00:20:00] See Australia's recruitment leader, you could say a public company has sold its businesses in Brazil and Mexico to recruitment marketplace specialist Red Arbor for 85 million dollars USD.

[00:20:15] This move allows Seek to focus on its core markets in Australia and Asia Pacific.

[00:20:19] While Red Arbor strengthens its position in Latin America, the acquisition is expected to significantly increase Red Arbor's revenue and market share in the region.

[00:20:28] Chad, grab a cold fosters and tell me your thoughts on Seek's latest pullout.

[00:20:33] So I saw OCC Mexico and I about shit.

[00:20:37] I mean, you talk about throwing back some memories because I know Jose Alvarez.

[00:20:42] That's what they bought.

[00:20:44] That was one of the sites that they bought in the Latam.

[00:20:47] Yeah, so yeah.

[00:20:48] I mean, in working with Bill Warren and OCC back in the days before Monster.com even existed, there was also an OCC Mundial, which was OCC Mexico.

[00:20:58] And that's what this is.

[00:21:00] And Andy McKelvey, which is really funny, TMP Worldwide bought online Career Center before they bought or after they bought Monster Board.

[00:21:09] They had the opportunity to buy OCC Mundial, but they turned it down.

[00:21:14] So Jose just made fat cash because he was just about the only Mexican job board that was there.

[00:21:21] And whether no matter what we think about, you know, Mexico's economy, they still have business there.

[00:21:26] Right. And they still need a job board.

[00:21:28] So they were doing damn well anyway.

[00:21:31] Anyway, it's a blast from the past.

[00:21:33] Earlier this year, Seek merged its three job boards.

[00:21:37] Job Street and JobsDB.

[00:21:39] That's a really bad name, which will allow Seek to be more effective to reach job seekers in Asia-Pac with a lofty ambition to help 500 million connect with 5 million companies in the region.

[00:21:52] So I think this is smart.

[00:21:54] Focus where your strengths are.

[00:21:56] And Latam is not where your strengths are.

[00:21:59] It's definitely a diversion to doing what you need to do.

[00:22:02] And this is, I believe, the main reason.

[00:22:04] In April, Seek said revenue for the full year may be slightly lower than assumed previous guidance.

[00:22:11] Approximately 15 million Australian dollars.

[00:22:14] That's 10 million US dollars.

[00:22:17] I cannot believe Seek only brings in 10 million dollars.

[00:22:22] Are you fucking kidding me?

[00:22:23] That's a little baby job board in the US.

[00:22:25] Ten billion dollars.

[00:22:26] I mean, that's that's a niche niche job board in the US.

[00:22:29] So job boards are challenged.

[00:22:32] We've talked about Zip Recruiters earnings, Indeed's earnings, etc.

[00:22:36] Seek is not immune to the downtrend in job board stock prices.

[00:22:41] In fact, their stock is roughly down 14% year to date.

[00:22:44] So cutting some fat, focusing on what we're good at certainly makes sense.

[00:22:50] They are, in terms of Asia, they're probably the number one job board.

[00:22:54] I mean, Indeed and Seek probably in those markets battle head to head.

[00:22:58] Trying to make a dent in Latin America just doesn't make a lot of sense culturally, strategically.

[00:23:04] It never really made sense.

[00:23:06] Now it's really easy for job boards to say, okay, where can we make more money?

[00:23:10] Well, let's just open up a new market.

[00:23:11] Like that tends to be a really quick conversation and easy thing to do.

[00:23:15] But then once you get into it, getting out of it is really challenging.

[00:23:18] In fact, Seek kind of took a bit of a bath in the sale price of this thing losing actually losing some money from what they've spent on growing those markets.

[00:23:26] The surprising thing to me is that you can look at Mexico and think, eh, but Mexico is now the number one trading partner with America.

[00:23:34] Sorry, Canada.

[00:23:35] Take off, Lee. We're doing our movie. Don't wreck our show, you hoser.

[00:23:38] So Mexico with the trend of nearshoring and getting away from China in more dangerous or more volatile markets for trade.

[00:23:47] Mexico is primed to be a major market in terms of growth in the near future.

[00:23:52] By the way, shout out to the new president, a female, which is great to see.

[00:23:56] Brazil obviously some political problems, but Brazil has been a huge market next year for like the last 20 years.

[00:24:03] So they can be a big thing.

[00:24:05] It also is an inroad into like Argentina, which is showing signs of a lot of opportunity and growth there.

[00:24:11] So anyway, I mean, I understand the move on the other side of it with Red Arbor, which I don't think we've ever talked about on this show.

[00:24:18] They are the number two player in those markets. Indeed, by all accounts is the number one market.

[00:24:23] Seek was number three scenario taking the number two market player and the number three market player and creating a bigger number two.

[00:24:30] So for indeed, this is bad news.

[00:24:32] They get a bigger competitor to deal with and they get one less competitor in terms of Seek.

[00:24:37] So for me, this is like let's be smart about this.

[00:24:39] Let's focus on what we know.

[00:24:41] The economy worldwide is arguably in a risky volatile place.

[00:24:46] It makes sense to focus, hopefully get your stock price up.

[00:24:49] And for Red Arbor, I think it was a big win for them in terms of taking on indeed in Latin America.

[00:24:55] Agreed. Yeah.

[00:24:56] And clearance rack at that point.

[00:24:58] No word of whether or not Bloomin' Onions and and Fosters were part of part of the deal.

[00:25:03] Let's take a quick break and talk about workers of the world uniting.

[00:25:07] All right, Chad, we got some big news in the world of work this year.

[00:25:13] We got three stories. Number one, Rubio's Coastal Grill.

[00:25:16] Have you ever been to a Rubio's? No, they're quite delicious.

[00:25:19] They have good burritos. Does Marco own it?

[00:25:21] They're also known for its fish tacos, which I know you enjoy.

[00:25:25] They filed for bankruptcy protection in Delaware, citing the rising cost of doing business in California,

[00:25:32] underscoring the state's new $20 per hour minimum wage requirement.

[00:25:36] Chad, your thoughts on this latest sob story out of California?

[00:25:41] Yeah, I mean, if you can't pay people a living wage, you don't deserve to be in business.

[00:25:46] This is a failure of leadership and not being able to effectively move with the market by involving their business model on comparably.

[00:25:54] Yeah, I went to comparably. Rubio's leadership score is in the bottom 10 percent.

[00:25:59] And I have one prediction for this.

[00:26:01] The restaurant chain dies and all the amazing local non-chain fish taco trucks and restaurants flourish.

[00:26:10] $20 an hour is $41,600 a year before taxes if that person is working full time.

[00:26:18] If you can't afford a living wage, you don't deserve to be in business.

[00:26:23] This is a really sweet story.

[00:26:26] This started out as basically like a taco stand California, I think Southern California that eventually became what it is today.

[00:26:32] Unfortunately, became a real shitty business, became mismanaged.

[00:26:36] They filed for bankruptcy previously in 2020.

[00:26:39] They closed 48 locations back then.

[00:26:42] To me, oh, by the way, they have $100 million in debt.

[00:26:45] I don't know if I mentioned that.

[00:26:46] This is a bad business. It's badly run.

[00:26:48] Tacos are hot businesses.

[00:26:50] I don't know if you heard this or not.

[00:26:51] Like Chipotle is doing pretty well.

[00:26:53] Other businesses that sell tacos and burritos and Mexican food are doing pretty well.

[00:26:57] So to me, this is like a mismanagement story.

[00:27:00] To me, blaming the $20 an hour minimum wage law requirement is a smokescreen to divert the real problem,

[00:27:09] which is the business and the management team and the way that things are going.

[00:27:13] Interesting. I wanted to quote this because I was perusing X, which I know you're not a fan of,

[00:27:18] but there are still some interesting folks including Mark Cuban.

[00:27:21] What do you mean, Twitter?

[00:27:22] Mark Cuban. Yeah, Twitter if you want to go nostalgic on me.

[00:27:25] Mark Cuban, who most people know, tweeted a comment of someone who had reported this.

[00:27:30] And Mark said, quote, when companies pay less than what someone needs to live a basic life,

[00:27:35] it's often the taxpayers that subsidize the difference.

[00:27:39] Interesting take. Personally, as an employer, I would rather pay a higher wage

[00:27:43] and figure out how to be more productive and profitable.

[00:27:46] Amen to Mark Cuban.

[00:27:48] I hope the folks at Rubio's ivory tower are listening because this is really a badly managed company.

[00:27:54] That shouldn't be blaming $20 minimum wage on their shitty business.

[00:27:59] And from one shitty business to the Death Star,

[00:28:03] Walmart is enhancing its employee benefits including a new bonus plan

[00:28:07] and training opportunities for skilled trade roles.

[00:28:11] The bonus plan is based on store performance and years of experience

[00:28:15] with potential bonuses ranging from $350 to $1,000 annually.

[00:28:21] The company is also launching a training program for hourly workers

[00:28:25] to transition into skilled trade jobs within Walmart.

[00:28:29] Chad, your thoughts on Walmart's move to bonuses?

[00:28:33] Yeah, I mean they saw attrition come down, they say,

[00:28:37] because of the opportunity to perspectively learn new skills,

[00:28:41] grow, thrive and flourish in an organization.

[00:28:44] That just makes sense, right?

[00:28:45] But I think this is where it goes off the rails.

[00:28:47] And let's start from the top down.

[00:28:49] CEO Doug McMillan received $26.9 million, $27 million in compensation last year.

[00:28:57] The median compensation for Walmart employees is $27,000,

[00:29:02] $27-ish thousand dollars.

[00:29:04] So yeah, good old Doug gets paid nearly 1,000 times that of an employee.

[00:29:10] The bonus plan, and again just doing the math on it,

[00:29:14] an FTE who has one to five years can earn a maximum bonus, annual bonus, $350.

[00:29:21] And you've got to have 20 years as a full-time worker to get the max bonus of $1,000.

[00:29:28] How many of those do you think are out there?

[00:29:30] So the math, 700,000 employees at $350 max bonus, that's $245 million.

[00:29:38] That sounds like a lot, right?

[00:29:39] Well, Walmart's annual profits were $158 billion.

[00:29:43] That's 0.15% of their profits.

[00:29:47] That's a fucking pittance, right?

[00:29:49] Giving somebody the couch cushion change, right?

[00:29:52] Oh, they should be happy about that.

[00:29:53] Fuck you.

[00:29:55] The people that are actually doing the actual heavy lifting at Walmart every single day,

[00:30:02] receiving a 0.15% of, and that's at the max.

[00:30:07] So that's just, again, this is a smokescreen.

[00:30:10] Walmart's trying to do the whole, oh look, we love our people thing.

[00:30:13] Fuck you.

[00:30:14] You're not paying them well.

[00:30:16] Not to mention, you know, that's just a pittance of your profits.

[00:30:19] Anyway, anyway, I'm out.

[00:30:21] So for listeners, Chad and I agree on the stories, and then I write the summaries up.

[00:30:25] And then I don't really know what his comments are going to be.

[00:30:27] And as I was writing this up, I was thinking, he's going to be negative on this one.

[00:30:30] I know he's going to be negative on this one.

[00:30:32] So I'm glad that you came out with guns blaring on Walmart.

[00:30:36] You may not like it, but Wall Street does.

[00:30:38] Wall Street has granted Walmart year to date 26% increase.

[00:30:42] While Target, its competitor is only up 2%.

[00:30:46] Amazon, by the way, is up 21% year to date.

[00:30:49] Walmart also granted their average salary to store managers $228,000

[00:30:55] and increasing their bonus to as high as 200%.

[00:30:58] These all make really great headlines, but as you, because you are you,

[00:31:03] you dig in, you dig into the numbers, you dig into like CEO salaries.

[00:31:08] And that's why our listeners love you is that this rosy headline that we see on CNBC and Bloomberg

[00:31:15] really is kind of shitty when you pull back the curtain and really look at what it is.

[00:31:20] The good news is Rubio is laying off a lot of people.

[00:31:23] So people are going to need jobs and they're going to go to Walmart.

[00:31:26] So for every Rubio that we report on, every Walmart is rejoicing.

[00:31:30] I hope they open a fish truck, a fish taco truck.

[00:31:33] Yeah, you know, this is why unions are so important because the average employee goes,

[00:31:37] oh, I'm getting a bonus. That's cool.

[00:31:39] And then the union goes, wait a minute, you're getting screwed here

[00:31:43] because our stock is up how much and our profits are up how much

[00:31:46] and you're only getting how much and our CEO is getting how much.

[00:31:49] So kudos to you, my friend, for as always pulling back the curtain

[00:31:54] and seeing what is really going on at Walmart.

[00:31:57] I expect that your boycott of Walmart continues whenever you're back in the states

[00:32:02] and you do your shopping elsewhere.

[00:32:06] Thanks Walmart, assholes.

[00:32:09] Well, in more power to the people news, American Airlines, this is from Reuters,

[00:32:14] the Association of Professional Flight Attendants, the APFA for those who love acronyms,

[00:32:19] which represents over 23,000 American flight attendants.

[00:32:24] 23,000 said on Wednesday that it unanimously rejects the latest proposal from American Airlines.

[00:32:31] The airline had offered its flight attendants immediate wage increases of 17%

[00:32:36] in a new formula for higher profit sharing in 2024 in their new contract,

[00:32:41] said CEO Robert Isom.

[00:32:43] So looks like the APFA is taking a page out of Sean Fain's UAW book.

[00:32:49] What do you think?

[00:32:50] I would agree with that.

[00:32:51] Doesn't anyone notice this? I feel like I'm taking crazy pills.

[00:32:54] So let's stick with the stock prices, shall we?

[00:32:58] Delta Airlines up 26% year to date. United Airlines up 31% year to date.

[00:33:04] The airline industry is pretty good.

[00:33:06] Some airlines better than others, but in general people are traveling more than ever before.

[00:33:12] I know you and I travel quite a bit and I know that ticket prices are not going down.

[00:33:16] Where is that money going? Pilots, machinery, etc.

[00:33:20] But not enough is going to the flight attendants who, let's be honest, put up a lot of bullshit,

[00:33:26] including from yours truly here right now.

[00:33:28] They're underpaid frankly with whatever they're making.

[00:33:31] I was shocked to find out that the average salary for a flight attendant

[00:33:36] in the first seven years of the job is roughly 35,000 per year.

[00:33:42] Let me repeat that.

[00:33:43] $35,000 per year as a flight attendant.

[00:33:47] The max salary the old vets get maxes out roughly at $65,000.

[00:33:53] So this is a job that is demanding.

[00:33:56] I know it's a job that's in demand because you get to travel and everything,

[00:34:00] but clearly there is a mismatch between profits and how these companies are doing

[00:34:05] and what they're paying flight attendants.

[00:34:07] I fear that in the tradition of airlines, they're going to make us pay for flight attendant service,

[00:34:14] just like they make me pay for the luxuries that should be taken for granted.

[00:34:20] What if we get to a place where I have to pay extra for the flight attendant to pay attention to me,

[00:34:25] to bring me my pillow and to bring me my blanket?

[00:34:28] I fear that the flight companies, the airlines are going to move to this place

[00:34:34] where if you want service, you're going to have to pay for it.

[00:34:36] And I hope it doesn't get to that, but I fear that it will.

[00:34:39] Otherwise, it's clear that flight attendants are underpaid, underappreciated,

[00:34:42] and I'm glad that the union rejected the initial offer,

[00:34:45] and I'm glad they're holding out for more money because from my perspective, they deserve it.

[00:34:50] Yeah. And so the median wage of a flight attendant is $42,000.

[00:34:55] So looking at that, so more on the lower end.

[00:34:59] 17% is only going to take you to not even $50,000.

[00:35:04] And the union's asking for 33%, which gets them close to $55,000.

[00:35:09] I mean, OK. So again, here we're going to get to the math kids.

[00:35:13] CEO Robert Isom made $31.4 million in 2023,

[00:35:18] which is nearly 750 times that the average compensation for a flight attendant at $42,000 a year.

[00:35:26] As I said before, there are over 23,000 American Airlines flight attendants.

[00:35:31] What happens if they walk off the job?

[00:35:33] I bet it would take hours, not days, not days to come to an agreement.

[00:35:38] At nearly 6,700 flights per day, would not be able to operate.

[00:35:44] Now let's turn the tables real quick.

[00:35:46] How long do you think the company would operate without the CEO and that salary?

[00:35:50] Right. Let's just say six months.

[00:35:51] Let's say you have a part-time fractional CEO.

[00:35:53] How long do you think it would go?

[00:35:55] 23,000 flight attendants versus one fucking CEO.

[00:35:59] You let that CEO go away for a while, don't even tell anybody.

[00:36:02] I guarantee you that organization 6,700 flights still happen every day,

[00:36:08] but not without the people who actually do the goddamn job.

[00:36:11] We are finally getting into, I feel, an area where unions are going to gain more strength.

[00:36:17] People are going to understand for the last 40 plus years they've been fucked.

[00:36:21] And we're finally going to hopefully start targeting those sons of bitches in the ivory tower who are making crazy cash.

[00:36:30] And they might make 30 or 40 times as opposed to 750 or 1,000 times that of the median wage of an employee.

[00:36:38] You are so dumb. You are really dumb.

[00:36:41] By the way, we talk about automation.

[00:36:43] This is a job that will never be automated because there are federal rules around if your flight goes down,

[00:36:48] you need a human being helping get everyone to safety, right?

[00:36:52] Like you can't come to a place where there's a robot going up and down the aisle

[00:36:56] and you get your Delta app and you say, yeah, I want a rum and Coke.

[00:37:00] And then the robot brings it to you.

[00:37:02] Like the robot's going to short circuit in the case of an emergency.

[00:37:05] So like this isn't something that the airlines can automate.

[00:37:09] They need people in those positions just from regulations in the industry.

[00:37:15] Exactly. Yeah. Pay them, man. Pay them.

[00:37:17] You done messed up, A.R.

[00:37:19] Let's take a quick break and get to what we do best.

[00:37:21] Talk about Hooters.

[00:37:23] Call it the battle for the Stanley D Cups.

[00:37:30] You like that? That's an original.

[00:37:32] That's a Cheeseman original.

[00:37:34] An Edmonton Oilers fan.

[00:37:35] You're in Europe. I don't know.

[00:37:36] The NHL hockey playoffs have been going on and we got Edmonton in Florida in the finals.

[00:37:41] Oh, really? Oh, OK.

[00:37:42] An Edmonton Oilers fan has been offered deals for multiple adult websites

[00:37:47] after flashing her breasts during an NHL conference finals game.

[00:37:52] Have you seen the highlights of this chat?

[00:37:53] They're kind of making the rounds.

[00:37:55] Yeah, I've only seen the still and I have to say if there are boobs on the internet, you're going to find her.

[00:38:02] Anyway, it's not hard to find.

[00:38:04] The offers were going to come obviously.

[00:38:07] So the offers came from the Porn Dude, whoever that is, and Cam Soda with only fans.

[00:38:13] No shocker here.

[00:38:14] Also expressing interest getting her on the platform.

[00:38:18] The incident occurred during game five against the Dallas Stars,

[00:38:21] which the Oilers did when the team is now set to play the Florida Panthers.

[00:38:25] In the final quick reminder, in 2009, a Florida Panthers fan flashed her boobs and pressed them against the glass.

[00:38:34] She had really good seats, apparently.

[00:38:36] So this may turn out to be a battle of the boobs.

[00:38:39] Let them out. Canada versus America.

[00:38:41] Like I'm here for it.

[00:38:42] So let's see. Let's see what happens.

[00:38:45] Any more thoughts on on the the hockey Hooters segment of our show?

[00:38:49] We said it on a on a most one of the most recent podcasts that boobs make everybody happy.

[00:38:55] Everybody loves boobs and in a very divisive time, I say we just let them out, you know, just just let it go.

[00:39:02] Bring people together and whether it's in Ireland through a portal or at a hockey match or on a beach.

[00:39:08] If you want to bring people to the sport, this is a way a way to possibly do it.

[00:39:13] By the way, the portal, the portal update.

[00:39:16] And for a quick refresher, the city of Dublin and New York, two of the most drunkest towns in the world, decided like let's have a screen showing each other what's going on.

[00:39:26] A woman obviously on OnlyFans flashed Dublin.

[00:39:30] She was rewarded with many more users of her OnlyFans account.

[00:39:34] So she's cashing in.

[00:39:36] Word is the jury's out whether or not this Oilers fan cash out on her her obscenity at the game.

[00:39:43] But yeah, this this is turning out to be the year of the boobs.

[00:39:46] And frankly, Chad, I'm here for it as I think I think you are too.

[00:39:49] Let's end this show as always on a dad joke.

[00:39:52] What do you get when you cross an ice hockey rink and a vampire?

[00:39:56] Got nothing got nothing frostbite.

[00:40:01] We out so bad.

[00:40:03] We out.

[00:40:04] Thank you for listening to what's it called?

[00:40:07] Podcast, the Chad, the cheese.

[00:40:10] Brilliant.

[00:40:11] They talk about recruiting.

[00:40:13] They talk about technology.

[00:40:15] But most of all, they talk about nothing.

[00:40:18] Just a lot of shout outs of people you don't even know.

[00:40:21] And yet you're listening.

[00:40:23] It's incredible.

[00:40:24] And not one word about cheese.

[00:40:26] Not one cheddar, blue, nacho, pepper Jack, Swiss.

[00:40:32] So many cheeses and not one word.

[00:40:35] So weird.

[00:40:36] Anywho, be sure to subscribe today on iTunes, Spotify, Google Play or wherever you listen to your podcasts.

[00:40:45] That way you won't miss an episode.

[00:40:48] And while you're at it, visit www.chadcheese.com.

[00:40:54] Just don't expect to find any recipes for grilled cheese.

[00:40:59] It's so weird.

[00:41:00] We out.