Investor's Business Daily is reporting that the Wendy’s restaurant chain is increasing its number of self-service ordering kiosks because of minimum wage hikes.

“Wendy’s said that self-service ordering kiosks will be made available across its 6,000-plus restaurants in the second half of the year as minimum wage hikes and a tight labor market push up wages,” the report says.

A Wendy's single with cheese large combo meal at a Wendy's restaurant. (AP Photo)

It will be up to the franchisees to decide whether or not to deploy the technology.

Wendy’s President Todd Penegor said company-operated stores, only about 10% of the total, are seeing wage inflation of 5% to 6%, driven both by the minimum wage and some by the need to offer a competitive wage “to access good labor.”

Franchisees might be facing more of a labor-cost squeeze than company operated restaurants.

All 258 Wendy’s restaurants in California, where the minimum wage rose to $10 an hour this year and will eventually rise to $15, are franchise-operated. 75% of Wendy’s restaurants in New York are run by franchisees. New York’s minimum wage has been increased and is set to progress to $15 an hour.

In addition to self-order kiosks, the company is also reportedly getting ready to move beyond the testing phase with labor-saving mobile ordering and mobile payment - to be available system-wide by the end of 2016.

You can read the full report by clicking here.

h/t Investor's Business Daily