Chipotle has moved its automated salad bowl makers and avocado-processing robots from its test kitchens to several of its California locations.
The chain announced the launch on Monday and said feedback will determine whether to roll out the technology more broadly.
Both restaurants are in California, where all fast-food chains are required to pay workers $20 an hour, with the possibility of further increases. Chipotle said in a statement that it is testing the technology to improve efficiency and “help our restaurant associates continue to serve our guests with great hospitality.”
Many restaurant chains have in recent years introduced self-service kiosks and other technology that reduces the need for cashiers, and other California-based chains such as Sweetgreen and Jack in the Box have also invested in private tech startups with a vision of making most of the burgers, fries and salad bowls with robots.
But fast-food workers typically also perform other duties, such as greeting customers, sweeping floors and retrieving supplies from the back room, that most robots currently cannot perform.
Chipotle, which had sales of about $9.9 billion last year, hasn't linked automation to state wage increases. The company said workers at its automated bowl and salad makers will continue to make burritos and tacos, add garnishes and monitor the quality of the machines.
Chipotle's automated bowl and salad makers, which it calls “extended make lines,” automatically dispense ingredients like rice, corn, and lettuce into bowls under the counter. Chipotle said 65% of its digital orders are bowls and salads.
“This technology could be a game-changer, putting Chipotle well ahead of its competitors in automation,” BTIG analyst Peter Saleh said in a July 25 investor note about the company's automated bowl salad maker.
Chipotle said it has invested in these technologies through its $100 million venture fund, which it added $50 million to in February, and which has also invested in Hyphen, the San Jose-based startup founded in 2020 behind Chipotle's automated bowl and salad maker that's up and running in its Corona del Mar store.
Sweetgreen has already installed similar automated bowl-making machines and opened several locations it calls Infinity Kitchens, including in California.
Chipotle said its Huntington Beach location is introducing “Autocad” technology, which allows employees to cut, core and peel avocados before mashing them into guacamole. The machine, developed by Vebu, a Los Angeles-based startup founded in 2022, processes each avocado in 26 seconds. Chipotle says it uses more than 5 million cases of avocados a year.
Chipotle previously tested an automated system called “Chippies” to make seasoned tortilla chips, but the company said cleaning and setup costs largely offset any labor savings.
The fast-food chain now employs more workers in California than any other state, and Chipotle raised prices in the state by 7% after a new $20 hourly minimum wage took effect on April 1, executives said in an investor call earlier this year.
The California Fast Food Workers Union is seeking to raise the minimum wage from $20 to $20.70 in 2025 to account for inflation. At a Fast Food Labor Council meeting on Wednesday, many franchisees spoke publicly, urging the council to refrain from further increases.
