Thursday, November 15, 2012

Denny's franchise owner in Florida to add a 5% surcharge on customer's bills to pay for ObamaCare costs

Going Galt by cutting employee hours and raising prices, his only choice now with Obama's reelection

UK Daily Mail, "Denny's to charge 5% 'Obamacare surcharge' and cut employee hours to deal with cost of legislation":
President Obama's election victory ensured his Affordable Care Act would remain the centerpiece of his first term in power - but that has left some business owners baulking at the extra cost Obamcare will bring.

Florida based restaurant boss John Metz, who runs approximately 40 Denny's and owns the Hurricane Grill & Wings franchise has decided to offset that by adding a five percent surcharge to customers' bills and will reduce his employees' hours.

With Obamacare due to be fully implemented in January 2014, Metz has justified his move by claiming it is 'the only alternative. I've got to pass on the cost to the customer.'

The fast-food business owner is set to hold meetings at his restaurants in December where he will tell employees, 'that because of Obamacare, we are going to be cutting front-of-the-house employees to under 30 hours, effective immediately.'
'I think it's a terrible thing. It's ridiculous that the maximum hours we can give people is 28 hours a week instead of 40,' said Metz to the Huffington Post.

'It's going to force my employees to go out and get a second job.'

to pay $5,000 per employee would cost us $175,000 per restaurant and unfortunately, most of our restaurants don't make $175,000 a year. I can't afford it.'


RobertW said...

He apparently has less than 50 full time employees ($175,000/$5,000), and therefore would not be forced to offer coverage as a "small employer". On top of that, it doesn't kick in until 2014. What is his real excuse to cut hours and charge customers more in 2012?

randian said...

RobertW, you are mistaken. He indeed has only 35 employees per restaurant, but considering he owns 40 of them, that's 1400 employees total.

Eric Dondero said...

Yeah, Randian's right. Robert make a gross miscalculation on the number of employees.

But regardless. If he did have an ulterior motive I would hope that it would be that he's going "Dondero." He's wanting to lay-off employees who voted for the socialist slimeball mother fucker Obama.