• Denny's to charge 5% 'Obamacare surcharge' and cut employee hours in responce to Obamacare
    135 replies, posted
Denny's to charge 5% 'Obamacare surcharge' and cut employee hours to deal with cost of legislation Daily Mail 01:33 EST, 15 November 2012 [quote]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.' Claiming that he is not anti-insurance Metz has said that he understands the problems this will cause for his employees. '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.' Obamacare requires businesses or franchises with more than 50 workers must offer an approved insurance plan or pay a penalty of $2,000 for each full-time worker over 30 workers. {Reads exactly like this in source} The program mandates that only employees working more than 30 hours a week are covered under their employers health insurance plan, chains like Olive Garden and Red Lobster are already considering reduced worker hours. 'Obviously, I'd love to cover all our employees under that insurance,' said Metz. 'But 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.' Several other restaurants including Papa John's, Apple Metro and Jimmy John's have announced plans to skirt Obamacare by reducing employees hours to make them part-time. Indeed, Metz is adding the surcharge because he believes that eventually firms will be fined for not covering staff who complete over 30-hours in a week, In November, a poll for Kaiser Health Tracking found that 43 percent of the United States had a favourable opinion of Obamcare, while 39-percent had an unfavourable one. 'Instead of indirectly charging customers by raising prices, he is directly charging and making a political statement,' said Paul Fronstin, director of the health research program at the Employee Benefit Research Institute in Washington. 'Potentially 43 percent of this person's customers may find the explicit charge a turnoff, and vote with their feet and their money and choose not to eat there.' Despite this, Metz has admitted he is willing to take the heat should the decision backfire on him. 'We're trying to get more restaurant operators rallied around the concept of adding a 5 percent surcharge to their bill to cover the costs of Obamacare as opposed to raising prices,' he said. Earlier this week Papa John's CEO John Schnatter told shareholders in a conference call this week that Obamacare would cost the company 11 to 14 cents per pizza, a cost that would be passed on to customers.[/quote] Source: [url]http://www.dailymail.co.uk/news/article-2233221/Dennys-charge-5-Obamacare-surcharge-cut-employee-hours-deal-cost-legislation.html[/url]
If you can't make enough money to cover your employee's health care, then you're doing something wrong.
[QUOTE=Foda;38468965]If you can't make enough money to cover your employee's health care, then you're doing something wrong.[/QUOTE] Oh really? You ever run a business?
If you're too cheap to*
do they have to do this? seriously i wanna know
These Daily Mail commenters are almost as bad as Fox News.
How do they get away with this
Denny's is still pissed after taking this onion report a bit too seriously [media]http://www.youtube.com/watch?v=_yiQXPOO1Yo[/media]
See? Obamacare is already improving the overall health of the public! In a few years obesity rates will be tiny thanks to it shutting down every greasy shithouse chain ever!!
[QUOTE=Glaber;38468993]Oh really? You ever run a business?[/QUOTE] aw look everyone it's trying to be condescending how cute what a coincidence all the companies lashing out against obamacare are all terrible businesses with terrible products
We don't have any Denny's in Atlantic Canada, and I already don't like their greasy food to begin with, but next time I'm down in the States, I'll make sure to avoid them at all costs.
[QUOTE=Glaber;38468993]Oh really? You ever run a business?[/QUOTE] Have you?
[QUOTE=Glaber;38468993]Oh really? You ever run a business?[/QUOTE] Yeah actually. Small business in Florida that deals with lawn maintenance. If a business that makes less than 150k can do it for 8 employees, I don't see why a fast food giant can't.
Let's not pretend Obamacare has suddenly turned bosses into assholes.
Business owner finds new reason to be an asshole to his employees. More at 11. [editline]15th November 2012[/editline] [QUOTE=Starpluck;38469064]Let's not pretend Obamacare has suddenly turned bosses into assholes.[/QUOTE] beat me to the punch
I guess they have to divert money from the "make everything taste like hash browns" machine.
[QUOTE=AJisAwesome15;38468999]do they have to do this? seriously i wanna know[/QUOTE] No. They are just being whiney losers because executives don't want to take a pay cut. Also the world didn't end right after Obama was elected, so guys like this are taking it upon themselves to make things shitty for everybody.
5% surcharge? That's $1 for every $20 I spend, that seems quite reasonable to ensure that Denny's workers get healthcare to me.
[QUOTE=Starpluck;38469064]Let's not pretend Obamacare has suddenly turned bosses into assholes.[/QUOTE] Yeah, many of them were assholes long before.
[QUOTE=Glaber;38468993]Oh really? You ever run a business?[/QUOTE] Either the employer has to do it or the government has to do it. You can't seriously think that it's okay for people to be allowed to sink into ridiculous amounts of debt or even die because they can't afford healthcare... can you?
[QUOTE=yawmwen;38469117]5% surcharge? That's $1 for every $20 I spend, that seems quite reasonable to ensure that Denny's workers get healthcare to me.[/QUOTE] as an added bonus, it's a disincentive to buy food from Denny's
[QUOTE=Nikota;38469042]Yeah actually. Small business in Florida that deals with lawn maintenance. If a business that makes less than 150k can do it for 8 employees, I don't see why a fast food giant can't.[/QUOTE] It's not a fast food giant, it's 40 Denny's in Florida and another chain (not making claims about money here) Title should be changed to reflect that. [editline]15th November 2012[/editline] [QUOTE=yawmwen;38469117]5% surcharge? That's $1 for every $20 I spend, that seems quite reasonable to ensure that Denny's workers get healthcare to me.[/QUOTE] Most of them won't due to hours being cut below 40, making them not eligible for the benefits of a full time job. So a few will, but perhaps the ones who need it will now not only not receive it, but now have less money overall.
[QUOTE=hypno-toad;38469114]No. They are just being whiney losers because executives don't want to take a pay cut. Also the world didn't end right after Obama was elected, so guys like this are taking it upon themselves to make things shitty for everybody.[/QUOTE] Corporations could literally pay for their employees healthcare for several years, if they even reduced the executive bonuses by like not even 20 percent.
Its $1 average meal. I could care less, since I'm not an asshole and I actually tip a decent amount.
Just saying. Corporate Bonuses for executives are so fucking rediciolous.
[quote]'But 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.'[/quote] I had dental, vision, and a ridiculously low deductible for about 215 a month with private insurance. And I was overpaying. 5k per employee, per year, would be 416 bucks a month. Given that private insurance costs a shitload compared to what companies pay to mass insure, I'm gonna go ahead and call bullshit. I don't know where the 5k number came from, but I'm gonna take a guess and say it came out of your ass, guy.
[QUOTE=Trogdon;38469197]It's not a fast food giant, it's 40 Denny's in Florida and another chain (not making claims about money here) Title should be changed to reflect that. [editline]15th November 2012[/editline] Most of them won't due to hours being cut below 40, making them not eligible for the benefits of a full time job. So a few will, but perhaps the ones who need it will now not only not receive it, but now have less money overall.[/QUOTE] I was referring to Dennys as a whole, being fucking everywhere.
This won't affect McDonalds. Most of their workers are illegal immigrants anyway.
free healthcare is ruining job creator businesses and making the average american not able to get basic food impeach obongo jeb bush 2016
We knew this was going to happen. I'm completely liberal and democratic but this is how economics works. Denny's prices were adjusted to selling without Obamacare, now they are adjusting to selling it with Obamacare. Compare the prices to European fast food chains? This is just what happens when you make a company expend money. It's a tradeoff.
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