Thursday, November 15, 2012

Denny's, Other Restaurants Imposing 5% "Obamacare Surcharge"

John Metz: Sickened by Obamacare - Daily Mail
Nov. 15, 2012 - When you see the prices go up on your Denny's Grand Slam Breakfast, you can thank Barack Obama and the Democrats.

Why? Because Denny's and other restaurants plan to add 5% to your tab to help them cover the expected higher costs of the so-called "Affordable Care Act," also known as Obamacare.

"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," reports The Daily Mail.

Metz, says The Daily Mail, plans to tell his employees next month "that because of Obamacare, we are going to be cutting front-of-the-house employees to under 30 hours, effective immediately."

"If I leave the prices the same, but say on the menu that there is a 5 percent surcharge for Obamacare, customers have two choices. They can either pay it and tip 15 or 20 percent, or if they really feel so inclined, they can reduce the amount of tip they give to the server, who is the primary beneficiary of Obamacare." Metz told The Huffington Post. "Although it may sound terrible that I'm doing this, it's the only alternative. I've got to pass the cost on to the consumer."

Metz is not the first food mogul to take a stand against Obamacare. The parent company of Red Lobster and Olive Garden, Darden Restaurants, is already experimenting with changes in their employees' hours in order to make them part-time instead of full-time. That allows them to not have to  provide health insurance.

Papa John's Pizza is another big player trying to cope with Obamacare costs. "More than 17,000 Facebook users plan to eat at the pizza chain on Friday," reports Politico, "to support the company’s founder and CEO, John Schnatter, who has said President Barack Obama’s health care reform law will cause prices to jump by 11 to 14 cents per pizza, and has said employee hours may be scaled back."

There are other companies, not all in the restaurant industry, that will be laying off employees because of the Obamacare tax burden and the medical device tax.