Denny’s to offset Obamacare costs by cutting worker hours

A Florida franchise of the restaurant is among a number of chains cutting labor costs

Topics: Labor Rights, Fast food, Labor, Obamacare, Affordable Care Act, healthcare, Denny's, ,

Denny's to offset Obamacare costs by cutting worker hours (Credit: Wikimedia)

In order to offset the costs of the Affordable Care Act, a chain of Denny’s restaurants plans reduce employees’ hours. The Mail Online reported Thursday that Florida-based restaurant owner John Metz, who runs approximately 40 Denny’s and owns the Hurricane Grill & Wings franchise, will cut workers’ hours in advance of Obamacare’s full implementation in January 2014.

“It’s going to force my employees to go out and get a second job,” Metz admitted to the Mail, saying he felt he had no choice.

Metz has also considered adding a 5 percent surcharge to customer bills, but has no plans to implement this idea.

Salon reported earlier this year on other restaurant chains seeking ways to offset Affordable Care Act costs. Papa John’s, Red Lobster and Olive Garden all plan to rely increasingly on part-time workers. A recent study by the Urban Institute found that the law’s provisions would increase large businesses’ overall spending by 4.3 percent. However, the director of Restaurant Opportunities Centers (ROC) United, Sarah Jayaraman told MSNBC earlier this year that she believed some restaurant owners were using the excuse of Obamacare to cut back on labor costs.

Natasha Lennard
Natasha Lennard is an assistant news editor at Salon, covering non-electoral politics, general news and rabble-rousing. Follow her on Twitter @natashalennard, email nlennard@salon.com.

More Related Stories

Featured Slide Shows

  • Share on Twitter
  • Share on Facebook
  • 1 of 10
  • Close
  • Fullscreen
  • Thumbnails
    Michael Ohl/Museum fur Naturkunde

    Soul-sucking 'dementor' wasps and 8 other crazy new species

    Soul-Sucking Dementor Wasp

    Latin name: Ampulex dementor

    Truong Ngyuen

    Soul-sucking 'dementor' wasps and 8 other crazy new species

    10,000th reptile species

    Latin name: Cyrtodactylus vilaphongi

    Jodi Rowley/Australian Museum

    Soul-sucking 'dementor' wasps and 8 other crazy new species

    Colour-changing thorny frogs

    Latin name: Gracixalus lumarius

    Judith L. Eger

    Soul-sucking 'dementor' wasps and 8 other crazy new species

    Long-fanged bat

    Latin name: Hypsugo dolichodon

    Neang Thy Moe/FFI

    Soul-sucking 'dementor' wasps and 8 other crazy new species

    Stealthy wolf snake

    Latin name: Lycodon zoosvictoriae

    Michael Janes

    Soul-sucking 'dementor' wasps and 8 other crazy new species

    Feathered coral

    Latin name: Ovabunda andamanensis

    Jerome Constant

    Soul-sucking 'dementor' wasps and 8 other crazy new species

    World's second-longest insect

    Phryganistria heusii yentuensis

    Nantasak Pinkaew

    Soul-sucking 'dementor' wasps and 8 other crazy new species

    Slide 8

    Latin name: Sirindhornia spp

    Tim Johnson

    Soul-sucking 'dementor' wasps and 8 other crazy new species

    Slide 9

    Tylototriton shanorum

  • Recent Slide Shows

Comments

0 Comments

Comment Preview

Your name will appear as username ( settings | log out )

You may use these HTML tags and attributes: <a href=""> <b> <em> <strong> <i> <blockquote>