Posted on 12/22/2023 1:04:16 PM PST by nickcarraway
Story by nluna@insider.com (Nancy Luna) • 5h
Two Pizza Hut operators in California are eliminating their in-house delivery services at hundreds of stores, resulting in more than 1,200 driver layoffs, according to federal employment notices reviewed by Business Insider.
The layoffs, effective throughout February, affect Pizza Hut delivery drivers across California, including at Sacramento, Palm Springs, and Los Angeles locations. The Pizza Hut franchisees are reducing staff as fast-food chains in the state brace for a new law that increases worker pay to $20 an hour in April.
"PacPizza, LLC, operating as Pizza Hut, has made a business decision to eliminate first-party delivery services and, as a result, the elimination of all delivery driver positions," a federal WARN Act notice filed by the fast-food operator with the state's Employment Development Department said.
(Excerpt) Read more at msn.com ...
It makes more sense for the franchisees, I agree. Cut (or outsource) their labor costs, their tax liabilities (payroll tax, SS tax, employer contributions etc) and their insurance costs such as liability and workers compensation insurance which is usually a percentage of the payroll. Higher wages means higher WC insurance premiums.
But for the customer, using 3rd party delivery services may not be any more economical. Someone will pay the difference, or, incomes will decline as it gets too expensive to have something as simple as a pizza delivered to home or office.
That is because most politicians have no critical thinking skills and lack common sense.
I’m fine with the lowest-paid among us making an okay wage.
But it should be set by the market minus the 60 million illegals in the country currently.
Yes, there would be massive disruptions from such an expulsion, but the end state would be far, far improved for all.
Very simple solution. California just needs to pass a law that businesses can’t fire people due to the increased minimum wage. Problem solved. Why do I have think of everything?
Here in Ca 7-11 does more business then fast food joints who knew.
$20.00 an hour for a job that only requires you to be able to count how many fingers are on your hands.
Gee, nobody could have seen this coming. Well that is except everyone with a brain...
“Nor have I seen anyone explain how and when government, at any level, acquired the authority to interfere in public or private business to this degree.”
What happened was that FDR Packed the Courts (by replacing all of the Justices that were giving him trouble) and then had his puppet Supreme Court simply declare the Minimum Wage as Constitutional, even though it is, obviously, not Constitutional.
That’s why judges are so damn important.
Better add another law that says that businesses can’t add the increase in labor costs to the price of the food you’re buying. Either or both laws would lead to a mass exodus of fast food restaurants out of the state. Gruesome Newsome and the Cali legislature know that, and they also know that the WEF wants to restrict what food we can eat...and none of that is meat
Agreed
I wouldn’t frequent or patronize any establishment with a predominantly homosexual employee hire. An establishment in the small town where I used to live had a group of them and they contaminated the prepared foods to anyone that expressed a difference of opinion and they bragged about what they did to the foods. The place went out of business and the owners were not the wiser. There are other minority groups that do the same.
To quote the great economist Thomas Sowell: “The real minimum wage is zero.”
and the RATS take another one in the.........HA ha!!!
I cannot find in my copy of the US Constitution where the heck is says that government can dictate what employers must pay employees.
Why has this not been challenged?
The goal of the Left was to make employees so expensive that companies will fire their American employees and hire illegal aliens off the books.
The good thing is, with a 20 dollar minimum wage, they don’t have to mooch for tips anymore.
They may ruin into AB5 by trying to claim that independent delivery workers don’t actually work for them.
Don’t go to Las Vegas.
Bingo.
Some jobs are not meant to support a family on, that’s why we used to have high school students doing those kinds of jobs.
They might run into that problem. But, if they list their pizzas on multiple platforms (grubhub, ubereats, slicelife, doordash etc) then the customer is choosing the delivery service, not the restaurant. The restaurant is just making pizzas for pickup by a 3rd party chosen by the customer.
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