Papa John’s CEO John Schnatter is planning on slashing worker’s hours, laying off people, and doing a bunch of other stuff all because of President Barack Obama’s reelection, or so he claims. According to Schnatter, healthcare reform will cause the price of a Papa John’s pizza to go up between 11 and 14 cents because of Obamacare.
Many businesses including Walmart cut hours for their workers to below thirty hours a week in order to avoid having to pay for insurance and other benefits long ago. In fact, it was a method of reducing costs pioneered by Sam Walton. Papa John’s is not the only one threatening to make this move. Darden Restaurants, the owners of Red Lobster and Olive Garden, are already experimenting with cutting costs by reducing hours.