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A Side Order of Baloney from Papa John's

Papa John’s CEO John Schnatter recently told investors that Obamacare’s health coverage requirements will cost him between 11 and 14 cents per pizza, or 15 to 20 cents per order, a cost which he will pass on to his customers.

"If Obamacare is in fact not repealed, we will find tactics to shallow out any Obamacare costs and core strategies to pass that cost onto consumers in order to protect our shareholders’ best interests," according to a report in Politico.

 I don’t have any reason to disbelieve his math so let’s assume it to be true.  What strikes me about his comments is that he expresses concern for his shareholders but doesn’t acknowledge the benefit to his employees—and customers—of health insurance. 

Restaurant workers are some of the hardest working and lowest-paid people in America.  Only about 1 percent are unionized, according to the Restaurant Opportunities Centers United, which advocates for improved working conditions and benefits, including higher minimum wages and paid sick days.  Paid sick days and access to health care aren’t just good for employees:  sick restaurant workers can transmit foodborne illnesses to diners.

Schnatter clearly has it in for “Obamacare.”  Besides bemoaning the cost of health insurance for his employees, his company is part of a new lobbying coalition called the “American Pizza Community,” which is trying to torpedo another Obamacare requirement: calorie labeling on menus.  (Memo to Schnatter:  You could probably cut your health care costs further by prohibiting your employees from eating your pizza—a large “John’s Favorite” has 4,100 calories, or 410 per slice.)

As restaurant diners we make choices on the basis of taste, quality, price nutrition, convenience, and so on.  It’s also fair to consider how a company treats its employees or weighs in on matters of public policy before making a reservation or phoning in an order.  I’d just assume that the person tossing my salad or delivering my pizza is not sick and has health care.  14 cents per pizza seems like a bargain.

John Schnatter’s Anchorage, Kentucky villa.

 

 

 

 

John Schnatter’s Anchorage, Kentucky villa.

 

 

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Showing 16 reactions

@funkyTii tweeted link to this page. 2012-08-11 01:17:37 -0400
BTW, check out @papajohns palace. Poor guy has to pay $0.14/pizza to give his full-timers health care. http://t.co/ps6HeCtC
@LetItBurn2012 tweeted link to this page. 2012-08-11 01:11:42 -0400
BTW, check out @papajohns palace. Poor guy has to pay $0.14/pizza to give his full-timers health care. http://t.co/ps6HeCtC
@MaryHartleyRD tweeted link to this page. 2012-08-10 21:00:40 -0400
Papa is mean. | RT @cspi: A Side Order of Baloney from @papajohns: Blog post by Michael Jacobson http://t.co/ocBFQYEj #OWS
@lemketron tweeted link to this page. 2012-08-09 13:23:09 -0400
14 cents per pizza to ensure that the delivery person isn't sick? @papajohns, that sounds like a bargain to us! http://t.co/hAvCNetf
@2TVolts tweeted link to this page. 2012-08-09 13:21:56 -0400
14 cents per pizza to ensure that the delivery person isn't sick? @papajohns, that sounds like a bargain to us! http://t.co/hAvCNetf
@MarcGunther tweeted link to this page. 2012-08-09 13:19:41 -0400
14 cents per pizza to ensure that the delivery person isn't sick? @papajohns, that sounds like a bargain to us! http://t.co/hAvCNetf
@CSPI tweeted link to this page. 2012-08-09 12:18:17 -0400
14 cents per pizza to ensure that the delivery person isn't sick? @papajohns, that sounds like a bargain to us! http://t.co/hAvCNetf
@inyourmouthTO tweeted link to this page. 2012-08-09 12:05:41 -0400
From #foodday2012 blog: A Side Order of Baloney from Papa John's: http://t.co/4ktRsSCl @cspi
@nyshepa tweeted link to this page. 2012-08-09 11:59:46 -0400
RT @liliasmelkova: From #foodday2012 blog: A Side Order of Baloney from Papa John's: http://t.co/ZYGFRae2 @cspi
@LiliaSmelkova tweeted link to this page. 2012-08-09 11:30:14 -0400
From #foodday2012 blog: A Side Order of Baloney from Papa John's: http://t.co/4ktRsSCl @cspi
@Hasteur tweeted link to this page. 2012-08-08 23:54:34 -0400
RT @cspi: A Side Order of Baloney from @papajohns: New @foodday2012 blog post by Michael Jacobson http://t.co/DdMLAX2v
@GeorgeDearing tweeted link to this page. 2012-08-08 23:48:29 -0400
RT @cspi: A Side Order of Baloney from @papajohns: New @foodday2012 blog post by Michael Jacobson http://t.co/DdMLAX2v
@lilmikesf tweeted link to this page. 2012-08-08 18:51:25 -0400
Papa John's WAR on the Real 1% ~ Mostly Low Wage Sans #HealthCare, only 1% of America's Restaurant Workers In Unions http://t.co/lZeuPd6s
@Scott_Berman tweeted link to this page. 2012-08-08 18:05:09 -0400
A Side Order of Baloney from #PapaJohn’s http://t.co/q1mBoT7O via @foodday2012
@FoodDay2013 tweeted link to this page. 2012-08-08 18:01:14 -0400
A Side Order of Baloney From Papa Johns. 'cause stakeholders matter more than food workers health & the public, duh! http://t.co/viJCFnre
Michael Jacobson published this page in News 2012-08-08 17:53:13 -0400