Home | Business | Calls to boycott Applebee's after CEO threatens hiring freeze and layoffs over Obamacare

Calls to boycott Applebee's after CEO threatens hiring freeze and layoffs over Obamacare

By
Font size: Decrease font Enlarge font
A Times Square branch of the Applebee's restaurant chain in New York City A Times Square branch of the Applebee's restaurant chain in New York City  
Read More: No tags for this article

Move over Chick-fil-A, fast food is getting political again.

Papa John's came under fire this week when CEO John Schnatter floated a plan to cut worker hours to reduce spiking employee health care costs under the Affordable Care Act, otherwise known as Obamacare.

Now, Applebee's is being boycotted after a major New York area Applebee's franchise owner Zane Tankel threatened a hiring freeze and possible layoffs as a result of the president's healthcare plan.

zane

Boycott: Calls to boycott Applebee's erupted on Twitter after Zane Tankel said he won't hire and might fire over Obamacare

Twitter immediately erupted with calls for a boycott.

'So far I've seen Papa John's and Applebees threatening to fire people since their choice didn't win the election. Disgusting on either side,' read one tweet.

'BOYCOTT APPLEBEES NOW,' read another.

'Add @Applebees to the list of unpatriotic businesses who are firing people because Barack Obama won,' tweeted another.

The Twitter uproar is in response to a Fox News interview Thursday with Zane Tankel, chairman and CEO of Apple-Metro, which owns 40 New York-area Applebee's restaurants.

"We've calculated it will [cost] some millions of dollars across our system. So what does that say -- that says we won't build more restaurants. We won't hire more people," Tankel said.

zane

Reaction: Tankel at a New York event last year

Apple-Metro employs from 80 to 300 people at each of its Applebee's. Obamacare requires businesses with more than 50 workers must offer an approved insurance plan or pay a penalty of $2,000 for each full-time worker over 30 workers.

'If you have 40 or 50 employees at a restaurant, and the penalty is $2,000, and you're going to pay $80,000 or $100,000 penalty, there goes the profit in your restaurant.'

Tankel also hinted that lay-off and reducing employee hours were another possibility

'I want to simply say we are looking at it, we are evaluating,' he said. 'If it's possible to do without cutting people back, I am delighted to do it, but that also rolls back expansion, it rolls back hiring more people, and in a best-case scenario, we only shrink the labor force minimally. Best case.'

apps

Healthcare Costs: Tankel and Miss USA Rima Fakih appear at Applebee's Neighborhood in 2010

Earlier this week Papa John's CEO John Schnatter told shareholders in a conference call this week that Obamacare would cost the company 11 to 14 cents per pizza, a cost that would be passed on to customers.

The response on Twitter was immediate, and largely unfavorable.

'First Chick-fil-A, now Papa John's. What does it say about the US when fast food has become the tool for political catalyst?' tweeted one person.

'Thanks 4 letting us know how CHEAP you are. 10 cents?! REALLY! Officially on my DO NOT BUY LIST even if you don't up the price.'

Schnatter defended his plan.

'That's what you do, is you pass on the costs,' Schnatter told Naples News. 'Unfortunately, I don't think people know what they're going to pay for [Obamacare].'

Schnatter isn't alone among chain restaurants looking to balance the costs of health care reform.

As the program mandates that only employees working more than 30 hours a week are covered under their employers health insurance plan, chains like Olive Garden and Red Lobster are already considering reduced worker hours.

 

  1. Stella Boonshoft: Woman sparks debate with bikini picture on Facebook (5.00)

  2. The Twilight Saga: Breaking Dawn-part 2 trailer (5.00)

  3. Rihanna's Dad Sells Pictures of Teenage Rihanna, 'Secret Family' to Tabloids (5.00)

  4. Octomom poses nude and now goes on welfare to help 14 kids: report (5.00)

  5. Bieber 'thrown out of Paris hotel for bad behavior' (5.00)

  6. Lindsey Vonn waits in car for ONE hour to avoid run in with Tiger's ex-wife Elin Nordegren (5.00)

  7. Ashley Judd dress (5.00)

  8. Hulk Hogan’s daughter Brooke engaged to Cowboys center Phil Costa (5.00)

  9. Hospitality executive Tom Sponseller found dead in office garage in apparent suicide (5.00)

  10. Texas Man Larry Dunn Jr stabbed girlfriend who told him she had HIV to death (5.00)

  11. Driver Services Location in Warner Robins, GA (5.00)

  12. Fashion publicist Raul Barrera found guilty of murdering and mutilating his girlfriend after she tried to break up with him (5.00)

  13. 29-year-old Texas man Thomas Olivas 'killed ex-girlfriend, 26, and burned baby boy over child support payments' (5.00)

  14. Florida woman Jillian Martone 'attacks man with kitchen knife after first date for refusing to be her boyfriend' (5.00)

  15. Catholic school custodian John Martin admits to using hidden cameras to spy on students (5.00)

  16. Church shooting in Pennsylvania leaves 4 dead, 2 injured (5.00)

  17. New York Jewish counselor Nechemya Weberman sentenced to 103 years for sexual abuse (5.00)

  18. Desperate search for two missing Boy Scouts Bradley Nelson, Jackson Chandler after wilderness hike (5.00)

  19. Tenn. Man Randolph Maidens Charged With Murder in Wife's Death (5.00)

  20. Couple Terry and Victoria Smith 'kept naked six-year-old autistic son in CAGE and fed him hot dogs through the bars' (5.00)

  21. DUI suspect Sherri Wilkins 'drives more than 2 miles with man she fatally struck stuck in the windshield of her car' (5.00)

  22. Little Falls Man Byron Smith Accused of Killing Two Teen Burglars, Not Reporting Shooting (5.00)

  23. Oregon couple Christopher Martin and Jessica Stroble accused of sex acts on Vegas-bound flight (5.00)

  24. Barrow Co. firefighter Willie Etheridge Jr. fired after being charged with child porn (5.00)

  25. Morgan Lide: Cobb County high school student dies during study abroad (5.00)

  26. Suspect Brian Levern Gupton sought in fatal shooting at DeKalb apartment complex (5.00)

  27. Clayton Jerrod Ellington: Death penalty tossed out in Ga. triple murder case (5.00)

  28. Ruben Marin-Garibay arrested in fatal hit-and-run of Henry Co. officer Elgin Daniel (5.00)

  29. Guard Larry Stell fatally stabbed at Telfair State Prison (5.00)

  30. 'Hunger Games' sequel gives boost to Ga. economy (5.00)

  31. Mural of nude women in Atlanta to be covered up after community outrage (5.00)

  32. Sources: Andrea Sneiderman indicted in husband Rusty Sneiderman's death (5.00)

  33. Co-workers Michelle Chinnis, Tracy Downer killed in horrific tractor-trailer wreck (5.00)

  34. Matthew Pike, William Slaton, Daniel Slaton indicted in death of man found floating in Ocmulgee River (5.00)

  35. Clayton County Man Craig Davis faces charges of exposing two women to HIV (5.00)

  36. Teacher Shannon Schmieder Sentenced to 40 Years for Affair with 14 Year Old (5.00)

  37. Shopkeeper Atibi Thomas faces 25 years in prison for 'shooting' policeman Keith Roach whom he thought was a criminal (5.00)

  38. 6 charged with killing Norcross teen Nicholas Jackson (5.00)

  39. Teacher Almarcus Thomas accused of statutory rape, videotaping student (5.00)

  40. Augusta teen Kyle Austin Royal found shot to death in car in east Ga. (5.00)

  41. DA to review role of victim's widow Andrea Sneiderman in Ga. killing (5.00)

  42. Parents: School Bus Driver Watched Teen Girls Fight (5.00)

  43. Tire blowout suspected in crash that killed 12-year-old Devin Pierce in Douglasville (5.00)

  44. On-Star Alert Leads Police To Henry County Woman Sharon Young’s Body (5.00)

  45. Police: 8-Year-Old Boy Shot In DeKalb County (5.00)

  46. Clayton Mom Cierra Baughcum Accused Of Drunken Driving With Kids In Car (5.00)

  47. Newnan Daycare Operator Sol Jason Moon Charged with Sexual Battery (5.00)

  48. Ga. Tech Professor Roozbeh Kangari Retires Amid Theft Accusations (5.00)

  49. 62-Year-Old Lettie Robinson Dragged From MARTA Bus (5.00)

  50. Pregnant Woman Daysha Brock Fatally Shot; Baby Dies After Delivery (5.00)

 
  • Email to a friend Email to a friend
  • Print version Print version
  • Plain text Plain text

Rate this article

0

Photo Galleries

PHOTOS: Plastic Surgery Celebrity Awkward family photos 
 
UPDATED: Faces of Meth PHOTOS: Celebrities all a-Twitter

More galleries ››

 
 
 
 
Weather for Atlanta, GA, US
Now
64°F
Windchill: 64°F
Fair
Georgia Weather
Wed
High: 73°F
Low: 50°F
Clear
Georgia Weather
Thu
High: 78°F
Low: 60°F
Mostly Sunny
Georgia Weather