Papa John’s warns it will have to raise the price of its pizzas due to President Obama’s health care law.
John Schnatter, CEO and founder of Papa John’s, said pizza will cost up to 14 cents more when the Affordable Care Act goes into effect in 2014.
“We’re not supportive of Obamacare, like most businesses in our industry. But our business model and unit economics are about as ideal as you can get for a food company to absorb Obamacare,” Schnatter said in a conference call during last week’s shareholder’s meeting, according to Politico.
Schnatter later added: “If Obamacare is in fact not repealed, we will find tactics to shallow out any Obamacare costs and core strategies to pass that cost onto consumers in order to protect our shareholders best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 Pizza Marketplace, there are nearly 4,000 Papa John’s restaurants in all 50 states and 33 countries.
Schnatter, a Romney supporter, held a private fundraiser for the GOP presidential candidate at his Kentucky home in April.
Even economist Johnathan Gruber has changed his mind and said that ObamaCare will increase premium prices. Companies will have to start increasing their prices to help pay for the rising cost of their employees healthcare.
You have to read the entire article because it says at the beginning he believes it will reduce the cost, but then it goes on to say he now believes it will increase the cost from 19%-29%.
sstonetx writes:
Thirteen cents won't keep some people from buying that horrible pizza.
No but look at it this way, if he is going to raise his prices other business will follow him. Prices have been going up on everything but yet salaries are not following the trend.
Question...will part time employees be included in the affordable health care act? So does an employer have to provide insurance to those not working full time?
sstonetx writes:
Thirteen cents won't keep some people from buying that horrible pizza.
******************************************************************
I agree, the pizza is horrible. I wouldn't go there if they were giving it away!
djohn78 writes:
I was a manager for Papa Johns when I was in college and we still(pre-diet) eat their pizza! You either love it or hate it!
It was actually better when they first opened out here as with most of the pizza places. They all seem to go downhill after awhile. We just make our own pizza at home.
TheWoodlandsTX.com is a friendly and interactive online
gathering place for residents of The Woodlands, Spring, Tomball,
Magnolia, Conroe, and Shenandoah areas.
