Wendy's franchisee cuts employee hours, cites Obamacare

Jan. 7, 2013

Another restaurant operator has decided to cut employee hours in order to avoid paying for health insurance for those considered full-time under the impending Affordable Healthcare Act, or Obamacare.

WOWT in Omaha, Neb., reported the story about the local franchisee's decision. It will affect nearly 300 employees at 11 area Wendy's restaurants.

Those employees currently work within the 32-to-38-hours-a-week window that calls for health insurance coverage under the new health care law. But the company announced last week that all non-management positions will be reduced to 28 hours a week to avoid those extra costs.

Gary Burdette, vice president of operations for the local franchise, told the news channel that: "As a small business owner, he can't afford to stay in operation and pay for everyone's health insurance."

The hour reduction will go into effect in two weeks. Management-level employees will continue to have health insurance coverage.

Read more about operations management.

Topics: Insurance / Risk Management , Operations Management , Staffing & Training

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