View Full Version : Restaurant's healthcare surcharge draws strong responses
These guys could have raised prices and hidden the surcharge...transparency seems to agitate some folks - story is making the rounds.
Perhaps some folks might actually maintain their working hours because of this approach?
Restaurant's healthcare surcharge draws strong responses
LATimes
By Steve Lopez
February 18, 2014, 9:42 p.m.
The owners of Republique on La Brea have added a 3% fee to every bill to pay for insurance for every employee. But not all patrons are biting.
http://www.latimes.com/local/la-me-lopez-surcharge-20140219,0,4593210.column#ixzz2tyyjposq
ddoering
02-21-2014, 14:41
Where did people think the money to cover these mandates would come from?
I love it...
...in your face response to in your face legislation
I think it's like spitting in berry's eye... :mad:
and I like it... :D
"The owners of Republique on La Brea have added a 3% fee to every bill to pay for insurance for every employee."
I love it...
...in your face response to in your face legislation
I think this is the way to do it for at least a year. Tell DC that when you implement laws such as affordable healthcare act Obamacare this is the consequences of what happens. Americans, us, don't need to bitch about businesses doing this. They need to take it to their voting rights and vote all these asshats out of office.
I say good for them.
Employers need to take the next step - full disclosure on the pay stub.
First line is net worth to the company this pay period.
Then show all the fees like Workman's Comp, Health Care and SS that the employer pays but the employee doesn't see now.
Then show all the standard stuff.
And of course the last line - Net Pay Due..........
...ON THE OTHER HAND
acording to Minnesota Democratic Rep. Keith Ellison this will mostly go unnoticed since many Americans no longer have to go out for dinner, they can stay home and cook since ObamaCare has freed them from the oppresive form of slavery that many of us refer to as a job...
If you are home cooking dinner instead of having to go out to get dinner, thanks to Obamacare, that silly 3% will seem.........
......pretty transparent.
Where did people think the money to cover these mandates would come from?
A restaurant serving $5 a cup coffee and $20 a glass house wine should already have been providing group health insurance to it's employees all along.
I'd like to see an itemized break-out - either conspicuously posted at premises or on the receipt or both - of all state and federal taxes and fees on all purchases...we could start with ammo and fuel purchases.
A restaurant serving $5 a cup coffee and $20 a glass house wine should already been providing group health insurance to it's employees all along.
I would agree……BUT…I'd like to see their P/L and expense structure first.
Crazy real estate prices in the last decade+ have really warped a lot of small business activity.
I'd be looking at lease/taxes/insurance costs compared to very long term norms.
I'd also want to look at health care costs as a % of the total wage bill as well, since a full service restaurant wage bill typically averages about 30-35% of revenue.
Based on feedback I'm hearing about Obamacare increases for many people….IF say 5-10% of a total wage bill went towards employee benefit costs to the business and Obamacare resulted in increases of 30-60% for younger/healthier people(restaurant staff tend to be younger than average) I think that would equate to that 3% surcharge.
And it's a way for the owner to more overtly offset the risk of customer unwillingness to accept higher costs in a competitive environment.
Interesting tactic….but it does have it's risks.
I reckon mandated higher minimum wages will have a far greater impact on small businesses compared to their mega franchise peers as well.
Just my 0.02c
From what appears to be an ObamaCare friendly website...
What Will ObamaCare Cost Me?
ObamaCare will cost most of us between 3% and 9.5% of our income after cost assistance. Cost assistance is give to low-to-middle income Americans who shop on the Health Insurance Marketplace (an online marketplace for insurance that is established by ObamaCare. See our guide to learn more about signing up for ObamaCare).
http://www.obamacarefacts.com
I'd like to see an itemized break-out - either conspicuously posted at premises or on the receipt or both - of all state and federal taxes and fees on all purchases...we could start with ammo and fuel purchases.
The federal tax on a gallon of gas has been the 18.4 cents for the last 20 years. Would you be willing to pay .5% more to offset the cost of having it printed on you receipt? :munchin:munchin
The federal tax on a gallon of gas has been the 18.4 cents for the last 20 years. Would you be willing to pay .5% more to offset the cost of having it printed on you receipt? :munchin:munchin
Are you suggesting that legislation mandating such disclosure might increase costs...like ObamaCare increases costs?
You seemed quite willing to spend the restaurant's money for them.
No need to print the federal gas tax rate for me now. Thank you.
ETA: I suggest that we let the Feds take any shave for your assumed costs of compliance...they do not deserve one more red cent until they quit pissing away money at the rate they have been doing for years.
Remington Raidr
02-21-2014, 18:50
they are gonna get audited.
ddoering
02-21-2014, 20:16
A restaurant serving $5 a cup coffee and $20 a glass house wine should already have been providing group health insurance to it's employees all along.
Depends on where you live. In the beltway they wipe their asses with twenties.
In Arkansas they thing a twenty is a lottery jackpot.
[T]hey are gonna get audited.
The family also owns a bistro downtown called Church and State. ;)
Pat
I applaud the owner for trying to make an overt statement but......
If that surcharge was not published so clients knew before ordering I would not pay it. Raise the prices to compensate and as always the customer would vote with their dollars to eat there or not. I go to a restuarant and pay for the items I order plus mandated taxes not a bunch of silly owner generated fees. I would lay down the exact fee in cash and walk. But then I do not go out to fancy snobish restaurants.
Just my 2 cents
The Reaper
02-21-2014, 20:56
The federal tax on a gallon of gas has been the 18.4 cents for the last 20 years. Would you be willing to pay .5% more to offset the cost of having it printed on you receipt? :munchin:munchin
There are stickers on the pumps in most gas stations that show the taxes.
IIRC, the FET on loaded ammo (and firearms) is 11%, which goes directly to help conservation programs.
TR
I applaud the owner for trying to make an overt statement but......
If that surcharge was not published so clients knew before ordering I would not pay it. Raise the prices to compensate and as always the customer would vote with their dollars to eat there or not. I go to a restuarant and pay for the items I order plus mandated taxes not a bunch of silly owner generated fees. I would lay down the exact fee in cash and walk. But then I do not go out to fancy snobish restaurants.
Just my 2 cents
They've only been open a few months. They are making a political statement so it's possible that it is mentioned on the menu. All they've done is unmask a mandated tax to their customers; it's not like adding a gratuity that you can choose to scratch off the bill.
Pat
They've only been open a few months. They are making a political statement so it's possible that it is mentioned on the menu. All they've done is unmask a mandated tax to their customers; it's not like adding a gratuity that you can choose to scratch off the bill.
Pat
I know Pat but I do not like it. Let them make the statement another way. I am tired of paying for others and by sticking it in my face just pisses me off. If I opened a menu and it said there was a 3% Obama care surcharge I would put it down and walk out. I have done it in a few places down south when the owner put a charge that I did not agree with. I know that the price of the item pays for profit, wages, etc and that is ok. If they have to raise the price to take care of additional requirements that is ok. Just do not rub my nose in it. If I sit down and do not like the price of the items I get up and go some where else. That is just me... I vote with my money as that is the only thing people understand.
I know Pat but I do not like it. Let them make the statement another way. I am tired of paying for others and by sticking it in my face just pisses me off. If I opened a menu and it said there was a 3% Obama care surcharge I would put it down and walk out. I have done it in a few places down south when the owner put a charge that I did not agree with. I know that the price of the item pays for profit, wages, etc and that is ok. If they have to raise the price to take care of additional requirements that is ok. Just do not rub my nose in it. If I sit down and do not like the price of the items I get up and go some where else. That is just me... I vote with my money as that is the only thing people understand.
I understand your point, also, but they are in Handcock Park which is a very (wealthy) liberal part of LA. That's their local clientele and they seem willing to slap them in the face with what these people helped force on the rest of us. My guess is that the patrons will pat themselves on the back knowing what they are paying for. You are going to pay it whether they post it or not.
Pat
A restaurant serving $5 a cup coffee and $20 a glass house wine should already have been providing group health insurance to it's employees all along.
Why? :munchin
This will not turnout well for the owners of republique restaurant. The LA press will drive the as quoted "Expensive" restaurant out of business.
The strategy to winning, promoting, and passing on the cost and your personal position on Obama-Care, is, or should never be, at the expense of your clientele sensibilities.
That argument always fails. It may have served the partners better had they made a statement to the effect that due to rising cost, they have been forced to raise prices by 3%.
Why? :munchin
Because it's the right thing to do, IMO.
The Reaper
02-22-2014, 14:57
Because it's the right thing to do, IMO.
Always a good sign of a free state when others tell you how to run your business and what you can and can't do with it.
TR
Sacamuelas
02-24-2014, 18:15
Because it's the right thing to do, IMO.
wow... the "right thing to do" ??? All i hear you saying is.... I support:
failed businesses, higher taxes, poor business decisions, discouraged
entrepreneurs, squashed growth, tight profit margins, higher unemployment, O
lack of risk taking and innovation, poor employee motivation, higher
government control and oversight, and higher prices of goods and services for
all people.....
wow... the "right thing to do" ??? All i hear you saying is.... I support:
failed businesses, higher taxes, poor business decisions, discouraged
entrepreneurs, squashed growth, tight profit margins, higher unemployment, O
lack of risk taking and innovation, poor employee motivation, higher
government control and oversight, and higher prices of goods and services for
all people.....
Really!!! I owned and operated 4 businesses over a period of 30 years, Risk taking, innovation BTDT, how about you? Would you work for a company that had zero employee benefits? I wouldn't!
Would you work for a company that had zero employee benefits?
...that's the beauty of the system. People don't have to work for a company that they don't want to work for and people don't have to pay 20 bucks for a glass of 10 dollar a bottle cabernet.
...that's the beauty of the system. People don't have to work for a company that they don't want to work for.
Ideally, that's true, however not in reality!
The Reaper
02-24-2014, 21:48
Really!!! I owned and operated 4 businesses over a period of 30 years, Risk taking, innovation BTDT, how about you? Would you work for a company that had zero employee benefits? I wouldn't!
That is their choice in this country, correct?
TR
Would you work for a company that had zero employee benefits? I wouldn't!
I did and would again if I needed to. I didn't work for a company with benefits (besides the Army) until I was 30 and I started working at 12. My son offered to work for a printing company for free just to learn the trade. The owner hired him at HIGHER than minimum wage (without benefits) because he saw the character of the worker he was getting, and he was sorry to see him leave to go off to college.
Companies offered benefits to get around FDR's wage freezes. That caused most of the problems with health insurance that we've had to put up with since then. And it lead to Roberts' Care. (I blame Chief Roberts for it more than Obama. It could have been stopped at the SC!)
Pat
Sacamuelas
02-24-2014, 21:57
?..how about you? Would you work for a company that had zero employee benefits? I wouldn't!
Not to get to personal...because this thread is not about you and me.. But I do OWN my own business. It's successful and I've never had to start over,close down, go bankrupt, been forced to sell to competitor, or sell to pay bills and start over. I do employ people ...I SURELY don't need the government or liberal policymakers dictating to me what is "right" or mandatory minimum compensation/benefits for me or my employees. I borrowed over $100k to put myself thru school and another $800k to build my practice. I have to fund my own retirement...I will not get a guaranteed retirement from uncle sugar until I expire.
BTW--- I do currently work for a F@&king company that doesn't give mandatory medical insurance or paid vacation to ALL of its employees (including ME), and I own the friggin company. I'm first in the door and last to leave. I would get paid LAST if there was a cash flow shortage. I get NO paid leave or sick days, but I pay my staff if I'm out sick or off work so they won't go without anytime I can afford it. I made the decision based on the specific situation of MY company and MY employees needs to NOT offer medical insurance coverage to myself or my staff. I did make e decision to offer paid vacation to some staff members and paid sick to some. I give bonuses based on profits to my employees based on worth to the business, job description/responsibilities, and their performance over that quarter. I'm sick and tired of "know it all" types claiming owners and CEOs and evil businessmen are just greedy. Sometimes we are just smarter than you when it comes to OUR businesses, employees, and realities. In my case, my staff would rather have that excess money put towards paid travel for education opportunities, bonuses, social activities with families together, reinvested into the business for equipment/furniture/modernization, etc.
I treat my employees as family. I take them to long lunches on my dime, take them on paid vacations all around this great country of ours on my own dime, educate them at my own expense to help them better themselves and gain new skills! and help them all sorts of ways even down to things like wedding gowns and/or car repairs. I do this because I care about them and appreciate their work. They don't stay with me ONLY for financial reasons. Why? Because you never have enough money. You can never pay someone enough to ever stop their desire to earn more. I appreciate them and provide them with fair pay, equal treatment, a sense of pride in what we do and what they are a part of in their workplace.
I ALSO pay each one differently based on experience, job competency, value to my business, job description,etc. One of my young assistants started at $8.50/hr and that is all she was worth (if that) to my office when she hired on with me. I had to train her, teach her, send her to continuing education, and mentor her to learn what it takes to become a professional. She has earned her way into significantly more pay since her hiring. Over the last two years ( she has almost tripled her initial pay, obtained paid vacation/sick days, now receives bonuses every quarter based on office production,etc). I would not have hired her if I had to pay to much to train her while providing $800/month towards medical insurance,etc.
I have some on salary, some on pure commission, and one who is hourly. In my business, I decide what is needed to maintain my staff both for retention as well as a reward for dedication/competency/achievement.
Back to topic... Business owners should be allowed to make business decisions on pay/benefits/insurance. Every individual company should be able to consider not only each staff member's specific needs from that business but also place a differing value on that employee to the business concerning pay/benefits. While some may rightly deserve or receive benefits, not all positions fall into that category. If the business can afford to lose a staff member over not offering a benefit that another company will provide, then either the staff member is not worth as much to that business as they thought they were, there just wasn't the available funds to match the offer even though the owner wanted them to stay, or the business is poorly managed. That is the free market and is the only way to run a successful small company.
Really!!! I owned and operated 4 businesses over a period of 30 years, Risk taking, innovation BTDT, how about you? Would you work for a company that had zero employee benefits? I wouldn't!
And that is the beauty of the system. The business has the choice to extend the benefits that it wants/can and the employees have the choice to take the job.
Ideally, that's true, however not in reality!
I am confused about the reality of which you speak; clearly you and I experience different realities. I joined to the military because my civilian job had no upward growth and I chose not to work there any longer.
...I joined the Army because I didn't want to be in the Navy or Air Force
...I don't buy wine at restaurants that sell 10 dollar a bottle table wine for more than 5 bucks per glass
...I work part time as a skydiving instructor and when the drop zones I work at no longer appeal to me I leave and find work at a competing drop zone.
...my son has worked several different jobs in Fayetteville and when he decided he didn't like the job scene here around Ft Bragg, he enrolled in college and moved to Greensboro.
Trapped in a job is a reality suited to those who have no desire or drive to change their station in life. I will agree that there are times when people ARE stuck in a dead end job but more often than not the reason they are "stuck" is because they have adopted a long term habit of accepting mediocrity.
You and I aren't going to agree on this based on my belief that people will work where they are satisfied with working and buy what they are satisfied buying. (note-I used the word satisfied and not happy). I don't believe that makes either of us wrong, it simply means I disagree with your stated reality.
Respectfully submitted....
BL