What’s the Obama health law got to do with the price of pizza? Quite a lot, actually.
It’s long been known that the Obama health law will mean fewer hours for many low-income workers as employers are forced to prefer part-timers to full-timers or face hefty fees.
But because labor is an input into pizza — and because Obamacare makes workers more expensive to employers — you can also expect prices to jump. The Daily reports:
The founder and CEO of popular pizza chain Papa John’s warns that President Obama’s re-election may force franchises to slice employees’ hours — and even raise the price of pizzas. . . .
Under the new health care law, full-time employees at companies with more than 50 workers must be covered. Schnatter, who was an outspoken supporter of Mitt Romney, estimates the law will cost Papa John’s $5 million to $8 million a year.
Schnatter also reiterated his earlier comments about Obamacare raising pizza prices. In August, the pizza mogul made headlines when he told shareholders that the new law would result in a 10- to 14-cent increase. . . .
“That’s what you do, is you pass on costs. Unfortunately, I don’t think people know what they’re going to pay for this,” he said.