Officials from the Wendy's Corporation said they have not formulated a plan to respond to the Affordable Care Act after a Wendy's franchisee in Nebraska announced that they would cut employees' hours to avoid providing health care.
"We are still reviewing our approach to the Affordable Care Act, when the employer mandate goes into effect in 2014," said Wendy's Corporate Media Contact Bob Bertini of company-operated restaurants.
The company does not provide a breakdown of company and franchise restaurants, said Bertini. In the immediate area, however, the Wendy's Restaurants in Marlborough, Westborough and Southborough are all operated by Wendy's Corporate.
Gary Burdette, the Vice President of Operations for the franchise that covers 100 Wendy's in Nebraska, told WOWT Channel 6 in Omaha, Nebraska that all non-management employees hours will be cut to 28 hours a week to avoid providing health insurance under the Affordable Care Act. According to the information in the report, the cuts would affect roughly 100 employees.
This decision is by one franchisee in Nebraska, said Bertini.
"Our franchisees are independent business people, and they make the decisions regarding benefits for their restaurant teams," he said. "As small business employers, our franchisees are facing rising food and operating costs and many new government regulations."
Let us know what you think of the hourly cutbacks by this franchisee in the comments. Will it change your buying habits at your local Wendy's?