Another business cutting hours to dodge Obamacare
This “old fashioned” fast-food hamburger franchise in Omaha, Nebraska, is following the lead of other restaurants to avoid Obamacare charges.
We first saw businesses cutting its employees’ hours to escape the Affordable Care Act healthcare mandate with Darden Restaurants, Inc., which operates Olive Garden and Red Lobster. Then Denny’s made headlines when it said it’d be doing the same thing, but possibly adding a surcharge to combat the mandate.
Now all non-management employees from 11 Wendy’s restaurants in Omaha, Nebraska, will see their hours reduced to 28 per week in order to get out of paying the Obamacare tax.
Gary Burdette, VP of Operations for the local franchise, said that as a small business owner he can’t afford to pay for everyone’s health insurance. The decision affects around 100 employees and is effective in two weeks for all non-management. Management employees will continue to have benefits as they are officially full time.
It’s important to note that this is just for the 11 Wendy’s restaurants in the Omaha area and is not a nationwide effort at this time.
Does this appear to be a viable solution for other businesses? Let us know your thoughts in the comments below.
- Share on
Free Training & Resources
Further Reading
Here’s a common rollover scenario: An individual leaves one employer for another. The previous employer offered a 401(k) plan. The...
The Department of Labor (DOL) is once again taking a neutral stance on offering a certain investment option to retirement plan participants...
Massachusetts recently updated its paid family and medical leave contribution guidance after passing Chapter 101 of the Acts of 2026. The c...
Believe it or not, more than 80% of workers like their employers’ Paid Time Off (PTO) packages. But that doesn’t stop a surpris...
What should you do if you mistakenly pay out too much for one of your employer-provided benefits, such as your retirement plan? Plan spo...
In April, Arkansas Governor Sarah Huckabee Sanders signed legislation making it illegal for Pharmacy Benefit Managers (PBMs) to own or oper...
