Florida Food Chain Imposes Obamacare Price Hike

Customers paying a one-percent surcharge

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A restaurant chain in Florida is now forcing customers to pay a little extra because of the new health care reform law.

At least eight Gator’s Dockside restaurants in central Florida are now charging patrons a one-percent Affordable Care Act surcharge for their meals, the local CBS affiliate reports.

“The costs associated with ACA compliance could ultimately close our doors,” reads a sign posted in affected Gator’s restaurants. “Instead of raising prices on our products to generate the additional revenue needed to cover the costs of ACA compliance, certain Gator’s Dockside locations have implemented a 1% surcharge on all food and beverage purchases only.”

Gator’s Dockside has about 500 employees, half of whom work full-time, CNN reports. The health care reform law will require companies with 100 or more full-time employees to provide health care coverage for those workers beginning in 2015. Sandra Clark, the company’s director of operations, estimates the law will cost the company about $500,000 per year. The meal surcharge is expected to bring in $160,000 per year. A separate set of Gator’s Dockside restaurants run by a different company will not levy the health care charge.

“We’re definitely doing it to stay afloat,” Clark told WPEC. “It’s not political in any way.”

Gator’s isn’t the first player in the restaurant business to warn that Obamacare will increase costs to consumers; Papa John’s said last year it could lead to pricier pizzas.

[WPEC]

13 comments
KnoxHarrington
KnoxHarrington

More dumb Florida hillbilly stuff. This state should secede and make a new country by combining Florida with Texas and just call it DumbAss.


If it's not political then why didn't you simply raise every item on your menu by 5 cents without the frikin Obamacare BS.


Hillbillies.

JohnNugent
JohnNugent

How about we break down the federal taxes paid because of a war George Bush started? I agree with Private 1180...And I will never visit their establishments and will recommended not to go to others...Shame on them...

Private1180
Private1180

“We’re definitely doing it to stay afloat,” Clark told WPEC. “It’s not political in any way.” Riiiiiight. Because quietly raising your menu prices by a few pennies would not cover the ACA costs. 

If you TRULY cannot afford to provide the basics for your employees, which include fair wages, healthcare, sick days and maternity/paternity leave, you cannot afford to remain in business and have a failed venture. 

Also, aside from being morally bankrupt, any business owner who resents having to provide such basics to their employees will end up screwing him or herself in the end. Unhappy employees lead to low morale and high turnover rates. Having to hire and train a steady stream of new employees because you can't retain the ones you have is both extremely time consuming and expensive.

By throwing this temper tantrum, Gator's Dock is really just giving the middle finger to its employees and showing them exactly how little the company values them.

KennethMartinez
KennethMartinez

minimum wage should be against the law and a livable wage should be the law.

KennethMartinez
KennethMartinez

these fast food restaurants post millions in profit every year then cry they will go out of business if they have to stop slave labor pay. what bulls@#t !!

KennethMartinez
KennethMartinez

if thirteen cents is going to break this company maybe they should go out of business.


SteveSlater
SteveSlater

Scammers


Since the employer mandate was delayed until next year


the restaurant owners are charging for service they don't even have to provide yet


Republicans never passing by a chance to stick it to you


Remember that next election

AdamWest1
AdamWest1

1) How much does Gator Dockside charge their customers for: Social Security Tax, Medicare Tax?


2) How can ACA charge put them out of business when they do NOT even provide healthcare to their employees as they only provide healthcare for the managers?



WillWalsh
WillWalsh

The ACA appears to add an additional burden on this business to the tune of $500,000 a year. Most businesses can absorb that. So they raise prices. Customers then just assume they are trying to make larger profits. This allows them to explain to the customers that the surcharge is a result of the ACA and it will only cover 34% of the additional costs as described in the article ($160,000). America voted for this twice and they are consequences to this law. It would have been a lot less costly to create an exchange just for high risk people and expand Medicaid. 5 million were forced off of the plans they liked. Those 5 million policies often had more than one person covered (family coverage). So far 5 million are estimated to have signed up (not all paid) so it is either negative or a wash at best. I predict that we have the same amount uninsured in three years. I also predict the benefits of seniors through Medicare advantage plans will get worse. It is a complicated train wreck. Lots of I intended consequences are surfacing due to the rushed law that was passed and not read or fully thought out.

lakesider
lakesider

Dockside  and Papa John's has invited me to NOT visit their restaurants. If they want to raise their prices do so but why make a political statement unless it is politics and not business.

ayelene
ayelene

If it's not political, then why put the surcharge on a special line on the receipt?  Other things that cause prices to increase aren't highlighted on receipts or anywhere else.  This is definitely political.  

AlexSmith3
AlexSmith3

Almost two years ago, I stopped going to the Pappa Johns Pizza near my house because of the same desire to deny their employees and their neighbors health coverage. The 1% in a few will cost 15% of their profits in all locations. Even as a Republican, I believe that everyone deserves healthcare and my Gators Dockside in Lake Mary will never see my family again.

ryankarl39
ryankarl39

@Private1180  "If you TRULY cannot afford to provide the basics for your employees, which include fair wages, healthcare, sick days and maternity/paternity leave, you cannot afford to remain in business and have a failed venture."


Wow... I am going to start by leading your to another example showing your ignorance in this piece so please take a look as it is brought to you by your fellow liberal New York Times: http://www.nytimes.com/2014/02/21/us/public-sector-cuts-part-time-shifts-to-duck-insurance-law.html?_r=0


You must have never taken an economics class in your life. There are costs in running a business and healthcare is a HUGE piece of that cost. The public sector is already cutting back hours of part-time workers to under 30 and cutting back on field trips and travel for sports competition but will you say they are acting in a political or morally bankrupt manner because when the private sector does it, its because they are devious, ill-hearted, scoundrels whose businesses shouldn't keep their doors open.


Get real... This law is terrible for the economy and jobs but no matter what evidence is presented to you, its simply because the presenter of that evidence is either racist, hates his employees, or doesn't know how to run a business. People with your blind ideology are what is wrong with our society.