Sign of the times: Chain cuts hours of full time workers because of Obamacare

Rick Moran
The restaurants affected - Red Lobster and Olive Garden - are owned by Darden Restaurants and the company says they will "test" the new employment strategy in 4 markets. But you can bet they aren't the only company that will be looking at this option. CNBC: Darden Restaurants declined to give details but said the test is only in restaurants in four markets across the country. The test entails increasing the number of workers on part-time status, meaning they work less than 30 hours a week. Under the new health care act, companies will be required to provide health care to full-time employees by 2014. That would significantly boost labor costs for businesses. About 75 percent of Darden's employees are currently part-timers. Bob McAdam, who heads government affairs and community relations for Darden, said the company is still learning from the tests, which was first reported by The Orlando Sentinel. "We're not at a point where we have results," he said. McAdam also noted that...(Read Full Post)

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