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Pizza Hut fires all delivery drivers due to CA fast food minimum wage law
(www.businessinsider.com)
this post was submitted on 27 Dec 2023
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This is the best summary I could come up with:
Two Pizza Hut operators in California are eliminating their in-house delivery services at hundreds of stores, resulting in more than 1,200 driver layoffs, according to federal-employment notices reviewed by Business Insider.
The layoffs, effective throughout February, affect Pizza Hut delivery drivers across California, including at Sacramento, Palm Springs, and Los Angeles locations.
The Pizza Hut franchisees are reducing staff as fast-food chains in the state brace for a new law that increases worker pay to $20 an hour in April.
A driver who spoke on condition of anonymity for fear of retaliation told BI that he was offered $400 severance pay if he stuck around through his February 5 layoff date.
Lisa Hough, the director of human resources for PacPizza in San Ramon, California, was listed as the contact on all five WARN Act notices that the company's president, Brian E. Thompson, signed.
Mark Kalinowski, a restaurant-industry analyst, wrote in a note this week that he expected "more harm to come" in various ways as fast-food chains "take action in an attempt to blunt the impact of higher labor costs."
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