Ian's Pizza Welcomes Obamacare Price Hike by Papa John's Pizza
Papa John's CEO John Schnatter said in August that Obamacare would cost his customers between 11 and 14 cents, extra, per pizza.
This statement was met with condemnation from most folks, but not Nick Martin, part owner of Ian’s Pizza, which has four locations in Wisconsin, reports HuffingtonPost.com.
Nick Martin has offered full heath care coverage to his 50 employees for years, which made it harder to compete with Papa John's.
Martin told HuffingtonPost.com: "This may level the playing field for us. If they have to pay for benefits, and that pushes their prices up closer to ours, it will justify what we’ve been paying for and what we’ve been fighting to do the past few years."
"I’d tell Papa John's' CEO ‘Welcome to the club.' We’ve battled the whole way giving health insurance to employees ever since we could afford to do it 9 years ago, as a two-year-old business.”
Jonathan Gruber, a professor of economics at the Massachusetts Institute of Technology, told HuffingtonPost.com: “Evidence suggests that when health insurance costs go up, worker wages fall, rather than prices going up. If firms are forced to give their workers health insurance, they generally react by paying workers less in wages, they don’t raise the price of goods. A lot of what drives statements like those of Papa John’s CEO are politics, not economics."