The company that owns Red Lobster and Olive Garden is feeling the effects of its well-publicized
tantrum plan to not provide its employees — who get paid very low wages — with health insurance coverage. Of course we can expect that Darden’s owners / upper management will continue to receive outlandish salaries and bonuses, because that’s how American capitalism works. But that has nothing to do with anything… right?
How not to succeed in business: Promise to dodge Obamacare mandates — Darden began testing a plan under which it would hire more part-time employees in October, who would work fewer than 40 hours a week. That would exempt the company from the health law’s mandate to provide health insurance coverage to all full-time workers. Separate research from YouGov suggests that other restaurant chains that have recently criticized the Affordable Care Act have seen their favorability dip shortly thereafter… As much as Americans have negative opinions about the larger health-care system, they also tend to have pretty positive views of their own health insurance. Politifact has sifted through this data before, and found that polls that ask Americans whether they’re satisfied with their health-care plan can find upwards of 80 percent of respondents agreeing with them.
NEW YORK (MarketWatch) — Darden Restaurants Inc. shares fell 9% in premarket trades on Tuesday after it said it expects adjusted second-quarter profit of 25 to 26 cents a share. The Orlando, Fla., operator of Olive Garden and Red Lobster eateries was expected to earn 46 cents a share, according to a survey by FactSet.