Pizza Hut to lay off California workers after minimum wage increase

Re:Pizza Hut to lay off California workers after minimum wag... by bell-cot on Wednesday December 27, 2023 @01:02PM (#38784614)

First 2 sentences make the situation far more clear:

> Pizza Hut is set to lay off more than 1,200 delivery drivers in Los Angeles, Orange and Riverside counties in the coming year, ahead of a new state law that boosts the fast-food minimum wage by $4 to $20 per hour.

> Pizza Hut franchises are preparing to pivot toward third-party apps like DoorDash, GrubHub and UberEats for pizza and food deliveries.

And if you know how "minimum wage" works for DoorDash, etc. drivers in CA...

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Re:Pizza Hut to lay off California workers after minimum wag... by Guvante on Wednesday December 27, 2023 @06:03PM (#38787950)

Pizza Hut has a $4.99 delivery fee in CA so either they are claiming they can't manage to sell four pizzas and hour or this isn't about the bill but about reduced demand.

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Re:Pizza Hut to lay off California workers after minimum wag... by bell-cot on Wednesday December 27, 2023 @06:53PM (#38788339)

Ah...Pizza Hut's bottom-line cost of employing a "$20/hour" delivery driver is a lot more than $20/hour. (Assuming they're employing him legally, vs. "cash under the table".)

And maybe talk to somebody who's done delivery driving about being able to sustain a 4-delivery-per-hour average, through their whole shift, day after day.

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Re:Pizza Hut to lay off California workers after minimum wag... by Guvante on Wednesday December 27, 2023 @08:57PM (#38789096)

You don't delivery pizza for the delivery fee... You deliver pizza to sell more pizza.

My point is the delivery is alone is almost covering your cost a lot of the time.

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Re:Pizza Hut to lay off California workers after minimum wag... by ratg13 on Friday December 29, 2023 @05:40AM (#38803631)

At 4 pizzas an hour you haven’t covered taxes, benefits, or any business costs.

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Re:Pizza Hut to lay off California workers after minimum wag... by Guvante on Sunday December 31, 2023 @01:46AM (#38822304)

Why do you exclude the value of the pizza delivered?

It isn't like they only got $20 total...

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Re:Pizza Hut to lay off California workers after minimum wag... by 99catmaster on Thursday December 28, 2023 @07:47AM (#38792933)

How does minimum wage for for DoorDash etc drivers in California?

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Re:Pizza Hut to lay off California workers after minimum wag... by sschueller on Friday December 29, 2023 @12:28PM (#38807649)

Aren't they gig workers so they are all "self employed" on a 1099 and the minium wage does not apply?

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