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Time to boycott Papa John's Pizza?

Back in August, Papa John's CEO John Schnattner got in trouble when he told shareholders he'd have to raise pizza prices by 11-14 cents in order to cover the costs of Obamacare. Well, competition won't let him pass the costs on to consumers like that, so he's come up with a new plan: cut the hours of his workers to under 30 hours/week so he is not required to cover them. (Cheesy details below the squiggle.)

You see, when costs go up you only have two choices: either screw the consumer or screw the employees. But, in case you haven't noticed, it's your employees and your consumers who are responsible for 100% of your profits. Without either one, you earn...nothing!

So how is Papa John's doing in terms of profits? Hmmm...2nd quarter 2012 looks like this:

July 31, 2012
Papa John's Announces Second Quarter 2012 Results
EPS Increased 29.8% on Strong Comparable Sales of 5.7% for North America and 6.1% for International

LOUISVILLE, Ky.--(BUSINESS WIRE)-- Papa John's International, Inc. (NASDAQ: PZZA) today announced financial results for the three and six months ended June 24, 2012.

Second quarter earnings per diluted share of $0.61 in 2012, or an increase of 29.8% over earnings per diluted share of $0.47 in 2011.

"We had an outstanding second quarter as our system continued its strong sales momentum with significant comparable sales increases for our North American and International operations," said Papa John's founder, chairman, and chief executive officer, John Schnatter. "We continue to win with consumers, as we recently were recognized with Brand of the Year honors in the Pizza Chain Category of the 2012 Harris Poll EquiTrend Study, and we achieved the highest rating ever by an individual brand in the Limited Service Restaurant Category of the 2012 American Customer Satisfaction Index (ACSI)."

Profits are up 29.8%...and so we have to screw employees once Obamacare kicks in. Here's a thought: accept a 20% growth rate in profits. Think that will cover insurance premiums for those employees that make and sell your pizzas to those consumers who love you?

Don't want to touch profits? That would be un-American socialism, you say? Well, how about taking it out of your advertising budget? You know, that part where you are giving away 2 million free pizzas during football season and spending a fortune on tv to advertise it. How about if you go with your original idea and only give away 1 million pizzas. How much health insurance can you buy for that?

You charge your franchise owners 7% of sales for advertising costs. How about if you charged them 6% and then reserved 1% for health care for your staff? Think that might cover it?

So enough of the bullshit. Obamacare is a new expense. Get over it and provide the damn insurance. Maybe your employees will be a little healthier and miss less work. Maybe insuring them will prove to be a better long-term strategy than cutting hours, increasing employee turnover, and having to hire more part-timers to pick up the slack.

You do have options, Mr. Schnattner. Do the right thing. If not, we can cut you off the same way we cut off Chick-fil-A. Are you listening?

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Comment Preferences

  •  He'll adjust,trust me (12+ / 0-)

    The douche most likely spent millions in donations to Romney,but he cries about giving his workers health insurance. That pretty much sums up the greed of these corporations,oh I mean people. They are people we have been told.

  •  i know it seems counterintuitive, (6+ / 0-)

    but long-term, companies not providing health insurance is nothing but good.  the sooner the link between employment and health care is broken, the better. especially with new ACA plans being rolled out and the exchange just around the corner.

    i mean, this is still an asshole move, because people will lose their coverage.  and we absolutely should be making sure no one is ordering papa john's pizza.

    Please don't dominate the rap, Jack, if you got nothin' new to say - Grateful Dead

    by Cedwyn on Sat Nov 10, 2012 at 05:30:09 PM PST

    •  I doubt any of them have coverage - (1+ / 0-)
      Recommended by:

      Everybody but the store manager works part-time, and generally part-time workers are not eligible for benefits.

      (-9.25, -6.62) "Any society that would give up a little liberty to gain a little security will deserve neither and lose both" - Benjamin Franklin

      by trs on Sat Nov 10, 2012 at 07:00:41 PM PST

      [ Parent ]

  •  I remember reading somewhere (3+ / 0-)
    Recommended by:
    nchristine, wayne204, marzook

    that he said he would have to raise the price of his pizzas .50  to cover employees. I'd be glad to pay more for a pizza if it insured their employees. Everyone I've asked has said the same thing.

    "The human eye is a wonderful device. With a little effort, it can fail to see even the most glaring injustice." Richard K. Morgan

    by sceptical observer on Sat Nov 10, 2012 at 05:35:29 PM PST

    •  it was 14 cents, I believe. seriously. 14 cents (2+ / 0-)
      Recommended by:
      marzook, sceptical observer

      Its a free country. CEO can choose not to give his workers health care.  BIG DEAL - There's no "Moat" protecting his business because THERE IS NO MONOPOLY for Pizza makers. Guess what - any worker who vaguely knows what he/she is doing will work for the competition. Papa John's pizza will deal with a progressive boycott AND horrible pizza by incompetent amotivated labor force....tempted to short the stock now...

      $ to DFA, none to DSCC/DCCC/DNC

      by grrr on Sat Nov 10, 2012 at 06:37:09 PM PST

      [ Parent ]

      •  The competition will soon be out of business... (1+ / 0-)
        Recommended by:
        sceptical observer

        because this is a coupon/sale-driven business.  Overall, most customers go with the cheapest product, thus producers of more expensive product will not survive.  Economics 101, the more you charge the less you sell.

        "Two things are infinite: the universe and human stupidity, and I am not sure about the universe." -- Albert Einstein

        by Neuroptimalian on Sat Nov 10, 2012 at 06:42:44 PM PST

        [ Parent ]

        •  You Have Never Eaten a Papa John's (2+ / 0-)
          Recommended by:
          Dabb, grrr

          The last time I ordered a Papa John's, I ate the box and threw out the pie. I would rather munch on a shoe than sink another bite of Papa John's.

          People who buy Papa John's are shopping on price and coupons alone because they don't care about quality, but there are a lot of people who actually want their food to taste good.

  •  i think papa johns is going belly up. no one i (1+ / 0-)
    Recommended by:
    animal mother

    know ever patronizes his products & he was trying to duplicate chick fil a's fundie-wave hoping to generate more business by endorsing romney.

  •  Oh man (1+ / 0-)
    Recommended by:
    Stude Dude

    We don't even have a Papa John's Pizza in my town to boycott.  Or a Chik-fil-A.  

    This Shitner guy is just another rich baby trying to make a point by fucking over people who can't do anything about it.  A truely worthless lowlife.  

    This guy and the other rich assholes firing people because Obama won would be great targets for a journalist like Matt Taibbi who really digs deep and exposes just how fucking depraved the world these RWNJs live in really is.

    A little personal destruction for some of these guys would be delicious.  

  •  Already boycotting, (3+ / 0-)
    Recommended by:
    Shippo1776, dennis1958, barbwires

    since the first time that jackass started on his anti-employee health care mission a while back. I hope his doubling down in the wake of his shitty candidate's loss sinks his ship of shitty pizza.

    •  did exactly the same here (1+ / 0-)
      Recommended by:

      I've been calling my local Papa John's now and then, when I get in the mood and saying 'Tell your boss I'm STILL not gonna order from you guys because of your CEO's bs about Obamacare'.
      It's silly to do this alone I know but maybe we can take a page from Alice's Restaurant and make it a movement
      I mean, i mean can you imagine 50 people a day walking into/calling into their local papa johns and saying 'I'm boycotting you over your CEO's stance on Obamacare'

      well, yeah it's pretty silly but I've been doing it anyway.

  •  Moot 4me: I always hated taste of their pizzas (2+ / 0-)
    Recommended by:
    marzook, slampros

    ...and so never gave PapaJohn's any pizza business to begin with.  Alas, the guy who owns controlling share in Domino's is also a winger, just perhaps not momentarily as noisy a one as the PapaJohn's proprietor.

    •  I used to like them a lot. (0+ / 0-)

      The first problem was that they were more expensive than Little Caesar's or Domino's, both of which offer sizable pizzas for $5.00.  Then they changed recipes and ingredients, becoming very salty.

      Fortunately I discovered Sylvia's Brick Oven on Election Night -- they bring pizza to a whole different level.  Their $9.00 personal cheese pizza had a cracker-thin crust, topped with tomatoes that were seeded, smushed and moderately spices and flavorful blobs of real mozzarella cheese.  They are an in-town pizza restaurant with bar and carryout.

      "Politics should be the part-time profession of every citizen who would protect the rights and privileges of free people and who would preserve what is good and fruitful in our national heritage." -- Lucille Ball

      by Yamaneko2 on Sat Nov 10, 2012 at 07:30:51 PM PST

      [ Parent ]

  •  Could that be a good thing (1+ / 0-)
    Recommended by:

    I am not sure what they have now if anything.  I would be surprised if they have good insurance.

    These folks will now have good insurance.  

    And 10 hours a week to find a better job than working for Papa Johns.

    If I was an employee, I think I would like it.

    I bet it cost less on the exchange than what PJ's provides.

    Well .... we will see.


  •  I don't really have to boycott it (4+ / 0-)
    Recommended by:
    grrr, EntrWriter, smirking, slampros

    Their pizza tastes like shit. I just don't like it. Plenty of better pizzas out there.

    Just another day in Oceania.

    by drshatterhand on Sat Nov 10, 2012 at 06:20:16 PM PST

  •  Shit pizza anyway (1+ / 0-)
    Recommended by:

    I haven't paid for it in ages.

    When I do good, I feel good. When I do bad, I feel bad. That is my religion. - Abraham Lincoln

    by EntrWriter on Sat Nov 10, 2012 at 06:56:09 PM PST

  •  I must be one of the very few DKosers (1+ / 0-)
    Recommended by:

    who eat papa johns. There also 3 local pizza places where we eat in, but it's papa's to go. I do like their pizza. I need to let John Schnattner know we're happy to $.25-$.50 more per pizza if it means their workers will get health care (and as John Stewart put it, avoid hacking up lung tissue on my pizza). I also need to let him know that we will no longer buy any of their pizza if he pulls this dick move.

    So, should I write a single letter or try some type of group form?

  •  Thankfully, Being Screwed... (0+ / 0-) covered under Obamacare.

    I knew she was the gal for me as soon as she laid her eyes on me. Right on me shoulder, she did. Popped the buggers right out her head, and laid em on me shoulder. She's a sweet heart, that gal.

    by glb3 on Sat Nov 10, 2012 at 09:14:06 PM PST

  •  let's boycott them... (1+ / 0-)
    Recommended by:

    I read about this earlier, (I do not remember the month) but ever since, I decided not to by papa johns anymore.    Instead of worrying about obamacare and tax hike, they should worry about customer.  

  •  I never knew this guy was such (0+ / 0-)

    a big Romney supporter. He seems like a cool guy in his commercials. Why doesn't he just raise the price  a few cents per pizza instead of being such a douche to his workers? i'd gladly pay that so they can keep their insurance. I must admit their online point system has kept me ordering his pizza but this dick head move will lead me to rethink that.

  •  Pizza (0+ / 0-)

    The way I look at it, I would buy a pizza and pay a dollar more if this bastard would just shut the fuck up. If he doesn't think he can make enough in lazy ass America delivering pizza paying practically slave labor wages, HE SHOULD HIRE A COMPETENT MANAGER. Then he could go Galt with Trump, Allen West, Romney, the Murray coal jerk and Rove. Perhaps Rush can give them some tips on how much Viagra and cash you need to find a nice Dominican  to give them the enthusiastic penetration these guys so richly deserve.

  •  Here is papa John's castle (0+ / 0-)

    Brand new favorite RSS feed of Daily Kos Radio Podcasts
    Jobs, Jobs, Jobs

    by We Won on Sun Nov 11, 2012 at 01:31:05 AM PST

  •  new slogan (0+ / 0-)

    terrible pizza, dickhead CEO,  Papa Johns

  •  Stupid Ass Ceo's Fault If Papa John's Goes Under (0+ / 0-)

    This Emperor can't see that he has no clothes on.
    Can't see himself in the mirror.  Sir you are a turd.

  •  what else could you expect? (1+ / 0-)
    Recommended by:

    What else could you expect from a conservative christian? Something along the lines of helping the poor and needy as Jesus taught? Not John Schnatter. He can give money to PAC's but God forbid he take care of his employees.

  •  I don't even know what a pizza costs. (0+ / 0-)

    Like his business will go to hell if he has to raise prices 14 cents. Screw him. I'll never buy another Papa John's pizza or approve buying any from PJs.

  •  Papa John's owner (1+ / 0-)
    Recommended by:

    won't see a dime from my family. I think they started one up in our area recently, but we won't be buying anything there. We've got plenty of good pizza places around here. Why would I buy from a jerk like John?

  •  I read this diary before I logged in (0+ / 0-)

    ... and found an ad for Bertucci's pizza at the top of the page.

    I didn't realize the software placing the ads on was so sophisticated.

    Pap John's pizza is mediocre; Bertucci's is better.

    But the very best pizza I have ever had was at Santarpio's in East Boston near the airport. Come out of the old (Callahan) tunnel and take your first right.

  •  This is ridiculous.. (0+ / 0-)

    and the pizza isn't really any good. I refuse to even eat a piece of it when my sister breaks down and orders it. I go to our local Greek place which makes great pizza!!

    "..if you keep the hope alive, then change is still possible." Van Jones

    by shanti2 on Sun Nov 11, 2012 at 01:32:05 PM PST

  •  Papa Johns (0+ / 0-)

    Go to Papa Murphy's!  Why should we continue to put money in this jerks pocket when he won't even help his own employees?  Also if he doesn't want to give them health care and they can't afford it, do we really want "unhealthy" people handling our food?  I say let's hit him in the pocket book, he'll understand that!

  •  papa johns (0+ / 0-)

    boycott the POS.

  •  Papa Johns (0+ / 0-)

    Papa John's - One of many "Scrooges"  who delight in h8 of those "little people" who do the work. "Scrooges" didn't get their way in the election so they will punish the ones who made the money  for the business.  Is this an example of why  the Union movement started back a century ago???

    Reading is for the brain as exercise is for the body.

    by Bateach on Mon Nov 12, 2012 at 05:22:43 AM PST

  •  Awwww that poor multi-millionaire John (0+ / 0-)

    Schnatter, I feel sooooo sorry for him.

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