Live data from Hacker News

California Pizza Huts lay off all delivery drivers ahead of minimum wage increas

usatoday.com

1–10 of 109 posts

Re: California Pizza Huts lay off all delivery drivers ahead of minimum wage increas

#4

I find it wild that they'd rather just hand all that money over to Grubhub.

“Move fast and externalize costs” is the private equity slogan, and it’s very applicable here. Deliveries are a competitive feature, not a core market focus. Replacing benefits-laden delivery employees with a temp agency that can just invoice for deliveries is a dream come true for a megacorp.

Are temp workers for DoorDash et al. paid the new fast food minimum wage when performing contract work for fast food businesses in California?

Re: California Pizza Huts lay off all delivery drivers ahead of minimum wage increas

#6
> The layoffs come as fast-food workers in California are set to get a pay bump of close to 30% in April as the minimum wages rises from $16 to $20 an hour.

It's not "close to 30%," it is "exactly 25%." Whoever wrote that needs to be sent back to middle school remedial math.

As if I needed another reason to not eat at pizza hut. This sounds like a cynical ploy to get sub-minimum wage gig economy delivery drivers via third party services that they can then blame when the plan goes pear shaped.

Re: California Pizza Huts lay off all delivery drivers ahead of minimum wage increas

#8

I find it wild that they'd rather just hand all that money over to Grubhub.

I imagine that the premium they pay Grubhub is going to be a lot less than employing full time drivers. And Grubhub drivers live on tips and don't make minimum wage,right? So this will end up being cheaper for consumers than a 25% increase in delivery cost.

Re: California Pizza Huts lay off all delivery drivers ahead of minimum wage increas

#9
Related:

Pizza Hut to lay off California workers after minimum wage increase - https://news.ycombinator.com/item?id=38784345 - Dec 27th, 2023 (12 comments)

California Pizza Hut Lays Off Delivery Drivers Amid New Wage Law - https://news.ycombinator.com/item?id=38778657 - Dec 26th, 2023 (79 comments) [flagged]

California Pizza Hut operators laying off all delivery drivers - https://news.ycombinator.com/item?id=38775754 - Dec 26th, 2023 (47 comments)

Re: California Pizza Huts lay off all delivery drivers ahead of minimum wage increas

#10
This feels a little short-sighted. Just this year, New York City implemented new minimum payment schedules for "self employed" app delivery drivers, which brings their minimum hourly payment to nearly $30/hr.

I will strongly suspect that the big centres in california will do likewise, or potentially the state as whole.

Post reply on HN