Monday, November 26, 2012

Menu Labeling: Another Job-Killing Regulation in ObamaCare

Section 4205, the menu labeling provision attached to ObamaCare meant to “aid consumers in selecting more healthful diets.” As currently written, however, the regulation will likely have job-killing effects and result in little, if any, significant reductions in obesity rates and/or improved health. - Leah Barkoukis/Townhall

The provision requires chain restaurants with 20 or more locations, including franchises and perhaps some grocery stores, to post calorie information for all products on in-store menu boards....

For the pizza community, estimates for the cost of signage reach up to $4,700 per year depending on how often products are updated. Despite being part of a big brand name like Domino’s Pizza, the cost will be incurred by the franchise owners, which Liddle says are mom and pop operations. The nearly $5,000 is an added expense against marginal profits, she says, which doesn’t include the uncertainties associated with future costs of food, minimum wage increases and the possibility of more regulations.

“You can only ask the consumer to pay so much,” she explains. “People like pizza because it’s good and it’s a value. You can feed a family of four for $25 bucks or under. So that’s one of the attractions to pizza and so we don’t want to raise prices to our customers, and truly, we can’t. So what does it mean? It means they’ll hire fewer people, it will mean that some stores will close.” Plain and simple, the franchise owners will not be able to afford additional cost burdens....

EDITORIAL: Obamacare’s pizza price - Washington Times

Midnight legislation will drive up cost of groceries and pies