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Pizza Hut franchises in California lay off all delivery drivers ahead of $20 minimum wage increase
(www.sfchronicle.com)
this post was submitted on 26 Dec 2023
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Pizza Hut made over $6 billion last year, you’d think they could afford to pay their drivers.
There's 19,000 pizza huts, but most all of them are franchises. It's not "pizza hut" firing drivers over this. It's franchise owners. Also, if you were to do some napkin math, 19,000 (I know. Just california, but that would hardly be fair to everyone else) pizza huts needing say....5 drivers each at 40 hours a week paid 20 means a cost of about 28 after insurance and such.... that'd be 95 thousand drivers....$106,400,000 a week...$5,532,800,000 a year.
Shit gets expensive.
But face it. Delivery drivers make a lot in tips. People have been willing to do it using their own vehicles for decades while they make super low minimum wages. Making $20/ hour plus the tips will have the delivery guy out doing everyone else at the restaurant, which means their pay will have to go to like $35/hour which means a stupid pizza is gonna cost $30. Let uber eats handle the deliveries.
Pizza in Boston delivered by door dash is routinely right about $30 before tip. My credit card offers free door dash premium whatever it's called and I usually choose places offering a promo and tend to order early when there are also promos. That brings things down to the $20s. But it's generally about $30 with tip even doing all that. If I'm not paying attention it's easy to order a $45 pizza.
To be fair I don't eat from pizza Hut or Dominos or other chains. Those might be a few percent cheaper.
What card is that?
Chase sapphire reserve. $595 annual fee seems crazy at first but if you use the perks it pays for itself multiple times over.
That's half my point, though. You choosing to pay $30 through door dash or Uber eats is your choice. The restaurant isn't charging way more for their pizzas because they have to pay everyone on staff a lot more. Delivery has been outsourced and so have the added costs that go along with it.
Are you figuring places only deliver one pizza an hour?
No more than you're imagining each pizza hut only has one employee that cooks,preps, waits tables, takes orders, and delivers the pizza all on their own.
The ones around my place do.
They even have to be the bathroom attendants too but the cologne selection sucks.