[credit provider=”Red Lobster” url=”www.redlobster.com”]
The CEO of Darden Restaurants is the latest restaurant executive to complain about Obamacare’s effect on his business. Darden, the parent company of Olive Garden, LongHorn Steakhouse and Red Lobster, is going to announce earnings next week and have already warned that results aren’t going to be good.
CEO Clarence Otis blamed Obamacare for part of the problem.
The company lowered its profit and revenue projections for the quarter ended Nov. 25, also blaming bad promotions, Hurricane Sandy, purchasing its Yard House USA chain for the bad results, reports Tiffany Hsu at the Los Angeles Times.
Otis said there’s been an impact from “negative media coverage that focused on Darden.”
“Earlier in the fall, Darden tested plans to cut back on healthcare costs by putting more workers on part-time schedules,” Hsu reported. “President Obama’s healthcare law would slap Darden and other large companies with fines unless they offer basic health insurance for full-time workers.”
Restaurant chains and retailers haven’t been shy about their hatred for Obamacare, which they say would hurt profits and force layoffs.
Cheesecake Factory CEO David Overton spoke out about Obamacare yesterday, saying it was “very costly” for his business.