Wednesday, April 17, 2013

Some Company Executives Get BIG Bonuses, and Cut Employees’ Hours To Avoid Obamacare

Do executives at companies feel that their workers are worthless and should be working on the minimum wage and with no benefit whatsoever?

It is the case for Regal Entertainment Group, which operates Regal Cinemas, Edwards Theaters, and United Artists screens in 38 states Regal is in the minority. Multiple surveys have shown that approximately 94 percent of the nation’s large employers will most likely provide workers’ health benefits under the new Obamacare, since they fear that not doing so will invite public backlash and could potentially drive away current and prospective employees to companies that treat their workers better.


Still, as Regal’s decision demonstrates, not all companies are thinking quite that strategically. But this type of anti-labor practice is nothing new, and it extends far beyond Obamacare. Large companies, and particularly those in the service sector,  have a long history of protecting profits by cutting hours, firing workers, slashing benefits, and generally shifting costs onto their employees. Obamacare just offers these corporations a convenient scapegoat.

Strangely why would companies in the service sector would tend to act that way towards their employees when those workers interact on a daily basis with clients. If you want your employees to treat the customers well, go above and beyond, you must show your own employees you care about them.

This is certainly not a recipe for success.

Andre Plessis
AP Consulting

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