There is a discussion on Hacker News, but feel free to comment here as well.
This is the best summary I could come up with:
Two Pizza Hut operators in California are eliminating their in-house delivery services at hundreds of stores, resulting in more than 1,200 driver layoffs, according to federal-employment notices reviewed by Business Insider.
The layoffs, effective throughout February, affect Pizza Hut delivery drivers across California, including at Sacramento, Palm Springs, and Los Angeles locations.
The Pizza Hut franchisees are reducing staff as fast-food chains in the state brace for a new law that increases worker pay to $20 an hour in April.
A driver who spoke on condition of anonymity for fear of retaliation told BI that he was offered $400 severance pay if he stuck around through his February 5 layoff date.
Lisa Hough, the director of human resources for PacPizza in San Ramon, California, was listed as the contact on all five WARN Act notices that the company’s president, Brian E. Thompson, signed.
Mark Kalinowski, a restaurant-industry analyst, wrote in a note this week that he expected “more harm to come” in various ways as fast-food chains “take action in an attempt to blunt the impact of higher labor costs.”
The original article contains 683 words, the summary contains 180 words. Saved 74%. I’m a bot and I’m open source!
Well, guess I’m done ordering from there now.
Why were you ordering from them to begin with? They’re pretty trash pizza
Their pasta is really the highlight. Don’t know how they managed to make it so much better than the pizza.
I expect I’ll never use door dash or similar services. The quality is so low and the price is so high.
If I had to get something delivered, it’d be a pizza. Well, you know, one that still has its own drivers.
As a former Pizza Hut/Papa John’s/Marco’s/Hungry Howie’s driver, totally fine with this. Food delivery drivers are typically underpaid, especially considering how expensive cars are.
I kinda want to say that delivery services are charging what delivery should cost to compensate drivers fairly, but I don’t know how much of the customer pays go to the drivers and how much the delivery service keeps. I wouldn’t mind the upcharge on menu items if the driver got paid well.
We have a local burger joint in Seattle that has a $25 wage, $18k in tuition, and child care.
“Most Pizza Hut restaurants in the state work with third-party delivery apps, such as DoorDash, Uber Eats, and GrubHub.”
Sounds like a business plan that was already in motion before the wage hike. I know that competing chains have been offering huge discounts to incentivize you to pick up your pizza instead of have it delivered by the chain. I wonder if pizza delivery pays more or less than these services.
I was going to comment that I was surprised they even had their own drivers anymore.
The last 2 Pizza Hut delivery orders I made in the app/website were delivered by Door dash here in AZ. I assumed they had just switched over entirely.
My local pizza places (including a pizza hut) stopped hiring drivers and use exclusively door dash drivers for delivery. If they don’t have any dashers available, they call and tell you your food is gonna be late because they don’t have anyone to pick it up. I don’t order pizza anymore lol
If a company can’t pay their workers a livable wage, then they shouldn’t be in business.