Fast Food Restaurants Cost Taxpayers Nearly $8 Billion


Over the past few days, the corporate media has been trumpeting September’s “low” 7.2% unemployment rate. For the most part, the mainstream media fails to report that joblessness has only decreased 0.1% since August. Or that 20,000 of the 148,000 jobs created were temporary jobs. They also neglect to mention that most new jobs since the 2008 economic crisis don’t pay enough to live on. Which means that US taxpayers subsidize minimum wage workers to the tune of $7.8 billion a year. Given the current $17 trillion government debt, this seems like a major chunk of change.

Fast Food Restaurants Cost Taxpayers Nearly $8 Billion

In 2012, half of US jobs paid under $33,000 annually. Most of these minimum wage jobs are in America’s fast food restaurants, where employees struggle to get by on $7.25 an hour.

According to a recent University of Berkeley/University of Illinois study, 52% of fast food workers rely on federal programs like Medicaid, food stamps, the Earned Income Tax Credit, and Temporary Assistance for Needy Families to provide for their children. This is due partly to poverty-level wages and partly to heavy reliance by fast food outlets on part time workers (under 30 hours per week). MacDonald’s et all are reluctant to take on full time employees owing to the new requirement (under Obamacare) that they provide health insurance for full time workers. .

Something seems terribly wrong here. MacDonald’s, Subway, Burger King, Wendy’s, Domino’s Pizza are all highly profitable corporations. So why is the US taxpayer bailing them out by providing health care, food stamps, and other federal benefits for their employees and their families?

Work Week Shrinking Under Obamacare

Under Obamacare, employers are only required to provide health insurance if workers put in more than 30 hours a week. has been tracking employers that are either cutting work hours or only hiring part time workers to reduce their obligation under the new law.

When employers cut back their full time workers, Obamacare shifts responsibility to the federal government (through expanded Medicaid programs and premium subsidies) to provide health coverage for minimum wage workers. Thus in addition to subsidizing MacDonald’s, Subway, Burger King, Wendy’s, Domino’s Pizza, the taxpayer is also subsidizing highly profitable insurance companies like Aetna, United Health Care, and Blue Cross/Blue Shield.

The Government Accountability Office reports that Obamacare will increase the federal deficit by $6.2 trillion. $709 billion of this will fund Medicaid expansion (from 2014-2023). The rest will take the form of direct subsidies to insurance companies.

Sarah Palin Describes Obamacare as Corporatism

In a recent oped on Breitbart, former Alaska governor Sarah Palin describes Obamacare as “a sort of corporatism, which is the collusion of big government with big business.” While she and I disagree on many issues, that we definitely agree on.

She goes on to predict that the exorbitant costs will cause a breakdown in the US health care system. When this happens, she believes, Americans will clamor for the government to enact a single payer system which excludes parasitic health insurance companies from the health care equation.

I sure hope she’s right. Palin makes the unsubstantiated claims that single payer funding will lead to death panels and higher costs. There are no death panels in Medicare, which is a single payer system. Moreover Medicare, which was enacted in 1965, enables senior citizens to access health care far more cheaply and efficiently than private insurance does.

Nor are there death panels in the dozens of other countries that publicly fund health care. Even more importantly, they all pay about half what the US does for medical services. Seems to me it’s high time for the US to catch up with the rest of the civilized world. Except for the US, all other industrialized countries guarantee that all citizens, regardless of income, have the right to see a doctor when they’re sick.

One Response

  1. Ron Buchanan says:

    The “Agenda” has been for years to Remove the highest standard of living we have enjoyes since the end of world war 2 America streets paved with gold , the country of opportunity , etc etc . the corporate entities that have been very angry with us for keeping THEIR profits in our pockets decided they have had enough of that. So by manipulating the elections and by getting corporate minded prostitutes in office they decided to remove all rules and regulations from wall street and then having their flunkies start Insider Trading , which is how an economy is manipulated to gather all assets in one place , and you can bet its not our place. Congress has been playing out a set of actions to remove any chances of having the standard of living we once enjoyed. they have all they want now , and its a case of keeping it that way . Recently a set of laws were written to make insier trading against the law for congress. making it punishable. Then they had to plug the loopholes that made it legal for the relatives of congress to inside trade. So a watered down set of laws were written and passed and signed . However there is the biggest Cover Up of all. TRUTH BE KNOWN IT HAS NEVER BEEN LEGAL FLR CONGRESS TO INSIDE TRADE the laws written after the 1929 crash were written because it only took 9 millionaire investors to inside trade and manipulate us all into oblivion . However these 9 millionaires almost immediatly became multi billionaires. That is the what happened since reagan truth. Its time to follow the paper trails back to the beginning and prosecutge the prostitutes right up to their pimps the corporate and the 1% , uit would not be a long drawn out affair because its all there its a simple matter of follow and connect the dots. every financial crisis we have had for over 40 years has been set up planned and executed with onme target in mind to remove from us and give to the rich and corporate . By the way the same 1% own the corporations . The supreme court justices were appointed to guarantee that all laws would be made to keep corporate interests safe and always by a narrow margin 5 to 4 because dick cheney using G Dubya put the justices in place and now corpoprations are a living entity that have 0 accountability , they can puke up a few scape goats and fine a few others but its always business as usual , its easily done by distracting us whiole they back room deal us into poverty , cheney did that like a master , the congress uses misinformation misdirection and deception as a tool against us. they have admitted it fully. They are so arrogant about it because Now they have the department of homeland security to remove any beligerant americans that may be heard screaming the truth , the NSA listening in on us all , the CIA infiltrating our demonstrations and meetings of organisations , causing trouble at demonstrations making it look like it was all done so demonstrators could cause havok . the truth is we are being played and set up , the badge and gun thugs are now being taught we are all terrorists and all of us are criminals that need to be controilled , just look around at the instances of brutality and murder by the badge thugs the exact same agenda that the nazis used to take over germany . Suddenly a few local bar patrons whining about bad government became a hugely funded force to be reckoned with . The fascists in germany suddenly became well funded , from nothing but a few dutchemarks to buy a stein of beer to crisp new snappy uniforms , everything they need to fill stadiums and have bleachers ,m spr=eakers , amplifiers weapons flags all that stuff costs money. it was financed by people like the Rothschilds and american businesses investing in a new wartime profit machine. Hitkers war machine was an extgremely well financed money making endeavor for european and american investors.If yopu knew who these american investors were you would shit. But what was done then is being done now no differences exactly act for act . we forget the past we will repeat it again . its thew same facists doing exactly the same thiong they did before . making huge profits and having the scapegots to keep them safe.

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