Franny’s Retracts Surcharge

With increasing labor costs around New York City, many restaurants have implemented new strategies to cover rising expenses. Yesterday we wrote about Franny’s announcement that they would include an “Obamacare surcharge” on all bills to cover increased labor costs for their employees. Francine Stephens and Andrew Feinberg, co-owners of Franny’s, have now retracted their statement.

Stephens and Feinberg were originally planning to add a 3 percent surcharge to all checks to cover the cost of providing health insurance to employees, as required by the Affordable Care Act. After releasing statements regarding the surcharge, many guests questioned Franny’s decision as being anti-Obamacare. Stephens and Feinberg have since retracted the surcharge and are instead increasing menu prices accordingly.

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