Applebee's exec says 'skyrocketing gas prices are an 'advantage' that can be used to LOWER wages'

Wayne Pankratz, the executive director of operations for American Franchise Capital, which owns 50 Applebee's franchises in the Midwest, called on the company to lower wages for workers already hit hard by soaring gas prices and inflation

Wayne Pankratz, the executive director of operations for American Franchise Capital, which owns 50 Applebee’s franchises in the Midwest, called on the company to lower wages for workers already hit hard by soaring gas prices and inflation

An Applebee’s executive caused an uproar when he allegedly told company officials in a leaked email that skyrocketing gas prices and inflation could be used to lower wages for workers already living paycheck to paycheck. 

In a copy of the internal email posted on Reddit on Wednesday, Wayne Pankratz, the executive director of operations for American Franchise Capital, which owns 50 Applebee’s in the Midwest, allegedly told managers of the fast food chain  that employees and applicants are economically hurting, which he saw as an ‘advantage.’

‘Most of our employee base and potential employee base live paycheck to paycheck,’ the email read. ‘Any increase in gas prices cuts into their disposable income.’

This week, the average price of a gallon of regular gas in Midwest states hovered near $4, while Los Angeles hit a record $6.011, according to the AAA Gas Price Index.

Pankratz allegedly went on to say: ‘As inflation continues to climb and gas prices continue to go up, that means more hours employees will need to work to maintain their current level of living.’  

He added that with pandemic government aid drying up and people needing two jobs to survive, the company needed to make sure new workers are brought in on lower wages and should have their lives revolve around Applebee’s, according to the leaked email.  

A copy of the leaked email posted on Reddit has Pankratz allegedly telling company officials that they need to take advantage of economic troubles plaguing American workers

A copy of the leaked email posted on Reddit has Pankratz allegedly telling company officials that they need to take advantage of economic troubles plaguing American workers

Along with soaring gas prices, inflation has left many across the nation struggling

Along with soaring gas prices, inflation has left many across the nation struggling

‘The labor market is about to turn in our favor,’ Pankratz allegedly wrote. ‘Besides hiring employees at a lower wage to decrease our labor [cost] (when able) make sure you have a pulse on the morale of your employees. 

‘Your employees that live check to check are impacted more than the people reading this email. Be conscious of that. Many will need to work more hours or get a second job,’ the email continued.

‘Do things to make sure you are the employer of choice. Get schedules completed early so they can plan their jobs around yours.’ 

He went on to gloat that mom-and-pop companies and other competitors were going under because of the pandemic, leaving Applebee’s with more potential applicants to potentially exploit.  

Scott Fischer, a spokesman for American Franchise Capital, told the Kansas City Star that the email does not reflect the company’s position nor does Pankratz have any power to make such changes. 

‘He doesn’t have the authority to create policy for our company for the brand or anything, Fischer said. ‘Maybe he wrote it in the middle of the night. I don’t know.’

‘The main message here is that this in absolutely no way, shape, or form speaks to our policies or our culture, or anything like that with our brand.’ 

Kevin Carroll, Chief Operations Officer at Applebee’s, also condemned Pankratz’s alleged statement and said the company does not hold the opinions of the AFC exec.  

‘This is the opinion of an individual, not Applebee’s, Carroll said in a statement. ‘We understand that the franchisee who owns and operates the restaurants in this market has placed the individual on leave.

‘Our team members are the lifeblood of our restaurants, and our franchisees are always looking to reward and incentivize team members, new and current, to remain within the Applebee’s family.’

The leaked email sparked outrage at an Applebees in Lawrence, Kansas, where three managers quit in protest, the Lawrence Journal World reported  

Jake Holcomb, one of the managers, told LJ World that the restaurant was closed for two days after the email leaked. 

‘I was just stunned and disgusted,’ said Holcomb, who has worked for the company since 2020.

The backlash grew online with many taking to Twitter to slam the company for its tone-deaf words.  

Many took to Twitter to slam the company for allegedly trying to take advantage of workers

Many took to Twitter to slam the company for allegedly trying to take advantage of workers

An Applebee's in Lawrence, Kansas (pictured), was closed for two days after three managers quit in protest of what was said in the email

An Applebee’s in Lawrence, Kansas (pictured), was closed for two days after three managers quit in protest of what was said in the email

Twitter user Kristen Tepper wrote: ‘It’s one thing to be a greedy a**hole. It’s a wholeeee other game if you’re one who’s dumb enough to put your greedy asshole thoughts into an email.’ 

Salem Snow, who said he quit a manager’s position at Applebee’s in the past, claimed the email did not reveal anything new about how the company operates. 

‘Applebee’s told me that in order to succeed in their business, I would need to abandon my humanitarian and socialist views,’ Snow tweeted. ‘This occurred after I had objected to setting up employees to get illegitimately fired.’ 

‘Applebee’s knows they are anti-worker. They don’t want you to know.’  

Lesley Richardson, another Twitter user, said she would no longer support the company despite her years of enjoying the restaurant. 

‘We have been customers of yours for decades, from the Burnsville Center, MN restaurant, to the Applebees in my St. Paul office building, where I used to get my dinner, to the Bel Red Rd WA one,’ Richardson said. ‘I get all my lunches at work from there. That stopped today, permanently.’ 

Twitter user Nick Joseph baulked at the email, tweeting: ‘So, they acknowledge that they are not paying their employees a livable wage and their solution is…..get schedules done earlier so their employees can plan their second job around them? What a joke.’ 

Another Twitter user with the handle OC Edge wrote: ‘Rather ironic that the email ends with, ‘have the culture and environment that will attract people.’

‘Nothing about this email exchange says they know anything about what will attract potential applicants. Sad that employers feel this way.’  

source: dailymail.co.uk