White Castle Vice President Jamie Richardson explained how the GOP tax bill will benefit both the White Castle franchise and working class Americans.
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“It’s the biggest good thing for small business in three decades and a generation. So it’s so important because hard working Americans are going to be able to keep more of their hard earned dollars,” he told FOX Business’ Liz Claman on “Countdown to the Closing Bell” on Thursday.
Richardson believes the tax cuts will help its general managers perform better in the workplace.
“As labor rates rise, it’s more important than ever that we finally get a break that can help those franchisees. And we are all company owned restaurants, but it helps each and every one of our general managers do a better job and take better care of our customers,” he said.
Richardson said that he doesn’t “buy” the idea that only big businesses will be the only ones to reap the benefits of the tax bill.
“[Americans] are going to be able to have more discretionary income. They are going to dine out a bit more often, hit the drive through a bit more often and they are going to have an ability to invest in their futures as well,” he said.
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There is speculation that in the new GOP bill the corporate tax rate will be set at 21% from 35% and will give a 20% deduction to the pass-through income rate.
Richardson also doesn’t believe that large corporations will hold onto their money if they are given a lower corporate tax rate.
“With the pace of change the way it is and the need to really engage with your workforce there is no way that you can’t invest back in your people and back in the future. So that is what we are going to do at White Castle, we are going to look to build more restaurants hopefully, we are going to hire more people and it’s going to make a difference in all our neighborhoods,” he said.
One of the ways that White Castle plans to stay ahead of the competition is through its online promotion of the “Crave Case”, which can hold up to 30 burgers. A customer will receive a free "Crave Caddy" with any online "Crave Case" purchase.
“We have to stay a quarter step ahead of competition. We definitely need to take the long view and worry about what’s best for our people,” he said.