Gov. Murphy easing NJ indoor COVID rules a ‘foolhardy’ plan, former McDonalds USA CEO says
Ed Rensi said 35% capacity ‘won't even touch’ what restaurants need to be successful
FAT Brands Chair and former McDonald's USA President and CEO Ed Rensi on the debate surrounding minimum wage and dining restrictions in states like New Jersey.
While some praised Democratic New Jersey Gov. Phil Murphy for easing coronavirus restrictions on restaurants, former McDonald's USA CEO Ed Rensi believes the plan is reckless.
“It’s a foolhardy example of how government bureaucrats have no clue on how business is run,” Rensi said on FOX Business' “Varney and Co.”
NEW JERSEY EXPANDS INDOOR DINING, BUT SCIENCE BEHIND THE MOVE DEBATED
After months of pressure, New Jersey will now allow restaurants, bars, gyms and casinos to operate at 35% of their indoor capacity beginning Friday – so long as they adhere to health and safety protocols – and eliminate a rule requiring establishments to close by 10 p.m. ET.
Murphy cited declining case totals and a downtick in transmission rates in New Jersey in his decision to expand indoor dining capacity. The decision was hailed as a victory by some critics who have argued that Murphy's guidelines were arbitrary and harmful to struggling small businesses.
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NEWARK, NEW JERSEY - Governor, State of New Jersey, Hon. Phil Murphy speaks during MTV “VMAs” Press Conference. (Photo by Bryan Bedder/Getty Images for MTV)
However, Rensi argued 35% capacity “won't even touch” what restaurants need to be successful, especially for small establishments.
“They have 35% occupancy, but 100% of their cost,” he told host Stuart Varney. “The rents are the same, the utilities are the same. All those costs are the same.”
Rensi believes the rule is “ridiculous” because “it's a one-answer solution to a very broad problem.”
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“A 300-seat restaurant is different than a 10-seat restaurant,” he said.
Rensi questioned why the government wouldn’t set a rule requiring restaurant patrons be to six feet apart and allow business owners to arrange their establishment in order to accommodate safety requirements
“Why not ask the restauranteurs to meet the needs of science – social distancing, washing hands?” he asked. “Cleanliness and sanitation is in our DNA.”
Rensi said the restaurant and food industry knows more about cleaning than “anybody on the face of the Earth.”
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“Let us do what we know how to do best,” he said. “Open these restaurants up.”
FOX Business’ Thomas Barrabi contributed to this article.