Subway Founder Blasts Gov’t Regulations: ‘Subway Would Not Exist’ If I Started My Business Today
Fred DeLuca, president and founder of Subway, in Stockholm on March 10, 2011. Photo by Jonathan Nackstrand/AFP/Getty Images.
Fred Deluca founded Subway in 1965 and grew it into one of the biggest fast food restaurant chains in the nation. Appearing on CNBC on Wednesday, the entrepreneur said if he tried to start the very same business today “Subway would not exist” due to burdensome government regulations that seem to continuously increase.
He said other small business owners have also been impacted by the payroll tax hike, most experiencing a roughly 2 percent decrease in sales. Additionally, Duluca explained businesses are bracing for the increased costs that will come with “Obamacare,” adding that any cost increases will be passed along to customers through higher prices.
It was while describing the current business climate for up and coming entrepreneurs that Deluca said “Subway would not exist” if he started his business today because of massive government regulations.
“It’s continuously gotten worse, because there’s more and more regulations. It’s tougher for people to get into business. Especially a small business,” he said. “I tell you, if I started Subway today, Subway would not exist, because I had an easy time of it in the ’60s when I started. I just see a continuous increase in regulation.”
Watch the clip via the Washington Free Beacon/CNBC below:
(H/T: Drudge)
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Comments (57)
poster
Posted on February 28, 2013 at 12:43pm“Subway Founder Blasts Gov’t Regulations: ‘Subway Would Not Exist’ If I Started My Business Today”
Yes!! Wake up! That’s the objective! Obama wants the government to make the subs and give them away to the needy (Taxpayer picks up the tab). You Subway people MAKE MONEY by selling the subs. To the Libs, that’s obscene (unless they are making the money).
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Verceofreason
Posted on February 28, 2013 at 10:53amLove the posts by the ‘still duped’ sheeple.
When these greedy CEO.like this jerk and the Whole Foods
say Big Government or pesky regualtions they actually mean =
1) Freedom to pollute
2) Freedom to play slave wages and no benefits (like Walmart)
3) Freedom to NOT have a safe work environment
Why they even lobby to get the SS age requirement raised.
And they cloak it all in ‘helping the economy’.
THEY ONLY HELP THEMSELVES!
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politigus
Posted on February 28, 2013 at 1:41pmYour verce–uh, voice–lacks reason. Best keep it to yourself.
The “sheeple” statement is based on people of one ideology supporting their shared beliefs? How are the tenants of your ideology not classified as sheeple by outsiders?
Greedy CEOs? Increasing share value for the owners by trading in a commercial ecosystem is not greed. It is a fiduciary responsibility.
When a policy of “pollution” is endorsed, consumers ultimately suffer, and the corporation loses market value. It is in the corporation’s self interest to not dismiss the self interest of the consumer.


There are positions in various organizations that do not claim to pay a “living wage,” meaning one on which an employee may support a mortgage and raise a family. These are entry, or commodity level, jobs. A corporation is under no obligation to pay a living wage for every position–nor can it and long maintain profitability.


A neglectfully injured employee yields a neglected consumer base, which lowers a corporate image, and eventually stalls growth. A corporation wants a safe workplace.
Social Security was instituted as a last resort find for individuals who happened to live beyond their productive years. At the time, age 65 was on the outside of expected lifespan. Better health care means more productive years. It follows then, that SS age increases. The increase on one side of the formula should dictate an increase on the other side. Would you have your wage stay the same while cost
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paulwbrown
Posted on February 28, 2013 at 10:02amI love Subway sandwiches, and now I love them even more!
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PlanetReality
Posted on February 28, 2013 at 8:29amSad isnt it???? working to make gov stronger instead of the gov working to make americans and america stronger as they r elected and paid for by the people!!!!!
Just call us subject, peasants or servants!!!!!! Sounds about right????
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Skeeterhawk
Posted on February 28, 2013 at 10:12amPlanet
You summed it up right there. Very sad.
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dadsrootbeer
Posted on February 28, 2013 at 8:28amThat is why I canceled my franchise agreement to open a store. After the 2008 election based on the socialists background, anti-capitalism and especially “Joe the plumber” which sealed the deal for me. Like many other Americans I felt taking the huge risk to finally work for myself which would employ many people would ruin me and my family. Too bad my American Dream was taken away.
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objectivetruth
Posted on February 28, 2013 at 9:46amYou aren’t alone in that.Where I live the overregulation is enormous.Getting the business license isn’t too bad.However you still have to go through the building and inspection office.Even if you have no office inventory nor clients coming to you.The property or homeowner must give permission.The fact that the only part of the business that is conducted there would be accounting bookeeping and could just as easily be conducted anywhere is irrelevant to them.You still need someone elses permission to open your business.I’m more than through begging to this city for anything.Let alone this.Its one of the reasons I just gave notice to a company that I had applied as an independant contractor too.
Worse yet even if I did make money and file my taxes it still would be a problem.That information is shared with the local offices.Thjey then would go after me for no business license exc.They have proven they will do it.Guy in Roanoke played in band made in excess of 400 paid his taxes still got hit by the locals for that.In all fairness he didn’t know his obligations.He didn’t play as a business but as a hobby.I’m in Richmond not Roanoke but the same applys to me.I’m not giving these dip sh@@s any reason.
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ares338
Posted on February 28, 2013 at 7:17amDon’t feed the trolls folks. You know the ones….they will always pick the opposite side of every topic in here and give really asinine nonsensical retorts and talking points. They live for your interaction….starve them.
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piper60
Posted on February 28, 2013 at 6:00amI like Subway, but I wish they would stop manipulating their prices every spring.
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PAUL GULLO
Posted on February 28, 2013 at 5:12amTell me something I don’t know good sir.
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media-bias-steals-elections
Posted on February 28, 2013 at 3:49amRush Limbuagh has been saying this on a daily basis for years, that’s why the left does not want people listening to him? They discourage people to listen to him, Glenn Beck and others with the effects of “social stalking media”? They do that so they can “steal elections”, because if people listened to rational explanations about politics, they would not vote for these people?
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Nabuquduriuzhur
Posted on February 28, 2013 at 3:22amre: Diane TX
Were you a good owner, or did you have a high turnover?
I ask because I got my start in restaurants. I’ve seen both very good and very bad. The good ones made money. Good owners tended to have loyal workers, even if the pay didn’t reflect the money their work brought in. (That is just the nature of the business, with the labor costs typically being less than 5 minutes of a given hour’s income, which is why it’s a good starter job for kids and college students.)
The ones with high turnover tended to be the owners who would hire workers like themselves— without a work ethic, “wanting something for nothing”. They didn’t like people, being usually the ones that would freak out at a 1% increase in wages, but care nothing about a 5% increase in overhead costs. There was a guy here in the PNW who actually complained that a 4% increase in wages over 7 years shut him down. Given his attitude, I’d guess it was how he treated his people. And his customers, since that “something for nothing” entitlement attitude usually extends to other things in the operation. One wonders if the service stunk or the food was bad. Treat the customers bad and the business is toast.
My favorite example was a restaurant couple who called themselves “Christians,” who whined about work ethic, honesty, etc. They complained about everything, but they deliberately hired people just like themselves. An SBO has no right to expect his/her workers to be better than he/she is
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Nabuquduriuzhur
Posted on February 28, 2013 at 3:06amre: Verceofreason
Why use a perjorative for your namesake?
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Diane TX
Posted on February 28, 2013 at 1:39amI love Subway and I go there all the time. In my area, you can buy two subs for $5.00 each. I buy the two, and wrap up the second for the next day. It saves me money.
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Verceofreason
Posted on February 28, 2013 at 1:19amThis poor man.
NOW he has to provide a safe work environment for his slaves, dispose of his putrid garbage in way that won’t foul air and water, and even provide health care and pension.
By all means bring back sweat shops.
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65Mustang
Posted on February 28, 2013 at 1:31amStupid comments become you, shows your ignorance on any subject.
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Diane TX
Posted on February 28, 2013 at 1:35amPeople don’t get much more stupid than you. As a former business owner (retired), I actually know what it takes to run a business. The employees are paid for their the labor. If they don’t like the pay, they can always work for someone who is willing to pay them more.
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Verceofreason
Posted on February 28, 2013 at 2:34amBet y’all hate that minimum wage and overtime thing
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betterpart
Posted on February 28, 2013 at 3:48amYou look the way you sound, lib-lobe. Go find a job, quit squatting and feeding off others. Typical.
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lynda1276
Posted on February 28, 2013 at 7:02amI have read several of your comments. Question..do you try to sound stupid on purpose or does it just come natural?
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Verceofreason
Posted on February 28, 2013 at 10:56amHe’s just another WholeFoods CEO TeaPartier
cloaking his GREED in ‘patriotism’
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objectivetruth
Posted on February 28, 2013 at 12:03pmYes its always the CEo to blame isn’t it?At least in your world it is.No one is garunteed anything.I have worked for companies where I didn’t like the pay the company or the clietele.I kept my mouth shut worked until I could find something else or simply couldn’t take it anymore and went out the door.
If you seriously think that all business owners are greedy fat lazy do nothings I suggest you work for a small company or start a company yourself.You would see the enormous amount of headaches and heartaches that occur.
I think your mother should have called you mary.Mary Mary quite contrary.You don’t impart any knowledge to anyone or anything.All I see you do is instigate and bitc# and complain.Go PMS on you own time and dime not ours,
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MrKnowItAll
Posted on February 28, 2013 at 12:41amFunny. As we all Eat Bologna Sandwiches! Got any Mustard?
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G.E.R
Posted on February 28, 2013 at 12:09am**** him!!! Subway does 4 billion in sales a year and this douche bag is crying. Boycott Subway and give him a reason to cry
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galderan
Posted on February 28, 2013 at 2:03amDo you understand the difference between “Sales” and “Profit”? I had about 210,000 in sales last year, out of those sales, I made about 12,000.00. You only make money if you can “SELL” something at more than it costs.
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betterpart
Posted on February 28, 2013 at 3:49amGo take a course in Business & Economics…then shut the front door.
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G.E.R
Posted on February 28, 2013 at 9:23amAt 4 billion a year he’s making a profit. The only thing worse than the “food” they serve. Is you monkeys lining up to suck his d!ck
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Displacedsoutherner
Posted on February 28, 2013 at 9:54amGER,
Apparently reading comprehension is not your specialty, his whole point is not about how his business is doing today but that to start it today would be difficult to impossible.
The beautiful thing about free enterprise is that you’re free to buy your lunch elsewhere if Subway is not to our liking and you’re disdain for Mr DeLuca belies your resentment for anyone who achieves success and wealth through hard work. Yes, employees get paid less than the boss most of the time but many times the boss goes without to keep his employees on during lean times.
Hating success is the new mantra for the Left because it undermines their belief that all things flow outward from Big Government. Creating jobs is NOT the purpose of the government, facilitating the creation of success, or at least staying out of the way of success is.
The level of your vitriol toward Mr DeLuca and Subway apropos of nothing is the hallmark of Lib Think and the dangers inherent therein. Here’s something for you to look up, you may have heard the phrase and been ignorant of it’s true meaning: “Dog in the manger”. It would be good for you to grasp this concept since it accurately describes you and your Lib cohorts.
Take a couple of hours out of your busy schedule and watch (I won’t bother to suggest reading) “1984″, if many of the themes depicted don’t ring true in regard to BHO’s provclivities then you’re too far gone already.
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G.E.R
Posted on February 28, 2013 at 11:32amI employ 27 people not 27 laborers. They all have health insurance, they all get a paid vacation, they all get a bonus every year. I know them and their families. When there was a transit strike I paid for their taxis to and from work. I have an area set up for the childen of the single parents. As an employer you must take care of the people who make you successful.
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brickmoon
Posted on February 28, 2013 at 12:00amNobody should be allowed to purchase a sub that’s more than 6 inches long, anyway. Next thing you know, folks will want their own torpedoes.
Speaking of government encroachment, perhaps I’ll be allowed to hawk my latest cartoon.
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Winedude
Posted on February 28, 2013 at 12:37amThe comments were funny. However, the video, which could have been great, sucked eggs…
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brickmoon
Posted on February 28, 2013 at 12:46amAliquando bonus dormitat vinum.
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RJJinGadsden
Posted on February 28, 2013 at 12:57amBRICKMOON, Hilarious! Don’t concern yourself with WHINEDUDE.
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Triple7
Posted on February 27, 2013 at 11:58pmDeath to tyranny
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chazmo
Posted on February 28, 2013 at 12:21amEasy now… the Drones are heading your way.
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socialism.rocks
Posted on February 27, 2013 at 11:53pmonly reason he is saying this is because liberals boycotting him in mass now..go out and buy subs conservatives.. he lubs you
subway is disgusting
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Verceofreason
Posted on February 28, 2013 at 1:20amThey uses rubber ‘cold cuts’
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am123
Posted on February 27, 2013 at 11:31pmSubway Founder Blasts Gov’t Regulations: ‘Subway Would Not Exist’ If I Started My Business Today
———-
That is music to Obama’s ears. His plan of destroying the economy is working to perfection.
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CatB
Posted on February 27, 2013 at 11:35pmThink I need to go get a Subway salad tomorrow (can’t have gluten so no “sub”) .. it is the last day of the month for FebruANY specials.
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Ducky 1
Posted on February 27, 2013 at 11:57pmMe too CATB but my family is making up for what I am not getting. I do miss Subway!
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CatB
Posted on February 28, 2013 at 12:09am@DUCKY .. yes my son will eat a sub .. right in front of me .. HOW RUDE! ;-) Anyway the salads are pretty good .. just wish they would get some gluten free sub buns .. I hear some places do . .. but sadly not mine.
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Gorp
Posted on February 28, 2013 at 2:00amI’m asking this seriously so please don’t jump all over my $hit for this.
What’s up with all the gluten free diets all of a sudden. I haven’t heard of gluten free anything until recently, last couple of years or less. Why is gluten such a bad thing? Haven’t we all, most of us anyway, been eating it all of our lives with no problems? What happens to people who eat gluten who shouldn’t and why shouldn’t they?
Like I said, I am asking this seriously and not trying to cause Hate, Hell and Discontent.
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fingerprintguy
Posted on February 28, 2013 at 3:33amGorp
To answer your question, it is due to an increase in gluten allergies. My borther has cilliac disease, which is a sever form of gluten allergy. Even TRACE amounts of gluten will cause him to have sudden onset explosive diarreha. Large amounts would cause all kinds of gastrointestinal problems resulting in death, essentially from starvation as everything he consumed would be ejected from his body before any meaningful nutrition could be absorbed by the body. I’ve seen the results first hand with him, he drank some water from a cup that he didn’t realize his son had drank some kind of kids drink from. it was incredibly nasty.
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objectivetruth
Posted on February 28, 2013 at 9:32am@gorp
Gluten can cause allergys and even allergic style reactions in those not allergic to it.The main reasons that I can determine are the following.;Hidden Gluten is in many processed foods.Its used as a binder and emulsifier.Its also in a number of base products used in processed food production.The number one food containing gluten is wheat used in flour.As we all know flour is used in most baked goods.Now when you combine that with processed foods you see a overabundance of the substance.
This overabundance can cause a allergic style reaction even in those not truly allergic.
We have gotten much better at diagnosing Celliacs disease.This disease is highest in those of Irish decent.Its been traced to a metabolic change due to widespread starvation many centuarys ago.
Last but not truly verifiable is an increase of allergys to food in general.Its been hinted at but not proven.
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Gorp
Posted on February 28, 2013 at 12:57pm@ Fingerprintguy and Objectivetruth:
I thank you for, and appreciate, your answers. It lets me know about it what I didn’t know before.
Thank You Both!
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RJJinGadsden
Posted on February 27, 2013 at 11:31pmNot to worry Fred, they’ll eventually take you down too.
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chazmo
Posted on February 28, 2013 at 12:20amYou know be4 that would be just plain funny. Now its not only true but frightening.
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RJJinGadsden
Posted on February 28, 2013 at 12:53amCHAZMO, Yes, very frightening!
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Stoic one
Posted on February 27, 2013 at 11:27pmAdd your comments
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MRARGUELLES267
Posted on February 27, 2013 at 11:18pmAmerica has change so much since I grew up in Sacramento, California. Many people that desperately need government assistance. We’re even started giving food stamps for pets. I understand people want to survive with the lack of work to find and the terrible economy. However there has to be a way to fix this mess we’re in right now. I’m going to blame President Obama or whoever. I’m tired of the blame game. We need to fix this problem with our own hands. Just like pass Americans before us who took the bull by the horns.
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chazmo
Posted on February 28, 2013 at 12:15amIf you take the bull by the horns today you’re a terrorist and a racist.
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CatB
Posted on February 27, 2013 at 11:10pmOf course not .. if you want a Sub .. you need to go to the government and ask for a Sub (sandwich) program .. and have the government supply everyone who can’t make their own sub .. with a government sub.
Seriously .. they don’t want any small business (and only approved big business) … too many people are employed and not beholden to the government by small businesses .. at least they were before all the regs and ObamaTAX (care) which is going to put an end to that.
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Vision Harry
Posted on February 27, 2013 at 11:08pmAnd poor Jared would weigh 4000 lbs
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thegreatcarnac
Posted on February 27, 2013 at 11:08pmObama is anti-business and anti-growth. In fact he is anti-Amercan and should not be president. He should be impeached. There is already enough evidence to do so. We are so unfriendly to business even our own businesses are leaving and going off shore thanks to this Kenyan socialist twit.
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