Skip to content
Search AI Powered

Latest Stories

Silicon Valley Tech Firms Are Phasing Out Their Free On-Site Cafeterias, and for a Very Good Reason

Silicon Valley Tech Firms Are Phasing Out Their Free On-Site Cafeterias, and for a Very Good Reason
Employee have a break lunch at the Facebook headquater in Palo Alto, California on May, 25, 2010. Facebook overhauled its privacy controls on Wednesday to fend off mounting criticism that it is betraying the trust that has made it the world's biggest social network. AFP PHOTO / GABRIEL BOUYS (Photo credit should read GABRIEL BOUYS/AFP/Getty Images)

It makes sense.

Facebook offices are known for their free gourmet cafeterias staffed by former restaurant chefs and featuring ramen bars and on-site smoke shacks. It’s no wonder employees don’t have much interest in wandering off campus for lunch.

One Silicon Valley city doesn’t like that, and other cities may be starting to follow suit.


Mountain View, Calif., at the southern end of the San Francisco Bay Area peninsula, is gearing up to host a new satellite location for the social media behemoth, headquartered just north in Menlo Park. However, unlike other offices such as the headquarters building itself and the East Coast facility in New York, the Mountain View locale will not boast a free cafeteria with endless desserts, kombucha taps and a carving station.

Why not? Because, critics argue, the lack of foot traffic from workers taking lunch breaks hurts surrounding restaurants, retailers and the local economy in general.

"Restaurants often provide the anchor to get people on the street, and while they're out they patron other retail," Gwyneth Borden, executive director of the Golden Gate Restaurant Association, told Business Insider. "While there will always be competition for the food dollar, it goes without saying that it's hard to compete with free."

In late July, legislators in San Francisco proposed a city-wide ban on workplace cafeterias, inspired by the effect the headquarters for Twitter and Airbnb — which both feature on-site cafeterias —  had on their surrounding neighborhoods. Restaurants that opened in Twitter’s neighborhood, Mid-Market, in the wake of Twitter’s 2012 relocation, have particularly struggled in attracting foot traffic and many have since closed.

“Having (tech workers) in their offices and not engaging with the community isn’t really good for the community or these small businesses,” Chris Foley, co-owner of the Market, a food hall underneath Twitter’s headquarters, told The San Francisco Chronicle.

The legislation, if accepted and passed, would be retroactive and apply to new businesses only.

The aim, according to San Francisco Supervisor Aaron Peskin, is to mitigate the “Amazon effect that impacts retail and restaurants across the county,” he told the SF Examiner. “People will have to go out and eat lunch with the rest of us.”

The restriction on Facebook’s cafeteria in Mountain View was actually passed in 2014 but has gained renewed interest now that the offices are opening this fall. Facebook is still allowed to have a cafeteria on site for its Mountain View employees, but meals served there can’t be subsidized more than 50 percent. According to the rule, meals eaten at restaurants open to the public could be subsidized 100 percent.

Other large employers in the area, such as Apple, charge employees for meals eaten at the on-site cafeteria, so there’s more incentive for them to eat at local restaurants. A Google Maps search of Facebook’s new Mountain View office location at the Village at San Antonio Center shows multiple cafes nearby, from Beijing-style hot pot and pho to Middle Eastern staples.

"With food being provided for free…there's no competition in terms of choice, nor a reason for employees to leave their building," Borden said. "Perhaps that's great social engineering to get employees to work longer hours and never leave their offices, but it doesn't do much to support the city around them."

More from News

Millie Bobby Brown
Michael Buckner/Variety/Getty Images

Millie Bobby Brown Tells The Media To 'Get Off My F—king Case' After Cruel Scrutiny Over Her Looks

Stranger Things Millie Bobby Brown has called out the media—again—for their portrayal of her appearance in their headlines.

Brown's career was hard-launched when she was ten years old when she introduced the iconic "Eleven" character in the Stranger Things franchise, and the public has really struggled to accept the fact that she's a human being who will grow and change like the rest of us, meaning she can't stay ten years old forever.

Keep ReadingShow less
Glenn Close
Edward Berthelot/WireImage

Glenn Close Offers Hilarious Reaction After 'All's Fair' Is Met With Abysmal Reviews From Critics

Well, Disney+ and Hulu's new Ryan Murphy series All's Fair hasn't exactly gone according to plan, garnering some of the worst reviews in the history of television.

And star Glenn Close had a perfect response to the critics.

Keep ReadingShow less
Gavin Newsom
Justin Sullivan/Getty Images

Newsom Offers Scathing One-Word Response To 8 Democrats Who Caved And Voted With GOP To End Shutdown

California Governor Gavin Newsom criticized the eight Democratic Senators who voted with Republicans to end the government shutdown by advancing a spending deal that notably omits an extension of expanded Affordable Care Act (ACA) subsidies.

Under the current agreement, the enhanced subsidies would expire, though senators would have the option to revisit the issue later in the year. Supporters of the compromise say that deferring the vote was the only viable path forward, as many Republicans refused to discuss the subsidies until the government reopened.

Keep ReadingShow less
artificial intelligence
Aidin Geranre on Unsplash

People Reveal How They Lost Their Jobs To Artificial Intelligence

The concept of artificial intelligence (AI) dates back thousands of years with ancient myths. Later, inventors would create automatons that moved independently through the use of gears, cogs, and springs.

But for a long time, the idea of an artificial brain was relegated to science fiction.

Keep ReadingShow less
Donald Trump; Barack Obama
Andrew Harnik/Getty Images; Alex Wong/Getty Images

Trump Slammed After Seemingly Believing Patently False Post From Satirical Website About Obama

President Donald Trump was called out after he shared an article headline about former President Barack Obama—without realizing it came from a satirical news site published nearly nine months earlier.

The post came from the Dunning-Kruger Times, a satirical website, claiming that Obama is making millions in "royalties" from Affordable Care Act (ACA) subsidies. The piece from the site makes the specific false claim that the advisory Department of Government Efficiency (DOGE) had stopped paying Obama $2.6 million a year in "royalties associated with Obamacare."

Keep ReadingShow less