Twinkies Dead

[Hippie]

Can anyone lay all or even most of the blame for this one on unions when we are talking about a company run by people who so obviously do not have the company's viability and financial health in mind?

Note that PBR is likely buying Hostess.

Um Idunno. I read that a full 87% of funds went to top management, that doesn't leave much for the union.

[Amskeptic]

I read that a full 87% of funds went to top management, that doesn't leave much for the union.

Once again . . . once again. Before our very eyes, we see the utter lack of regard for America's workers by the guys at the top. There really was a time when the leaders of a company did care. Read up on our very own Volkswagen's Heinz Nordhoff, you'd be surprised.

Now the current crop of Big Boys will tell you "things have changed, we cannot offer such generous pay and benefits." And people accept this without question! Yet, if you LOOK at the total wealth created by all worker productivity across the country, the fact remains:
we have enough money
we are not "out of money"
we CAN afford all obligations on the books
we merely choose to let the rich get stinking richer still.

The bottom line is that America is exactly as rich as it has ever been, but our codified priorities have tilted to the gilded class.

Bring it on, Apologists For The Rich, I am ready. Let's have your numbers.
Colin

[TrollFromDownBelow]

How is it possible to negotiate withdrawal liability. I thought that was determined by ERISA.

Russell or someone ... can you explain this? What withdrawal liability do you speak of? I honesty don't know and would appreciate a little arm chair education.

Thanks,
Mike

[RussellK]

How is it possible to negotiate withdrawal liability. I thought that was determined by ERISA.

Russell or someone ... can you explain this? What withdrawal liability do you speak of? I honesty don't know and would appreciate a little arm chair education.

Thanks,
Mike

I remember in the 80's after deregulation had stripped the value out of their operating authority and the large nationals stopped sharing revenue, the smaller regional trucking companies began going out of business on a regular basis. Most of them were small family owned companies with Teamster contracts. The withdrawal liability was almost always an amount greater than the combined assets of the company. Closing your business and walking away empty handed wasn't a very appealing option. Many wound up selling their companies at discount to unsavory characters who claimed to be turnaround experts but whose primary interest was bleeding off the assets then leaving town. The new ownership group would assume the withdrawal liability but never intended to pay any of it. They left the teamsters pension plan holding the bag for millions. Some of them went to prison although not necessarily for anything to do with the Teamsters pension plan.

This explains the withdrawal liability much better than I can.
http://www.foxrothschild.com/uploadedFi ... ility2.pdf