Friday, November 16, 2012

Say Goodbye to Twinkie, Say Goodbye to Zinger, Say...


Every bodies favorite snack brand, Hostess is having labor issues. After a protracted strike by the Teamsters and the Bakers Unions, the Teamsters accepted the companies demands. The Bakers rejected the deal.

"The new contract cut salaries across the company by eight percent in the first year of the five-year agreement. Salaries were then scheduled to bump up three percent in the next three years and one percent in the final year.

Hostess also reduced its pension obligations and its contribution to the employees’ health care plan. In exchange, the company offered concessions, including a 25 percent equity stake for workers and the inclusion of two union representatives on an eight-member board of directors."

Hostess makes and distributes well known items such as Twinkies, Zingers, Hostess Cupcakes, mini pies, Wonder Bread and many, many others that millions of people have grown up with and depend on to keep their carb count exceedingly high and their sweet tooth satisfied. That all my be ending though.

Hostess has,

  " announced Friday that it is asking a federal bankruptcy court for permission to close its operations, blaming a strike by bakers protesting a new contract imposed on them"

Some of the concessions included a pay cut for a couple years then a pay increase for a couple years and then Hostess was to reduce their involvement in the pension and employee health care plans.

I guess the Bakers would rather be on unemployment instead of collecting a nice Union wage.

We are not talking about a local bakery either. Hostess or Interstate Brands has may employees, bakeries and distribution centers. This is a major deal and if the court grants the Company the right to close many thousands of people will be out of work. Now Hostess is not innocent. In the past eight years they have "reorganized" twice. But in the interest of the employees, Hostess would change the make up of the board.

  
  " In exchange, the company offered concessions, including a 25 percent equity stake for workers and the inclusion of two union representatives on an eight-member board of directors".

How big is this possible closing?

 " The closing will result in Hostess’ nearly 18,500 workers losing their jobs as the company shuts 33 bakeries and 565 distribution centers nationwide. The bakers’ union represents around 5,000."

I want to ask those Bakers, hows that Union thing working out for ya now?
Union mentality has ruined yet another business. Unions had their golden days, they have brought about employee protections and in general made workers lives better. But, when they tell a company we will not accept your deal, even if it comes to closing the business. We would rather stand on a corner and beg for our living. I have only one thing to say,  Fucking idiots.

          


      



 

3 comments:

Stephen said...

Well said, and I agree. Socialism has never worked and never will.

Anonymous said...

Как Вы считаете, на сколько поднимутся [url=http://profwoomen.ru/]пенсии[/url] после нового года?

Dean Carder said...

Anonymous, I don't know how much they will rise. If the company shuts down then there will be no product to have a price increase. If another company buys the rights to the products then there is no telling what will happen to the cost.