Hostess declared bankruptcy previously in 2004. The Union took two pay cuts (not delayed wage increases, not frozen wages, but big thick pay cuts), was asked to take a third, and told their pension hadn't been contributed to in years and was going to default.
FortWayne, you should do better research. The strike was the excuse, not the cause. Hostess has been struggling for years because people are becoming more health educated, and their products are patently unhealthy. It had plenty of opportunities to make positive changes but decided instead to stick with their original products and damn the consequences. Also there are knock-off products that compete for the dollars of the poor and the obese. In the end, they were inflexible, made a bad product, and deserve to crumble.
All Hostess Brands employees will lose their jobs in the coming weeks, some sooner than others, the company announced Friday. The layoffs span nationwide, and represent a deep cut in mid-wage jobs that often came with benefits. The company had operated 33 bakeries, 565 distribution centers and 570 outlet stores across the country.
Many production workers earned up to $20 an hour, plus had access to medical benefits, according to Michael O'Brien, a former Hostess employee who had worked at the company for 45 years, in various sales functions, before he was offered a buyout last year.
"People inside the plants really made a good living," O'Brien said. "I feel sorry for them."
That's $20 an hour to wheel baker's trays of Twinkies around a plant, and take smoke breaks while the Ho Hos are in the oven.
I wonder what books the guy that pushes the Green button in the morning then the Red button at quitting time, read in between?
The Victim? Who the employees that lost their job, because the company went under. There aren't any Victims when you're laid off. For what ever the reason. Well I suppose there are, if you are incapable of staying relevant.
Wonder bread is good for the kids? It is basically empty calories and has a 2-1 sodium to calorie ratio, where you should be eating things that contain a 1-1 ratio. Whole wheat bread is the only bread that is even close to nutritional, but still only good in very small amounts.
Think this through. Low, low taxes on huge executive salaries means you get type A people running businesses INTO the ground to get rich quick. I watched it happen were I worked. World class 70 year old company looted while being run by incompetent 'investors' and then bankrupted in less than 5 years. The top few guys walked away rich.