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Merry Christmas from the bakers union
For a simple lesson on the destructive costs of unions on American business, and Hostess in particular: Hostess posted a $341 million loss in 2011 on revenues of about $2.5 billion. Contributing to those 2011 losses: $52 million in Workers’ Comp Claims. Dealing with 372 Distinct Collective-Bargaining Contracts. Administration of 80 Separate Health and Benefits Plans. Funding and Tending to 40 Discrete Pension Plans. $31 million in year-over-year increases in wages and health care benefits for 2011 v. 2010. Uncounted in the above numbers were the outrageous union-imposed rules that contributed to a “too-high-to-bear cost” of sales, such as: No truck was allowed to carry both bread and snacks even when going to the same location Drivers were not permitted to load their own trucks Workers who loaded bread were not allowed to also load snacks Carrying products from back rooms to sales shelves required an entirely different group of union employees Multi-Employer pension obligations made Hostess liable for other, previously bankrupted retirement plan contributions from employees that never worked for Hostess at all The not-spoken-of issue is that of the 18,500 people that lost their jobs, some 60% had already agreed to the new contract. The International Brotherhood of Teamsters (with 6,700 members’ jobs on the line) approved of the same concessionary contract that Hostess was seeking of the Bakers’ union. Only 5,300 Bakery, Confectionery, Tobacco Workers and Grain Millers International Union (BCTGM) refused to sign the contract. Therefore, because of only 29% of the workers, 18,500 people have just been dumped jobless into the worst employment economy in recent history just before Christmas. And guess who will be responsible for paying their unemployment checks? MERRY CHRISTMAS FROM YOUR UNION |
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