Reiker commits suicide.

[hatelore]

Unions made sense back when labor laws and worker safety were not considered important to companies. Nowadays, unions usually do more harm then good.

[Hitchens]

I tend to agree that unions have out-lived their usefulness, but I don't work in a union industry so maybe I'm wrong about that. It's easy to form an opinion when it doesn't involve me.

But either way, you are just not correct in your understanding of the Hostess situation.

[hatelore]

Not saying you are lying, but can you link that please? I didn't read in any news article where they wanted to eliminate there retirement completely. If so, on that note I do agree that's messed up.

[Hitchens]

In trying to shed costs, Hostess is gunning for what are known as MEPPs -- multi-employer pension plans -- which it is required to participate in under its labor agreements with the unions.

MEPPs, which grew in popularity back in the union glory days of the 1950s and '60s, were designed for companies within an industry to share pension burdens. There are nearly 1,500 MEPPs in the country, covering more than 10 million workers. These mammoth defined-benefit plans -- employers, not workers, make the contributions -- were especially attractive to unions, as they allowed workers to move easily between companies.

Trouble with MEPPs is, if some employers go out of business, the remaining companies have to pick up the shortfall in funding benefits. When there are too few employers left standing, the fund is in trouble. According to a March research report by Credit Suisse, MEPPs are now underfunded by $369 billion. A third of the 40 MEPPs to which Hostess contributes are among the most underfunded plans in the country.

At the bargaining table, week after week, Hostess and the Teamsters have gone at it over the MEPPs, which Hostess contends are at the heart of its woes. Perella Weinberg's Michael Kramer has squared up against Harry Wilson, the financial adviser retained by the Teamsters. Monarch's Herenstein has been there. So has a representative from Silver Point. Though all are cordial -- somebody once served Hostess snacks -- they've yet to achieve a middle ground.

http://management.fortune.cnn.com/20...kies-bankrupt/

[hatelore]

I read that article, thanks for the link.

Yup, I have to swallow my pride and say on that note you are right. The articles I had read said nothing about that, clearly the unions aren't the only ones at fault. I wish news nowadays weren't so biased and could just present the facts.

[Hasbinlulz]

Originally Posted by Hitchens [You must be logged in to view images. Log in or Register.]

unions have out-lived their usefulness

I wholeheartedly agree with this. Unions were a good model of organization, but industry has drastically changed, and union structures have failed to keep pace. Labor needs to be organized IMHO to protect workers from bosses, but although individual union employees may see better terms some of the time, the current model of unions are not good for anyone in the long run and from the societal perspective - except the unions themselves.

[Kassel]

Any company that goes through 7 ceo's in 10 years is going to have systematic problems to start with, add in union issues and this is what you get. They all failed, it happens. I am sure someone will by the rights to the twinky in the fire sale, open up a non union shop and you will be able to get your fix.

[jjgerman]

hostess made horrible toxic waste, and packaged it as food. They should have been put out of business back in the 50s.

Here is the thing about the union/business relationship. If it requires slave labor, its not a business. Unions are there to remind people of that.

There are a few unions that go overboard like the teachers unions, but they are not all the same. Some unions do help preserve American jobs.


IF a company could pay you less. They would. Already been proven with outsourcing, everything that can be outsourced, has been.
IF a company doesnt want to share its profits, with its worker bees. BURN IT DOWN

Pay a living wage, or go bankrupt.

[Reiker000]

Originally Posted by Hitchens [You must be logged in to view images. Log in or Register.]

But either way, you are just not correct in your understanding of the Hostess situation.

This is hatelore, he is not correct in his understanding of any situation.