Strikes dont always work.

[HonestChieffan]

On the first business day after bakers went on strike against Hostess Brands, the Irving-based company said Monday it will permanently close three striking bakeries, putting 627 employees out of work.

Late Friday, the Bakery, Confectionery, Tobacco Workers and Grain Millers International Union went on strike against Irving-based Hostess to protest cuts and give-backs in the company’s last, best, final contract offer. The contract, which was rejected by 92 percent of the union members who voted, called, in part, for 8 percent pay cuts, a company hiatus from contributions to a multi-employer pension plan and changes in work rules.

As of Monday, bakers had set up picket lines at about 23 of the 36 bakeries and production plants operated by the bankrupt snack maker. Hostess said the strike “has prevented the facilities from producing and delivering products.”

“Our customers will not be affected because we will continue to serve them from other Hostess Brands bakeries, but sadly this action will result in the permanent closure of three facilities and the loss of 627 jobs,” said Gregory Rayburn, Hostess Brands’ chief executive.

“We deeply regret this decision, but we have repeatedly explained that we will close facilities that are no longer able to produce and deliver products because of a work stoppage — and that we will close the entire company if widespread strikes cripple our business.”

The bakeries to be closed immediately are in Seattle, St. Louis and Cincinnati. The Seattle facility employs 110 people and produces Hostess cake products. The St. Louis facility employs 365 people and produces Hostess cakes and Nature’s Pride and Wonder breads.

http://www.dallasnews.com/business/h...cincinnati.ece

[Buehler445]

Brutal. Hopefully something can emerge from the wreckage and use the bakeries to produce products outside of union control.

[King_Chief_Fan]

Originally Posted by Buehler445

I don't understand. Nobody is being abused. No need for the government to stick their nose in.

If paying these dudes high salaries were a colossally bad decision, these companies would pay for it in the competitive environment.

it isn't just the pay...it is the attitude and the limitations the union puts on people doing what they think is additional things other than their job.

In a company I used to work for an idiot union worker came into to paint my walls in my office when he got to the wall where there is an electrical outlet and light switch, he said I am done here for now. I said what? We need to get an electrician up here. Why? To take the cover plates of the outlet and switch.
I said don't go away. I pulled a screw driver out of my desk drawer and took them off and told him to get back to work. Union filed a grieveance and expected the company to pay OT to one of the electricians. Let it go to arbitration and caused the union to spend money they didn't have only to get stiffed by the arbitrator as they ruled in favor of the company.
We later eliminated all maintenance and electrical union employees and contracted everything out to a 3rd party. 35% savings

[Amnorix]

Originally Posted by Buehler445

Brutal. Hopefully something can emerge from the wreckage and use the bakeries to produce products outside of union control.

Hostess' recipes and trademarked names etc. will be bought out of bankruptcy by someone who can use and make money off them. By definition, whoever buys it will have been a stronger, more competitive company than Hostess was. Whether their workforce is unionized or not isn't the sole driving factor of that.

And capitalism rolls on.

[Buehler445]

Originally Posted by King_Chief_Fan

it isn't just the pay...it is the attitude and the limitations the union puts on people doing what they think is additional things other than their job.

In a company I used to work for an idiot union worker came into to paint my walls in my office when he got to the wall where there is an electrical outlet and light switch, he said I am done here for now. I said what? We need to get an electrician up here. Why? To take the cover plates of the outlet and switch.
I said don't go away. I pulled a screw driver out of my desk drawer and took them off and told him to get back to work. Union filed a grieveance and expected the company to pay OT to one of the electricians. Let it go to arbitration and caused the union to spend money they didn't have only to get stiffed by the arbitrator as they ruled in favor of the company.
We later eliminated all maintenance and electrical union employees and contracted everything out to a 3rd party. 35% savings

Jesus.

Dad took a tour of the Deere tractor factory in Waterloo in the early 80s. He said it was pretty interesting. Half the factory was a union shop and half of it was non-union. According to him it was a night and day difference walking through. The union half was doing NOTHING. Production was at a virtual standstill.

So dad, being from the midwest, and paying for a tractor, which in turn, PAID THESE one who sucks the penisS TO DO NOTHING, asked WTF. And apparently the dude taking him through there was an old factory worker that they made a tour guide. Old dude says Union has bean counters come in and if they gotta put 6 bolts into a plate, they take 1 bolt and the plate, hang it up there, walk down the ladder and get another bolt, and so on until the 6 bolts are done. Bean counter leaves, they take 6 bolts and a plate up the ladder, bolt it up and sit on their ass until the assembly line moves.

Disgusting.

[Buehler445]

Originally Posted by Amnorix

Hostess' recipes and trademarked names etc. will be bought out of bankruptcy by someone who can use and make money off them. By definition, whoever buys it will have been a stronger, more competitive company than Hostess was. Whether their workforce is unionized or not isn't the sole driving factor of that.

And capitalism rolls on.

I understand, but my hope is that these type of stories deal a blow to organized labor. Lets be real here, labor forces are not being abused and working conditions are far from brutal. Unions have outlived their good. Lets get them the **** out of my country.

[MIAdragon]

Originally Posted by Amnorix

Hostess' recipes and trademarked names etc. will be bought out of bankruptcy by someone who can use and make money off them. By definition, whoever buys it will have been a stronger, more competitive company than Hostess was. Whether their workforce is unionized or not isn't the sole driving factor of that.

And capitalism rolls on.

And move operations to China.

[Amnorix]

Originally Posted by Buehler445

I understand, but my hope is that these type of stories deal a blow to organized labor. Lets be real here, labor forces are not being abused and working conditions are far from brutal. Unions have outlived their good. Lets get them the **** out of my country.

I think in general that's true (that unions have outlived their usefulness).

[Amnorix]

Originally Posted by MIAdragon

And move operations to China.

It's hard to compete with workers who will work for peanuts (relatively speaking) a day. For baked goods, shipping time may be an important negative factor, but I dunno.

[Brainiac]

Originally Posted by Amnorix

Hostess' recipes and trademarked names etc. will be bought out of bankruptcy by someone who can use and make money off them. By definition, whoever buys it will have been a stronger, more competitive company than Hostess was. Whether their workforce is unionized or not isn't the sole driving factor of that.

And capitalism rolls on.

Or, the Obama administration will decree that Twinkies, Cupcakes and Ho Ho's are unhealthy food items and an executive order will be issued that prevents those products from ever being manufactured again.

In ordinary times that would be tinfoil hat thinking. These days, not so much.

[Buehler445]

Originally Posted by Amnorix

It's hard to compete with workers who will work for peanuts (relatively speaking) a day. For baked goods, shipping time may be an important negative factor, but I dunno.

And unions killed this plant. If the unions had GTFO, the labor couldn't have been competitive with China, but it may have kept the company afloat and at least offset the difference enough to make it cheaper to operate here than build a new factory in china.

[jiveturkey]

Originally Posted by Brainiac

Or, the Obama administration will decree that Twinkies, Cupcakes and Ho Ho's are unhealthy food items and an executive order will be issued that prevents those products from ever being manufactured again.

In ordinary times that would be tinfoil hat thinking. These days, not so much.

I think that their unhealthy reputation is what originally put them on the downward path. The union demands just pushed them over the cliff.

They went through a nasty bankruptcy in 2004. Their stock was at one time as high as $34/share and eventually wound up around $2/share.

[jiveturkey]

Originally Posted by Amnorix

It's hard to compete with workers who will work for peanuts (relatively speaking) a day. For baked goods, shipping time may be an important negative factor, but I dunno.

Twinkies last forever.

[mikey23545]

Hostess is too big to fail - we need another bailout to the unions!

[HonestChieffan]

Union should be proud.


NEW YORK (CNNMoney) — Hostess Brands — the maker of such iconic baked goods as Twinkies, Devil Dogs and Wonder Bread — 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.

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.

Hostess will move to sell its assets to the highest bidder. That could mean new life for some of its most popular products, which could be scooped up at auction and attached to products from other companies.

“We deeply regret the necessity of today’s decision, but we do not have the financial resources to weather an extended nationwide strike,” said CEO Gregory Rayburn in a statement.

The company had given a 5 p.m. ET deadline for the bakers to return to work or face a shutdown of the company. The unions at Hostess could not be reached immediately for comment on the decision.

[OmahaChief]

Originally Posted by mikey23545

Hostess is too big to fail - we need another bailout to the unions!

Yep...time to bail out the bakers union to secure votes in 2016.