Friday, November 16, 2012

Striking workers defy Hostess' demands, Teamsters unhappy.

When even the teamsters are urging you to get back to work, you know you are in trouble.
Striking Hostess Brands workers remained on the picket lines across the country Thursday night, refusing a company ultimatum to return to work or face the liquidation of the national baker.

The maker of Twin

kies, Ding Dongs and Wonder Bread warned it would file a motion in U.S. Bankruptcy Court to shutter operations if enough workers didn't end their weeklong strike by 5 p.m. EST Thursday.

The company is expected announce Friday whether it will follow through on that strategy. A shutdown would result in the loss of about 18,000 jobs.

Hostess, based in Irving, Texas, already has reached a contract agreement while in bankruptcy with its largest union, the International Brotherhood of Teamsters. But thousands of members in its second biggest union went on strike late last week after rejecting a contract offer that cut wages and benefits.

The Teamsters union is urging the bakers union to hold a secret ballot on whether to continue striking. Citing its financial experts who had access to the company's books, the Teamsters say that Hostess' warning of liquidation is "not an empty threat or a negotiating tactic" but a certain outcome if workers keep striking.

Hostess warned it would begin closing operations as early as Tuesday.

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