Hostess Brands, the makers of Twinkies and Wonder Bread, has closed it's doors forever today, the victims of a bad economy and a labor stoppage that was extremely shortsighted. How shortsighted, you ask? So shortsighted that even the TEAMSTERS thought that the striking union was wrong.
Bakery union leaders are “putting Teamster members in a horrible position -- asking them to support a strike that will put them out of a job when they haven’t even asked all their members to go on strike,” the Teamsters said.
Hostess Brands had filed for Chapter 11 re-organization and part of that re-organization called for renegotiation of union contracts. The Teamsters sent in their own independent auditing firm and the auditing firm concluded that Hostess Brands would not survive without a cut in salary and benefits that the Teamsters accepted. The Bakers Union leadership did not share the Teamsters grasp of reality.
The BCTGM chose a different path, as is their prerogative, to not substantively look for a solution or engage in the process. BCTGM members were told there were better solutions than the final offer, although Judge Drain stated in his decision in bankruptcy court that no such solutions exist. Without complete information, BCTGM members voted by voice votes in union halls. The BCTGM reported that over 90 percent rejected the final offer and three of its units ratified the final offer.
As I stated yesterday, there are many on the left that believe that businesses only exist to provide jobs. However, anyone with a rudimentary knowledge of business understands that businesses are in business to MAKE MONEY and if they can not MAKE MONEY, they go out of business. It's that simple.
Thanks to the actions of the BCTGM union leadership, another 18,000 people woke up today to find out that they don't have jobs. Many of that 18,000 are fellow union members. And people talk about management's greed?????