Originally Posted by Adjuster
I dislike unions myself but I think I understand their position. If the union caved in and accepted the not agreed to pay cut then every company in the future in the same type of situation will simply threaten to close the doors and shut down unless the union accepts the offer.
Any company in bankruptcy or making a huge profit can do what you suggest if the owners are willing to do it.
The unions could have looked at the books and bankruptcy filing and saw the financials and saw if management had room to negotiate on wages. Maybe they could of negotiated for a piece of the new company for the wage reduction. Why didn't they do that?
The union officials are paid by all union members - not just Hostess. The officials didn't have much to lose, except the members that worked for Hostess. They bet and lost. Sad.