Nervous Wreck wrote:What a crock of BS!
What a crock indeed!
Run the company in to bankruptcy, get concessions from all the workers with the understanding that the savings would go to improving the infrastructure of the company.
And how do you improve the infrastructure? Why give raises of up to 300% to the management team!
Salary Increases at Hostess
Some creditors question Hostess pay raises approved in late July.
Brian Driscoll, CEO, around $750,000 to $2,550,000
Gary Wandschneider, EVP, $500,000 to $900,000
John Stewart, EVP, $400,000 to $700,000
David Loeser, EVP, $375,000 to $656,256
Kent Magill, EVP, $375,000 to $656,256
Richard Seban, EVP, $375,000 to $656,256
John Akeson, SVP, $300,000 to $480,000
Steven Birgfeld, SVP, $240,000 to $360,000
Martha Ross, SVP, $240,000 to $360,000
Rob Kissick, SVP, $182,000 to $273,008
Lot's more interesting reading at the
link.
And then, turn around and file bankruptcy again once the new management wages are set and can't be touched in the new bankruptcy.
Then, once again, go to the employees and say they need to make more concessions. Surely the suckers will go for it again, right?
This was the plan. Concessions or not, there was no future for them. The current workers wages aren't the problem, it's the hundreds of millions in pension obligations they had hanging over them. There was no way forward that would make them profitable. Cast the blame on the union while there was nothing left of the company other than brand name recognition to be sold off to the highest bidder. Twinkies will be back in the stores in two months, imported from China I'm sure.
To be fair, the bakers union is headed the way of the buggy maker and switchboard operators union, it's just no longer a viable thing. It's time has passed. So long to another American icon.
