Twinkie Killers

The unions did it:

–Hostess paid out almost $100 million in health benefits for retirees last year, but over half of it covered workers who never had worked at Hostess.  The Teamsters’ onerous and antiquated “multi-employer pension plan” foists the pension obligations of a bankrupt company on to the balance sheets of surviving rivals—ensuring a steady death spiral in any declining industry. A similar “MEPP” almost killed YRC, one of the largest trucking companies.

–Union rules forced Hostess to run separate truck fleets for delivering bread vs. sweets. A sweets driver, serving a 7-11 store, was forbidden from restocking shelves with breads already delivered and waiting in the back—he had to call for a bread driver to swing by and handle.

–The union restrictions on the 5,500 distribution routes at Hostess made it unprofitable to serve tiny outlets, yet Hostess was barred from using smaller, sleeker—and non-union—distributors.

–Workers were asked to take an 8% pay cut and pay 17% of their health-care costs instead of zero. Welcome to the club, guys.  For this, they would have received 25% ownership of Hostess plus $100 million of Hostess debt to be paid back to the unions.

That is not, of course, the unions preferred narrative. They prefer the evil Vampire Capitalist story line. Despite the capitalists in question being very cozy with democrats. And that they lost their shirts on the deal.

Go read the rest – there are a lot of falsehoods about what happened already being touted by the leftist media.

The painful fact is that there are some 18,500 worked who won’t be Ho Ho Ho-ing this Christmas. And those workers will almost certainly be unable to find replacement unionized jobs.

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