Posted on 11/17/2012 5:17:52 PM PST by nickcarraway
Yes the Twinkie and the Ho Ho may not be available for snacking, but there are people who lost their jobs when Hostess closed its doors.
The bankruptcy of Hostess Brands Inc. made headlines across social media and news websites Friday as people across the country mourned the loss of the Twinkie.
But the news means more than a loss of a snack food option for 145 people who work at the Oakland bakery and numerous retail outlets around the Bay Area.
They are loosing their jobs because of the shut down.
The company, known for its Twinkies, Ho Hos and Wonder Bread announced Friday morning that it is shutting down operations and has filed a motion in U.S. Bankruptcy Court seeking permission to sell its brands and facilities.
Company officials blamed the decision on a recent strike by the Bakery, Confectionery, Tobacco Workers and Grain Millers International Union.
"We deeply regret the necessity of today's decision, but we do not have the financial resources to weather an extended nationwide strike," CEO Gregory F. Rayburn said.
"Hostess Brands will move promptly to lay off most of its 18,500-member workforce and focus on selling its assets to the highest bidders."
Local union officials were not immediately available for comment. The Colombo bakery at 580 Julie Ann Way in Oakland, a facility with around 145 employees, closed Friday, according to Hostess spokeswoman Anita Marie Laurie.
A voicemail recording at the bakery today directs employees not to come in to work. Hostess also has retail outlets around the Bay Area, in cities including San Pablo, San Leandro, Vallejo, Pittsburg, Dublin, Santa Rosa, Santa Clara and San Jose.
A statement on the company's web site indicates that retail stores may stay open for "several days" in order to sell already-baked products. The shutdown will affect 33 bakeries, 565 distribution centers, 5,500 delivery routes and 570 bakery outlets nationwide.
Some 380 jobs here in Michigan that will be lost as well.
Sorry to be selfish, but I miss the loss of my INDIVIDUAL RIGHTS & FREEDOMS versus the loss of a Twinkie and a lot of jobs.
*SIGH* Have we fallen off the fiscal cliff, yet? Can we speed it up a little bit?
And it’s not just the Hostess employee’s jobs. Also affected are all the vendors who provided materials to the Hostess factories. 18,500 is not the true effective jobs lost.
Heh...the union was claiming that this was actually some kind of victory for its newly out-of-work members.
Well, somebody had to pay for the union knuckledraggers to have their “great victory” over “big bidness”. The union commies are showing “resolve” don’t ya know.
Cry me a river...
OK, if they sell the assets, could they be purchased, and new owners move the plant to right-to-work states and resume business?
Not to mention other jobs that will be lost in the towns surrounding the factories. Gas stations, restaurants etc.
This is operation that isn’t going to Mexico or China, they just couldn’t compete with US companies.
And ironically the private equity boys who looted and pillaged it were DEMOCRATS:
http://www.zerohedge.com/news/2012-11-16/hostess-liquidation-curious-cast-characters-twinkie-tumbles
...when does this socialist pile of crap end? :(
The Teamsters Union was smart enough to realize that not getting everything you want is better than not having a job. However, the Bakery, Confectionery, Tobacco Workers and Grain Millers International Union of course will blame management, celebrate their union “solidarity” and gave a lot of their members and their families a very bleak holiday.
The brands are valuable, the facilities are pretty much worthless.
Barry Benghazi will ride to the rescue and buy the company and brand names with taxpayers dollars. Government Twinkies! Cool!
Is their union passing out hits of Hopium?
850 jobs lost in Hoosierland
Of course, the workers blame the company.
Yes. However the likely buyer will already be in the business and won’t need the building, equipment or staff.
After they exhaust their unemployment bennies, thay can apply for part-time cleaning work with a placement agency.
If you lose your $16/hr job and have a family of 4 in Obamaville, you’ll be better off sitting on your butt and collecting all of the $60K/yr goodies
Yeah reelect the the boy kine.
Yeah reelect the the boy king
Indiana is now a RTW state.
How many of those previously union folks will even apply for a non-union job?
I used to work for a company that made things like cake and bread mixes. We were non union suppliers of Hostess.
Loosing? Really? Journalism at its finest.
I’m waiting for one of those union picketers to go....hey..wait a minute!!
“The brands are valuable, the facilities are pretty much worthless.”The workers, hopeless (in multiple meanings).
OK. makes sense.
But a bargain on the equpiment might be worth moving.
Building & employees? nope
Say, why doesn’t Obama just issue an executive order to confiscate all Hostess assets and give them to the union? If the capitalist vermin who claim to “own” the company protest in court, just appeal up to the USSC, and John Roberts will uphold the confiscation as a tax.
That's Hugh!
The smart ones might actually like working for a non-union company. There are advantages.
Good point
When you die.
How lon before the NLRB issues a ruling yhat businesses can no longer lay off union members (no matter how dumb their labor leaders advise them to be).
How long before the NLRB issues a ruling yhat businesses can no longer lay off union members (no matter how dumb their labor leaders advise them to be).
The ones who think liquidation means another company would come and rescue their pay and benefits, are definitely hopeless. They are too stupid for words.
Not to mention other jobs that will be lost in the towns surrounding the factories. Gas stations, restaurants etc.
The “ripple effect” has not yet been seen. There are a lot more people to be hit by this.
That actually is quite telling. I'm posting this here but need to find the article with the exact statement. Basically, the union is sacrificing the Hostess employees — the whole company and its supply chain, in fact — as a warning to other companies about what can happen when you seek concessions. Let that sink in. This is part of a national strategy and the union leaders are not acting in the best interests of the local union membership, their dues-paying victims. My advice to the newly unemployed is to look up the Mongo quote "Mongo only pawn... in game of life." That and find a right-to-work lawyer who is willing to tilt at windmills. This could be hugh.
“We deeply regret the necessity of today’s decision, but we do not have the financial resources to weather an extended nationwide strike.....”
....or Obamacare
....or tax increases
....or higher energy costs,...etc.
I am surprised that the title isn't
Hostess Closure Means Locals Loose Jobs
So...who won?
The “ripple effect” is somewhat related to the “trickle down effect”. In either case, the left is completely clueless to these and will not acknowledge losses outside of Hostess.
I don’t know why everyone is pissing and moaning about this. The unions killed another company. They also left a void in the marketplace that is ripe for new companies to fill. It’s not like our appetite for bread and delicious creme-filled cupcakes with a tasty chocolate icing has diminished any!
Let’s go, people who know the baking industry! Get a business plan put together, talk to Hostess about buying their facility and re-opening it as “Patriot Pastries” or whatever your heart desires.
Creative destruction! Let’s get to work!
“OK, if they sell the assets, could they be purchased, and new owners move the plant to right-to-work states and resume business?”
I believe so, however they have to give the NLRB some sort of notification.
There was a story out of Orlando, the liquidation filing was what they wanted. Their union rep had convinced them that liquidation would SAVE THEIR JOBS at the original pay and beenfits.
I am astounded at the idiocy. 5,800 “bakers” are out of work, how many will be needed by the new band name owners who likely already have their own bakeries and workforce? How likely is the new company going to be to put these idjits at the top of the list if there are new positions needed?
Not very, IMO.
I don’t thinnk those union idiots could care less who or what they hurt. It was about liberal greed, nothing more.
YOU HAVE NOW SEEN THE PERSONIFICATION OF STUPID....AND SO SOON AFTER A DEMOCRAT VICTORY IN AN ELECTION........could it be a co-incidence??/I think not.
I await news that the machinery has been moved to Mexico and
will be operated by the Bimbos chain to supply those brands.
No kidding!
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