[quote=UCGal]my understanding is that one of the issues of the strike was that hostess brands stopped funding the pension in August 2011, despite union contracts requiring the. too.
The size of the near $1 billion union pension claim is likely, in part, because Hostess’s hedge fund owners stopped contributing to the company’s pension plan in August 2011, as a result of bitter labor negotiations and deteriorating finances.
Hard to put the blame of the pension problems 100% on the workers….[/quote]
Worse than just not funding the pensions, they continued to deduct employee contributions from their paychecks to their own pensions, and rather than transferring that money that was deducted to the pension plan, they kept it. Essentially forcing the employees to loan the company over $150 million.
