Hostess Brands, Inc. shut down and I see a scenario where their union pension plans were the reason. According to a news article there are two major unions at Hostess, IBEW Teamsters, which represents about 7,000 workers, and Bakery, Confectionary, Tobacco Workers and Grain Millers International Union (BCTGM) which represents about 5,000 employees. I couldn’t find the IBEW plan but the 2011 5500 filing for the BCTGM Multiemployer Pension Fund (This Dead Plan) told me all I needed to know.
Archive for the ‘Multiemployer Pensions’ Category
If it were about revenue sharing or a luxury tax we could expect to see professional basketball soon since those issues are negotiable.
But it’s not. It’s about pensions and unfunded liabilities that over the term of the new CBA will bankrupt either the league or the teams that have to pay withdrawal liability.