Business News

Hostess waits on announcement after deadline passes, Sweetheart workers still striking

Posted: Nov 15, 2012 4:44 PM by David Jay - MTN News

BILLINGS - Workers at Sweetheart Bakery remain on strike, after a deadline passed with no announcement from its parent company, Hostess Brands, Inc.

Hostess had set a deadline of 5 p.m. EST on Thursday for workers represented by the Bakery, Confectionery, Tobacco Workers and Grain Millers Union (BCTGM) to return. If not enough workers returned nationwide, the company said it would file to liquidate its assets in Federal Bankruptcy Court on Friday.

Hostess spokesman Lance Ignon says the company will not make any announcements until the Board of Directors make a decision.

Wednesday, the company said it would file in court and ask for a Monday hearing, and then begin the liquidation process on Tuesday.

Eusebio Diaz, business agent for BCTGM Local 466 said he has not heard anything after the deadline passed, and his members are still on strike.

About 104 BCTGM members work at Sweetheart in Billings. Diaz says four have crossed the picket lines and are working with the managers and temporary workers.

Hostess says it offered a package, that includes cuts in wages and benefits. When the company makes it out of Chapter 11 bankruptcy, it will give 25 percent ownership to the BCTGM, $100 million in interest bearing debt and two seats on the board of directors.

The same wage and benefit cuts were offered to management and other workers in the company.
Sweetheart has been operating, making bread and buns.