Laid-off workers occupy Chicago factory, seek pay

[tricky]

CHICAGO (Reuters) - Invoking Main Street resentment of Wall Street's federal bailout, some 200 workers entered their third day of occupying a shuttered Chicago window and door factory on Sunday, demanding that Bank of America agree to pay them severance plus vacation pay.
Workers belonging to the United Electrical, Radio and Machine Workers union began their peaceful occupation of the plant on Friday after family-owned Republic Windows & Doors said it was closing after Bank of America canceled its line of credit.
The workers said Republic Windows & Doors gave them only three days notice of Friday's closing instead of the 60 days required by law, and owes them roughly $3,500 per worker including unused vacation pay.
A union spokeswoman said Bank of America is not letting the company pay the workers.
"We're just shocked that Bank of America, after receiving $25 billion in bailout money, not only do they refuse to extend credit to companies but, to add insult to injury, they don't allow these companies to fulfill their legal obligations to their workers," union spokeswoman Leah Fried said.
The downturn in home construction doomed the plant, which has manufactured windows and doors for more than 30 years.
Bank of America was among several U.S. banks to receive funding from a $700 billion federal bailout package designed to stabilize the financial system.
The laid-off workers hoisted placards saying, "Bank of America: You got bailed out. We got sold out."
According to the Chicago Tribune, the bank said it was not responsible for Republic's financial obligations to its employees. A Bank of America spokesman was not immediately available for comment.
Officials of Republic Windows & Doors also could not be reached for comment.
The parties were expected to meet on Monday.
U.S. Rep. Luis Gutierrez, an Illinois Democrat, and Chicago-based civil rights leader Rev. Jesse Jackson were lending support to the workers.
(Reporting by Andrew Stern; Editing by Leslie Adler)
http://www.reuters.com/article/domes...4B61II20081208

[Guido]

Wow. Way to go Bank of America.

I heard some news when I waking up about lots of state and local politicians trying to shut down all deals with B.O.A. today, but didn't know why.

[Nyteshade]

I love how it's the bank's fault that the company can't pay it's employees.


Second part removed because I misread the site.

[tricky]

""I got a call from the doctors. The insurance company said they won't pay because the company canceled all our policies and didn't tell us," Rangel said. "I have a mortgage. I have a child. What do we do if he gets sick?""
http://www.latimes.com/news/nationwo...,7863346.story

[Deff Gordon]

"I got a letter from the government, the other day. I opened and read it, it said they were suckers."
-Chuck D

[Nyteshade]

Originally Posted by tricky

""I got a call from the doctors. The insurance company said they won't pay because the company canceled all our policies and didn't tell us," Rangel said. "I have a mortgage. I have a child. What do we do if he gets sick?""
http://www.latimes.com/news/nationwo...,7863346.story

This combined with the original story says that the officers of the window company should be the focus of the blame. The company is required to tell you when they are canceling the insurance policy and the effective date. If the policy was already expired prior to that guy's doctor visit and the company was still taking money out of paychecks for premiums, than they were robbing the employees.

Seriously, all the blame is being pointed in the wrong direction.

[tricky]

Originally Posted by Deff Gordon

"I got a letter from the government, the other day. I opened and read it, it said they were suckers."
-Chuck D

Suckers for sure. They only half ass learned their lessons from the financial bailout. Now they're only going to throw away 15 billion.....

Zero is what they should be handing out.

Socialism for the rich and capitalism for the poor.

[Deff Gordon]

Originally Posted by tricky

Suckers for sure. They only half ass learned their lessons from the financial bailout. Now they're only going to throw away 15 billion.....

Zero is what they should be handing out.

Socialism for the rich and capitalism for the poor.

no tricky-

"they wanted me for their army or whatever."

[tricky]

Originally Posted by Deff Gordon

no tricky-

"they wanted me for their army or whatever."

meh

[tricky]

Bank of America's Greed Sparked the Eye-Opening Worker's Strike in Chicago
By John Woodruff Jr., Portside
Posted on December 9, 2008, Printed on December 9, 2008
http://www.alternet.org/story/111149/

The following is written by a field organizer for the union involved in the sitdown strike at a Chicago factory:

It seems like forever now that we have been hearing about the importance of the Wall Street "bailout", and how that was the only way that we as taxpayers could avoid an even worse financial crisis in the U.S. The idea was that if we gave the big banks and credit markets access to about $700 billion dollars (or so), they would in turn help small businesses to keep operating and keep U.S. workers employed.

At least that's what I thought it was supposed to be about.

Tell that to the 300 United Electrical, Radio and Machine Workers of America (UE) members that, up until this past Friday, had jobs at Republic Windows and Doors in Chicago.

Bank of America, our country's second largest bank, did indeed take $25 billion dollars of "bailout cash", then gave the shaft to that company and its workers by refusing to renew and extend it any operating credit to stay in business through the economic downturn. Just close the doors and throw the workers out onto the street without any notice in freezing temperatures right before the holidays, Bank of America said, and don't bother paying them any vacation or severance pay either. Oh, and just cancel everyone's health insurance while you're at it. Sorry about those pregnant workers, too.

Well, these UE members decided they were NOT going to be put out into the streets like animals, and they would just take over the factory until they got what they had coming to them. This is just simple fairness and self-preservation, but what is happening in Chicago needs to be talked about and actively supported by all working people in this country . Because you are next. We are all next, if we let Bank of America take our money and use it to fatten their profit margin and bottom line instead of what it was supposed to be used for: Helping regular hard working Americans like the sisters and brothers at Republic.

Ron Bender, a UE member and 14-year machine operator at Republic said it best . "We're doing this for the other working people in the country. What's happened to us can happen to anyone -- they could just close up and put you out and give you no severance pay."

***

The following story is from UE’s site: Chicago Aldermen Aim to End City's Business with Bank of America

A contingent of 15 Chicago aldermen said today they will introduce an ordinance to require the city to stop doing any business with the Bank of America.

Bank of America cut off its line of credit to Republic Windows and Doors, causing the Chicago company to halt operations on Friday, December 5 and terminate its 250 workers with only three days notice, and without receiving their earned vacation pay, as well as compensation they are entitled to under the WARN Act. The workers' situation attracted world-wide attention begining Friday evening, when they began occupying the plant, refusing to leave until Bank of America, the company and other creditors honor their obligations to employees. 'Outrageous, Unfair and Arrogant'

"It is outrageous for Bank of America to cut off credit, a company's lifeblood, after receiving $15 billion of taxpayers' money as part of the federal government's Troubled Asset Relief Program (TARP)," said Alderman Joe Moore (49th Ward). Bank of America also has raised $9 billion in taxpayer guaranteed loans and is expected to receive another $10 billion in TARP funds in the next two weeks.

"It's not only unfair to the workers, but also Bank of America is thumbing its nose at Congress by taking federal recovery funds while refusing to extend credit to a small manufacturing company with a long history of profitability," said Thomas Balanoff, president of SEIU Illinois Council. "Bank of America's withdrawal of credit also contradicts and undercuts President-elect Barack Obama's plan to stimulate the depressed economy by investing in weatherization of existing homes and buildings and in other infrastructure and energy-saving construction," Balanoff added. 'Greater Demand with Obama's Proposals'

"The workers want Bank of America to keep the plant open and the workers employed," said Carl Rosen, president of UE, the union that represents the Republic workers. "There is always a demand for windows and doors. But with Barack Obama's stimulus proposal, there will be even greater demand for the products made by Republic's workers. It doesn't make sense to close this plant when the need is so obvious," he added.

The ordinance requires that any City of Chicago funds deposited at Bank of America, or any of its subsidiaries, be removed and placed with another suitable bank. It also states that Bank of America shall not be selected to underwrite, sell, market or re-market any City of Chicago bonds without the explicit approval of City Council. 'We Have a Right to be Treated Fairly'

The ordinance also contains a provision requiring that any proposed change in zoning of a property owned by Bank of America, or any of its subsidiaries, be brought individually before the full City Council for evaluation and approval.

"Under the law, the City Council has the authority and responsibility to take into account the interests of Chicago and its residents when deciding which banks to do business with," said Alderman Ricardo Munoz (22nd Ward). "Bank of America profits handsomely from the business it gets from the City and other governments. We have a right to demand that workers are treated fairly."

Cook County Commissioner Michael Quigley is preparing a similar ordinance to curtail the county's business with Bank of America.



John Woodruff Jr., is a UE Field Organizer.

© 2008 Portside All rights reserved.
View this story online at: http://www.alternet.org/story/111149/

[PETA]

Originally Posted by Deff Gordon

no tricky-

"they wanted me for their army or whatever."

picture me giving a damn

[Nyteshade]

"It's not only unfair to the workers, but also Bank of America is thumbing its nose at Congress by taking federal recovery funds while refusing to extend credit to a small manufacturing company with a long history of profitability,"

Two things:

1. If a company was relying entirely on credit lines to make payroll and stay in business, it's not "profitable"

2. Banks don't cut off credit lines to profitable companies. They cut off credit lines to companies that aren't making payments on the loan and companies whose profits are so poor, they know they won't get their money back.


Again, the blame should be focused on the company management.

[PETA]

Originally Posted by Nyteshade

Again, the blame should be focused on the company management.

Serves no point, they have no money.

[Nyteshade]

Originally Posted by St. Stalin the Apathetic

Serves no point, they have no money.

And with all the political posturing, the management of Republic Windows has an opportunity to get away with breaking the law.

I normally don't like quoting blogs but this one said it best:

http://www.zimbio.com/politics/artic...+Workers+Pawns

Republic Windows and Doors: Guilty But Innocently Portrayed

Republic Windows and Doors likely made a good deal of profits over the last four or five years while the "housing boom" was in full effect. Now that the situation has turned around dramatically, the company has decided to let go of its workers (at least at this one facility). The company knows that it has potentially violated the law (unless it can avail itself of an exception to the notice requirements). But the company can minimize bad press if it allows the workers -- who blame Bank of America -- to occupy its premises unimpeded. This does not alter the reality that the company is probably the only culpable party from a legal perspective. Despite this fact, the governor has threatened to penalize Bank of America, not Republic Windows and Doors.

[PETA]

leave it to Americans to find culpability relative to the depth of the blamed party's pockets