Via Media Matters
The AP reported Sunday that Hostess Brands LLC, a trimmed-down version of the defunct Hostess Brands Inc., is aiming to have Twinkies and other well-known Hostess brand products back on store shelves by July 15. The story noted that Hostess went bankrupt “after an acrimonious fight with its unionized workers” and described in he-said-she-said fashion how the company ultimately failed…
…The trimmed-down Hostess Brands LLC has a far less costly operating structure than the predecessor company. Some of the previous workers were hired back, but they’re no longer unionized.
The AP story omitted any mention of the huge concessions union workers made in an attempt to help the company avoid bankruptcy. It also neglected to point out that Hostess stopped contributing to workers’ pensions and cut wages and benefits “by 27 to 32 percent” while giving executives massive pay raises. For example, Brian Driscoll — Hostess CEO in March 2011 — received a salary increase from $750,000 to $2.25 million, according to The Wall Street Journal.