It appears that Hostess Brands Inc. will be going out of business after more than 70 years. A last-minute attempt at mediation between the company and the union that represents many of the employees has failed, Hostess said in a statement. This means that the company’s facilities in Pennsylvania could soon begin laying off its workers. However, though the company is dissolving, employees who were injured or sickened on the job could still be eligible for workers’ compensation.
Hostess announced that it would be going out of business late in the week of Nov. 12 after employees represented by the Bakery, Confectionary, Tobacco Workers and Grain Millers International Union went on strike on Nov. 9. The strike was a protest of a bankruptcy judge’s imposition of concessions on the union in its negotiations with Hostess. The judge ordered the two sides into mediation on Nov. 19, but that attempt at resolving the dispute did not work.
This will soon leave thousands of people out of work, including many in Pennsylvania. Many of those employees may have sustained injuries while working, such as back or joint problems, burns, slip and fall injuries or head injuries. Under normal circumstances, someone suffering a disability due to a work injury could receive workers’ compensation to pay for medical bills and lost wages.
But even with Hostess apparently soon to cease operations, it is still possible for injured workers to apply for workers’ compensation. An experienced workers’ comp attorney can help employees through the process.
Source: The Washington Post, “Hostess asks judge to weight shutdown request after mediation fails,” Dawn McCarty and Phil Milford, Nov. 21, 2012