Labor Laws and Unions

Topics: Trade union, Collective bargaining, Bankruptcy Pages: 4 (1264 words) Published: March 5, 2013
Labor Laws and Unions
HRM 531
November 29. 2012
Patricia Hudson
University of Phoenix

Labor Laws and Unions
The national labor union movement extend deep into early American history; rising in the late 18th century along with America’s Declaration of Independence. In pursuit of happiness, workers organized to improve and protect their employment conditions. One of many American labor unions includes the Bakery, Confectionery, Tobacco Workers and Grain Millers’ International Union (BCTGM); the organization’s history dates back to 1886 (BCTGM, 2012). The BCTGM represents more than 120,000 workers in North America, many of whom are employed by the famous American baking company, Hostess Brands, Inc. This paper will discuss Hostess’ company history, the BCTGM-Hostess unionization process and benefits, and union bargaining tactics. In addition, the legal obstacles between Hostess and union workers will be explored, along with suggested actions to minimize litigation. Hostess Brands, Inc. Company History

Hostess Brands, Inc, formerly known as Interstate Bakeries Corporation, was founded in 1930 by Ralph Leroy Nafziger. With headquarters in Irving, Texas, this American bakery is famously known for its iconic food products such as Twinkies and Wonder Bread. The company filed for Chapter 11 bankruptcy in 2004, and reemerged in 2009 as a private company; backed by new financial investors. Hostess filed for Chapter 11 bankruptcy protection a second time in January 2012; they remained in operations with a $75 million contribution from creditors (PrivCo, 2012). 83% of Hostess’ 19,000 employees are unionized; the company deals with 12 different labor unions with major affiliations to the BCTGM or the International Brotherhood of Teamsters (Palank, Spector, & Jargon, 2012)

BCTGM Unionization Process and Benefits
The Hostess employees’ unionization process through BCTGM involves legal practice, union advantage awareness, campaign organization,...
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