Union Job Killers Claim Another Victim

One of America's best known and loved snack brands appears to be headed for certain death. Hostess Brands, the 85 year old maker of such beloved snacks as Twinkies, Ding Dongs, and Wonder Bread will shut its doors after failing to reach a deal on pension and benefit cuts with its bakers union. The closing with cost more than 18,000 workers their jobs, the closing of 36 plants and further add to the country's unemployment woes. The trouble began when when the January 2012 bankruptcy allowed Hostess to force the bakers union to accept an 8% wage cut and increased health care cost for employees. A subsequent strike on November 9th resulted in tense negotiations over the new agreement . The teamsters union accepted the deal, the bakers union refused to accept any more wage cuts, giving Hostess no choice but to ask the court for permission to liquidate.

The ability of union cult members to remain unaware of their irrelevance is astonishing. Unions have killed off economic growth in most Midwestern states, which has been largely responsible for the economic boom to the non-union states of the south. Hostess' byzantine labor agreements involved over 372 separate bargaining contracts for workers, and 5,500 delivery routes. The midwest during the 50's,60's and 70's was the mecca of auto, and steel manufacturing, specifically in Ohio, Michigan and Pennsylvania. The ever ballooning cost of union labor and persistent strikes in our manufacturing sector has been a death nail for American competitiveness, and it is especially evident in rust belt states. Southern states such as Georgia, Tennessee, Alabama, North Carolina and Louisiana have benefited buy luring foreign and domestic manufacturers with less regulation, cheaper land and yes, non-union labor.

Akron Ohio, in my home state was once known as the Rubber capital of Ohio when Goodrich, Goodyear, Firestone, General Tire were all headquartered in the city. Labor strikes throughout the 60's and 70's have decimated Akron's rubber industry so much so that by the early 90's Goodyear was the only one remaining. There was certainly a time when unions were needed due to lack of competition and very little state and federal regulation of the workplace. Its no coincidence non union states continue to outpace the midwest in manufacturing job growth. Free market policies are alive and well in red state America, if only the union base would get out of their own way and allow those principles to work in the Blue states.