It begins…
In Chicago, employees of Republic Windows and Doors have staged a “sit-in” to protest being laid off without severance or notice.
The company closed after Bank of America canceled its line of credit. The workers are hoping for restitution from either the company or the company’s main creditor, Bank of America.
Obama approves. He’s said, ““I think they’re absolutely right.”
Republic Windows and Doors probably doesn’t have the money to pay it’s workers (if they did, I presume they would still be open for business), so the workers and their union are seeking money from the bank. Normally this would be an exercise in futility, but… well, things are different now.
Bank of America took part in the bailout, they bellied up and took from the trough and now, Surprise! The politicians are about to discover the strings that came with that bailout.
What happens here is important. Will Congress bailout these workers directly? Will Bank of America be compelled to reinstate a line of credit? (Which would amount to requiring the bank to pay the workers directly.)
Obama said, “I think that these workers, if they have earned these benefits and their pay, then these companies need to follow through on those commitments.”
The question is, Where is that money coming from?
Any guesses?
Update:
“Gov. Rod Blagojevich has ordered all state agencies to stop doing business with Bank of America to pressure the company to help workers who are staging a sit-in at a shuttered Chicago plant.”
I sympathize with the workers that lost their jobs, but holding the bank accountable for the failings of their clients is a disastrously bad idea. Want to freeze the credit markets? This is the blueprint.
I was glad to hear Obama voice his support of these workers. I hope they get every bit of what they’re owed and I hope the owners of this company get properly disciplined or fined. When I first heard this story I could not understand that they thought they could even get away with this - but the fact is - they would have gotten away with it if these workers hadn’t stood up. Kudos to all of them.
Interesting suggestion, levying sanctions on the owners of business who fail. I wonder what that would do to the cost of doing business?
And for the record, what, exactly, are the owners “getting away with?”
I love it that Governor Rod has come out in support! With a moral voice like that leading the way, justice will be served! Go Rod Go!