Sunday, September 4, 2011

What's the Point of a Contract ?

If employers, in this case the Post Office, can just abrogate it at any time.

Cutting the work force is more difficult. The agency’s labor contracts have long guaranteed no layoffs to the vast majority of its workers, and management agreed to a new no layoff-clause in a major union contract last May.

But now, faced with what postal officials call “the equivalent of Chapter 11 bankruptcy,” the agency is asking Congress to enact legislation that would overturn the job protections and let it lay off 120,000 workers in addition to trimming 100,000 jobs through attrition.



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1'Postal Service Is Nearing Default as Losses Mount' - NYT

1 comment:

The Arthurian said...

Good post.

"Commerce and manufactures can seldom flourish long in any state which does not enjoy a regular administration of justice; in which the people do not feel themselves secure in the possession of their property; in which the faith of contracts is not supported by law..." -- Adam Smith, TWON