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THOUGH HE WON'T SAY?TO BECOME A THANK YOU FOR COMINGON TONIGHT.HAD A GREAT WEEKEND.ALWAYS FUN TO HAVE YOU ON THESHELF.>> YOU OR HAVING ME, GERRI.GERRI: NOW WE WANT TO KNOW WHATYOU THINK.HERE'S OUR QUESTION.WHAT IS THE REAL AGENDA OFSENATE DEMOCRATS?SOLVING THE DEBT CRISIS ORSTICKING IT TO THE RICH?LOG ONTO GERIWILLIS.COM.BOTH ON THE RIGHT-HAND SIDE OFTHE SCREEN AND SIDE OF THESCREEN AND I WILL SHOW THERESULTS AT THE END OF THE SHOW.AS I MENTIONED EARLIER, HOSTESSIS CLOSING ALL OF ITS PLANTS ANDLAYING OFF 180 -- 18,50WORKERS AFTER FAILING TO REACH ADEAL WITH THE BAKERS UNION.TAXPAYERS COULD END UP PUTTING AMASSIVE TAX BILL IF THE WORKERSFILE FOR UNEMPLOYMENT BENEFITSAND GET THEM FOR THE MAXIMUMNUMBER OF WEEKS.THAT COST TAXPAYERS$430 MILLION, INCLUDING THE SAMEUNIT WORKERS THAT FORCED THECOMPANY TO CLOSE.WITH MORE ON THIS IS OUR LABORECONOMIST FOR HERITAGE.JAMES, GREAT HEAVY ON THE TOHAVE YOU ON THE SHOW.WE'VE BEEN TALKING ABOUT THISFOR SOME TIME THE OLD COMPANYPROMISED THAT HE WOULD LIQUIDATETHE COMPANY IS THESE WORKERSDIDN'T COME BACK TO WORK.I THINK THAT'S EXACTLY WHATHAPPENED.WERE YOU SURPRISED?>> NOT REALLY.THE PROBLEM IS WITH THE LABORUNIONS.THEY MAKE THE COMPANY IS LESNIMBLE, LESS COMPETIVE, LESSCOMPETITIVE AND THEY HAVE TO GETAN AGREEMENT WITH THE UNIONS ANDTHEY DON'T DO THAT.GERRI: THE TRAGEDY IS THAT THISREPRESENTED ABOUT 50 WORKERSCOMPARED TO THE 180,000 OF LOSETHEIR JOBS.A SMALL GROUP OF PEOPLE STANDINGIN THE WAY IN BRINGING ANDBRINGING THE COMPANY TO ITSKNEES AND ULTIMATELYLIQUIDATION.>> THAT'S EXACTLY RIGHT.AGAIN, THAT'S THE PROBLEM WITHHUMANS.CABINET POST HOST IS THATAMERICAN AIRLINES AND GENERALMOTORS.THEY MAKE IT LESS COMPETIVE.COMPANIES INVEST LESS.THEY EARN LESS.THEY CREATE FEWER JOBS.IN THE END, THEY GO OUT OFBUSINESS.GERRI: THE PRESIDENT OF THISBAKERY UNION, HE SAYS THE CRISISFACING HOSTESS BRANDS IS ARESULT OF NEARLY A DECADE OFFINANCIAL AND OPERATIONALMISMANAGEMENT RESULTED IN TWOBANKRUPTCIES, MOUNTAINS OF DEBT,DECLING SALES, AND PLUSMARKETS.THEY TENDED TO RESOLVE THE MESSBY ATTACKING MOST VALUABLEASSET, THE WORKERS.THIS MAKES NO SENSE.IT IS HURTING WORKERS.HE BLAMED THE WORKERS THEY BLAMEWALL STREET.AND YOU FAIL THE COMPANY, MAKINGA COME TO ITS KNEES.>> HE'S CLEARLY TRYING TO SHIFTTHE BLAME.THIS IS A COMPANY THAT IS ON THEEDGE.VERY COMPETIVE MARKETPLACE.AMERICANS ARE BECOMING MOREHEALTH-CONSCIOUS.PRODUCTS LIKE "TWINKIES" ARE NOTALWAYS ON TOP OF THE MENUANYMORE.IT'S A COMPANY THAT'S BEEN INTROUBLE.THE OWNER AND OTHER UNION WEREBEGGING TO COME BACK.THEY SAID THIS COMPANY IS INREAL TROUBLE.THEY SAID, YOU KNOW WHAT?WE THINK YOU ARE BLUFFING, WE'REGOING TO DO IT ANYWAY.NOW, 18,000 WORKERS ARE GOING TOLOSE THEIR JOBS.GERRI: THIS IS AN INDUSTRY WITHFAMOUSLY NARROW MARGINS AND WEREPORTED ON THE SHOW EARLIERTHAT IT WILL PROBABLY COSTTAXPAYERS SOME 438 OR$39 MILLION IN UNEMPLOYMENTBENEFITS.ALSO COSTS FOR MEDICAID FORTHESE PEOPLE.THE RAMIFICATIONS GO SO FARBEYOND THAT.>> ABSOLUTELY.WHAT CAN HAPPEN TO SEE YOUR?HE MAKES ABOUT $200,000 A YEARAND HE GETS TO KEEP HIS JOB.A TOTAL LACK OF ACCOUNTABILITYON THE PART OF UNION.GERRI: HERE IS WHAT RICHARDTRUMKA SAID.THIS IS THE SECOND TIMEACCORDING HIM ON THIS SHOW.HE SAYS WHAT IS HAPPENING WITHHOSTESS IS A MICROCOSM OF WHATIS HAPPENING WITH AMERICA.AS PEOPLE MAKE THEMSELVES RICHRICH BY MAKING AMERICA FOUR.WOULD HE SAY?
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