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| TORONTO-Not a word in this year's federal budget addresses the urgent need to protect vulnerable Canadian workers, whose companies go bankrupt or restructure under bankruptcy protection law, Steelworkers' National Director Ken Neumann said following Wednesday's federal budget presentation. The Steelworkers have been urging the government to adopt a co-ordinated plan to deal with the potential loss of wages, pension, severance, holidays and other monies workers are owed, but often are unable to collect. "Tens of thousands of workers are affected every year in Canada," Neumann said. "Our union's "Workers First" proposals are a practical solution to this situation, and we're disappointed that the minority Liberal government's budget doesn't face up to the crisis." In many bankruptcies, workers lose not just wages but severance and vacation pay, and possibly group insurance benefits and the full pensions they were promised. "Usually a worker only has one job and one pension to provide security," Neumann said. "Banks, suppliers and other creditors all have multiple interests, deal with many other companies as well and shouldn't be put in line ahead of workers in a fight for scarce assets. "Every week dozens of companies declare bankruptcy and close down. In addition to wages, severance and vacation pay, in many cases of bankruptcy the pension plan is not fully funded and workers and retirees face cutbacks in their pensions. Group insurance benefits are lost as well." A private member's bill before the House of Commons, put forward by the NDP's Pat Martin (Winnipeg Centre), would implement much of the Steelworkers' Workers First agenda. Neumann has already met with Liberal Cabinet Ministers, urging their support. As well, a Steelworker lobbying team of rank-and-file activists has been on Parliament Hill talking to MPs about the need to put workers first.
CONTACT: Ken Neumann 416/487-1571; 416/802-0607 |