Ruling: Calif. City Can Void Union Contracts in Bankruptcy


Maybe the gravy train is finally beginning to grind to a halt at long last? Maybe the thievery by unions that is bankrupting governments all across the nation is starting to show signs of abating? If this court ruling in Vallejo, California is any indication, we just might be starting to see some common sense at last endangering the practice of heaping undeserved and unsustainable union benefits on government workers.

On March 13 U.S. Bankruptcy Judge Michael McManus held that union contracts “negotiated” by city worker’s unions can be voided by Vallejo if the city enters into bankruptcy proceedings. The judge said that city workers do not have the same protections that Congress bestowed upon union workers in private companies and that as public workers they cannot expect their full contracts to be forcibly upheld by courts during bankruptcy.

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