The AFL-CIO urges you to co-sponsor the "Protecting Employees and Retirees in
Business Bankruptcies Act of 2020 (H.R. 7370)" introduced by Representative Jerrold Nadler. H.R. 7370 would prevent corporations from using the bankruptcy system to slash wages and benefits for current workers and break their promises to retirees.
Bankruptcies in the retail, energy, manufacturing, steel, airline and auto industries have destroyed the lives of tens of thousands of working families. The Nadler bill would protect more of what workers and retirees are owed, and prevent company executives from using bankruptcy as a business strategy to enrich themselves while stealing from their workers. This legislation would ensure that workers would recover far more than they do today in lost wages, benefits, and other earnings when their employer declares bankruptcy.
H.R. 7370 would also bar companies from leaving pension and health benefits intact for corporate executives if they cut or eliminate such benefits for rank-and-file workers. Finally, the bill would restore collective bargaining as the primary method to consider reducing employment costs when a company experiences financial difficulty. We urge you to cosponsor the Protecting Employees and Retirees in Business Bankruptcies Act of 2020.
Director, Government Affairs