Chicago: workers occupy factory

Shades of 1936—already. From AP, Dec. 7:

CHICAGO — Workers who got three days’ notice that their factory was shutting its doors have occupied the building and say they won’t go home without assurances they’ll get severance and vacation pay.

About 250 union workers occupied the Republic Windows and Doors plant in shifts Saturday while union leaders outside criticized a Wall Street bailout they say is leaving laborers behind.

Leah Fried, an organizer with the United Electrical Workers, said the Chicago-based vinyl window manufacturer failed to give 60 days’ notice required by law before shutting down.

During the two-day peaceful takeover, workers have been shoveling snow and cleaning the building, Fried said.

“We’re doing something we haven’t done since the 1930s, so we’re trying to make it work,” she said, referring to a tactic most famously used in 1936-37 by General Motors factory workers in Flint, Mich., to help unionize the U.S. auto industry.

Fried said the company can’t pay its 300 employees because its creditor, Charlotte, N.C.-based Bank of America, won’t let them. Crain’s Chicago Business reported that Republic Windows’ monthly sales had fallen to $2.9 million from $4 million during the past month. In a memo to the union, obtained by the business journal, Republic CEO Rich Gillman said the company had “no choice but to shut our doors.”

Bank of America received $25 billion from the government’s financial bailout package. The company said in a statement Saturday that it isn’t responsible for Republic’s financial obligations to its employees.

“Across cultures, religions, union and nonunion, we all say this bailout was a shame,” said Richard Berg, president of Teamsters Local 743. “If this bailout should go to anything, it should go to the workers of this country.”

Outside the plant, protesters wore stickers and carried signs that said, “You got bailed out, we got sold out.”

Representatives of Republic Windows did not immediately respond Saturday to calls and e-mails seeking comment.

Police spokeswoman Laura Kubiak said that authorities were aware of the situation and that officers were patrolling the area.

Workers were angered when company officials didn’t show up for a Friday meeting arranged by U.S. Rep. Luis Gutierrez, a Chicago Democrat, Fried said. Union officials said another meeting with the company is scheduled for Monday.

“We’re going to stay here until we win justice,” said Blanca Funes, 55, of Chicago, after occupying the building for several hours. Speaking in Spanish, Funes said she fears losing her home without the wages she feels she’s owed. A 13-year employee of Republic, she estimated that her family can make do for three months without her paycheck.

According to an update from the UE, Barack Obama has expressed his support for the workers:

President-elect Barack Obama has placed himself on the side of UE members occupying their workplace in Chicago, according to a report published by the Chicago Sun-Times on its website Sunday.

The Sun-Times quotes Obama as saying, “When it comes to the situation here in Chicago with the workers who are asking for their benefits and payments they have earned, I think they are absolutely right …what’s happening to them is reflective of what’s happening across this economy.”

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See our last post on the econocataclysm.

  1. Chicago workers win
    From AP:

    CHICAGO — Bank of America says it will extend credit to a Chicago window and door maker whose workers have occupied the factory for five days.

    The bank said Tuesday that it’s willing to give the Republic Windows and Doors factory “a limited amount of additional loans.” That’s so it can resolve claims of employees who have staged a sit-in since Friday.

    The factory closed Friday after Bank of America canceled its financing.

    Workers were given three days’ notice. But they refused to leave and vowed to stay there until receiving assurances they would receive severance and accrued vacation pay.

    The bank has been criticized for cutting off the plant’s credit after taking federal bailout money.