Bill would make it Harder to Void Labor Contracts in Bankruptcy

Published on:
12 September 2006 at 10:21 a.m. ET

Written by: Unknown Author –

http://www.insidearm.com/news/00007372-bill-would-make-it-harder-to-void-labor-c/

On the heels of September’s tougher personal bankruptcy laws comes this: tougher laws on corporate bankruptcy vis-a-vis labor contracts.

In a Reuters story filed yesterday, U.S. Representative John Conyers (D-MI) and Senator Evan Bayh (D-IN) proposed legislation that would require companies to provide fuller pictures of their finances in bankruptcy proceedings before being allowed the opportunity to throw out labor contracts.

“Our legislation would … add a small measure of fairness to a playing field that is overwhelmingly tilted against workers,” Conyers told Reuters.

The proposal goes even further, limiting executive compensation and requiring consideration of foreign assets ? something that has not always been required in the past.

You can read more of the story at U.S. bill would make it harder to void labor contracts.