Tuesday, August 24, 2010

Some companies have stolen employee benefits, wages when they go bankrupt

On Tuesday, Aug. 24, ABC Good Morning America presented a story about companies that misappropriated their employees’ health insurance premiums and pensions before going bust, just to keep going, leaving employees stranded without insurance and with final paychecks that bounced.

The story concerned a steel production company (Phezer) in Illinois that went bankrupted and liquidated in 2008.

The Employee Benefits Security Administration (EBSA, link)  at the Department of Labor is supposed to investigate cases like this.

Elisabetg Leamy gave the report.

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