As Detroit struggles to meet its obligations to fund retiree health funds and public sector pensions, the city is poised to enter a settlement with two banks that may see the banks recover around 75 cents on the dollar. As the New York Times explains, this recovery—far higher than that expected for Detroit’s other creditors—stems from the nature of Detroit’s obligation to the banks. Specifically, Detroit owes the banks money under a swap agreement, and collection of debts owing under swap agreements during a bankruptcy case isn’t stayed by the Bankruptcy Code.
Eight months after the collapse of Bangladesh’s Rana Plaza factory left more than 1,100 dead, retailers and labor groups are joining with the Bangladesh government to create a $40M fund to help those hurt by the tragedy. The New York Times is reporting that the families of those who lost their lives are expected to receive around $25,000 each; per capita income in Bangladesh is about $1,900/year.
The Washington Post offers a poignant profile of a cashier hired to work at one of DC’s new Wal-Mart locations, and the opportunities afforded by a regular paycheck and the chance at career advancement. Wal-Mart has already promoted 20 of the retailer’s 600 new DC employees to supervisory positions.
Daily News & Commentary
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July 15
U.S. labor productivity climbs at its fastest pace in decades; a federal judge grants a preliminary injunction to anti-abortion groups challenging Michigan’s civil rights law; and Jackson, Mississippi’s bus workers walk off the job.
July 14
DOJ opens investigation of UAW president; LIUNA protests Pfizer building collapse; national park workers unionize
July 13
New York Times files retaliation suit against the EEOC; US government pushes back TPS designation termination for Haiti; federal judge grants preliminary injunction to federal workers seeking reasonable telework accommodations.
July 12
Postal workers demand investigation into Atlanta distribution center conditions following deaths; University of Chicago Press Workers vote to unionize.
July 10
Brigham and Women’s Hospital locks out 4,000 nurses after one-day strike; appeal filed challenging agency-shop agreements.
July 9
The Second Circuit declines to vacate an arbitration award over a nursing union dispute; federal workers sue the Department of Defense for termination of union contracts; New York City announces settlement with companies for violating New York work laws.