The Chicago Sun-Times could be saved from liquidation if it was sold to a new, non-bankrupt owner. (The Sun-Times Media Group filed for bankruptcy March 31 of this year.)
But the company has said a new union contract that “basically guts” the current contract is a prerequisite to any sale.
The proposed three-year contract:
- Cuts max severance pay from 50 weeks to four
- Locks in what was a temporary 15 percent pay cut
- Freezes the company’s pension plan
- Erases banked vacation and paid time off accrued before October 2008
- Eliminates seniority rules and would allow the new owners to “reassign work at will”
An investment group may buy the company for more than $25 million, but only if these concessions are reached in the next three weeks.