September 14, 2015 Read More →

Unions Point to Executive Pay in Walter Energy Collapse

Taylor Kunkendall for SNL:

United Mine Workers of America criticized Walter CEO Walt Scheller’s more than $6 million in annual salary and other compensation as well as other business decisions. The union said that “vulture funds” that “have purchased the securities of the energy company are seeking nearly $200 million in cuts from workers and retirees in Alabama.”

The UMWA packed a so-called 341 meeting, which is not a court hearing, but does provide creditors and other parties an opportunity to question and present concerns to debtors. The meeting was held in Birmingham, Ala.

Daryl Dewberry currently serves as a vice president for a UMWA district that covers the southeastern U.S. but worked as a miner with assorted Walter affiliates. He said that more than 50 miners packed a hearing Sept. 10 “to get some questions answered.” While non-U.S. mines recently purchased by Walter sit idle and executives enjoy recently distributed bonuses, he said, the company is seeking approval of a plan that will “devastate [workers and retirees] who are on fixed incomes.”

“The miners risk their lives every day,” Dewberry said. “These CEOs sit in their air conditioned offices.”

https://www.snl.com/InteractiveX/article.aspx?ID=33834412&KPLT=4

 

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