Nearly 850 Hoosiers out of work if Hostess liquidates; deadline Thursday

INDIANAPOLIS (WISH) - The CEO of Hostess is threatening to liquidate the company if union workers don't end their strike by 5 p.m. Thursday.

Thirty minutes after the 5 p.m. deadline, Hostess made no announcement on whether it would follow through with the liquidation.

That puts almost 18,000 jobs, 850 of those in Indiana, on the line and calls into question whether popular snacks, like Twinkies, Ding Dongs and Wonder Bread, will survive.

Indianapolis-based employees say, unless a deal is reached, they will continue to strike outside the company’s location at 30th St. and Shadeland Ave.

The strike started last week.

Since then, the company announced bakeries would close in Seattle, St. Louis and Cincinnati.

If employees don't return to work by Thursday’s 5 p.m. deadline, Hostess said it would file for bankruptcy and could completely shut down operations next week. 

The company and the union are at odds over salary, pension and healthcare cuts.

“They're asking for 27 percent wage reduction over five years,” Bakery and Confectionery Union representative Dennis Howard said. “They're asking for them to almost triple contributions to the healthcare plan, and a plan that is substandard and doesn't have the coverage that they've enjoyed.”

The Hostess CEO said the company will not financially survive an ongoing, nationwide strike.

Liquidation, however, may not mean the end of these snacks.

Even if Hostess does liquidate, some of its most popular brands could live on after being auctioned to other companies.