A week after the staff of Good Morning America joked about the impending closure of Hostess and the loss of 18,000 jobs, the crew at GMA switched to bashing the Hostess executives and sympathizing with the recently laid off employees, ignoring the role unions played in the collapse.
On Friday’s GMA, co-host Josh Elliott introduced the segment by reporting on new data showing corporate profits have hit an all-time high of $1.75 trillion, then smugly commenting that, “of course not everyone sharing in that wealth.” This led into Elliott bringing in the bankruptcy proceedings at Hostess where he said, “unlike the rank and file, the company's executives are about to score a major payday.” [See video below page break. MP3 audio here.]
ABC News correspondent Reena Ninan then described the situation at hand as such:
A federal bankruptcy judge has approved nearly $2 million in bonuses for executives of Hostess brands, the makers of Twinkies and Ho-Ho’s on the same day approving the firing of 18,000 workers. The company also told them Thursday, they are so cash-strapped, they won't be able to pay retirement benefits for some former employees. In a statement overnight Hostess said those millions of dollars in bonuses are designed to keep top brass from leaving before winding down what's left of the company.
Elliott and Ninan failed to mention the role the union who represents 18,000 Hostess workers played on the company’s decision to file fore bankruptcy. The union’s decision to go on strike severely crippled the already financially strapped Hostess, forcing them to close its doors for good rather than remaining in business during the strike. Instead, GMA placed the blame on corporate executives, who scored a “major payday” at the expense of the workers.
Reena Ninan concluded the segment by smearing the Hostess executives one last time: “But some angered employees say this is exactly what's wrong with corporate America.”
See relevant transcript below.
ABC
Good Morning America
November 30, 2012
7:06 a.m. EDT
JOSH ELLIOTT: How about some news, guys? We're going to begin, here, with the economy. New evidence that money is, indeed, rolling in, for corporate America. Figures out this morning show that corporate profits have just hit an all-time high, even when adjusted for inflation. They're now on pace to reach a record 1.75 trillion, with a "t" dollars this year. And of course not everyone sharing in that wealth. Hostess, the company that makes Twinkies, among other products, is in fact shutting down and so eliminating some 18,000 jobs in the process. However, we’ve just learned that unlike the rank and file, the company's executives are about to score a major payday. ABC’s Reena Ninan is here to explain why. Good morning to you Reena.
REENA NINAN: Josh good morning to you. A federal bankruptcy judge has approved nearly $2 million in bonuses for executives of Hostess brands, the makers of Twinkies and Ho-Ho’s on the same day approving the firing of 18,000 workers. The company also told them Thursday, they are so cash-strapped, they won't be able to pay retirement benefits for some former employees. In a statement overnight Hostess said those millions of dollars in bonuses are designed to keep top brass from leaving before winding down what's left of the company. But some angered employees say this is exactly what's wrong with corporate America. Josh?
