NEW YORK An Ohio lawmaker has expressed "concern" over bankrupt steelmaker RG Steel LLCs employee retention plan, which would pay for salary and health-care costs for about 21 "key" RG Steel employees during the former Sparrows Point, Md.-based steelmakers "wind-down" process, according to court filings.
Rep. Jack Cera (D., District 95) has said that the plan comes as many other RG Steel employees have been left "struggling to find and pay for health-care coverage for themselves and their families," according to a letter filed Nov. 8 in U.S. Bankruptcy Court in Delaware."For the court to permit payment for health care to a few top-tier executives while the government must try to provide health care to all other RG Steel employees is blatantly unfair and should not be permitted," Cera wrote.
The United Steelworkers union also has objected to the plan, calling it a "cash grab" in a letter to members sent Oct. 26.
A hearing to discuss the plan is set for Nov. 20.