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Contract Could Derail Liquor Store Privatization

The state stores’ 3,500 union employees have a new contract.

 


A new contract for union employees in liquor stores across the state could stall or even kill current efforts to remove liquor and wine sales from the hands of the state of Pennsylvania.

The new contract for 3,500 employees runs through June 2015, according to Philly.com, and the union says one provision requires any private company that would buy the state stores to hire and pay union employees the same salary until the end of the contract.  

A spokesman for Gov. Tom Corbett, who campaigned on privatizing the state stores, told Businessweek that private businesses cannot be made to honor contracts covering state employees.

What do you think? Should private businesses have to honor a contract they didn’t make? Should liquor stores be privatized? Tell us in the comments.

Related Topics: pa liquor contract and pa liquor stores

Andrew Jones

5:05 pm on Monday, June 11, 2012

Local, State & Federal governments should not be in the business of selling products or services period. Pennsylvania needs to get it's claws out of the liquor industry and let the revenue stream re-enter the private sector. And by no means should private business's be obligated to a previously negotiated union contract for labor.

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G.B. Jackson

12:03 pm on Wednesday, June 20, 2012

Private business should not be responsible previously negotiated union contracts.

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