“I haven’t interviewed in 26 years.this is like totally foreign to me”.-Sue Reict Employed 28 years with Shopko
The reality for many laid-off Shopko workers is that they will re-enter a workforce that has changed significantly. Some workers haven’t had to look for a job, since around the tme the internet was invented.
Senator Tammy Baldwin listened to stories from several former Shopko employees. Frustrations from both the Senator and employees were directed at Sun Capital, the private equity firm that purchased Shopko. Senator Baldwin assigned blame for unfulfilled severance pay to the firm and condemned their greed as the cause.
“Sun capital using pretty much a predatory playbook took actions like selling all the land and buildings that Shopko owned and instead of investing that back into growing Shopko and the Shopko family. They kept it and took action after action that was either mismanagement or predatory type of behavior. and ultimately that led to Shopko closing down everyone of its stores. 3000 employees out of work”.Senator Tammy Baldwin (D) Wisconsin
Sear and Toys R Us experienced similar private equity maneuvering like Shopko and Senator Baldwin hopes this new legislation will stop this trend of stiffing the worker.
Local Five reached out to Sun Capital for their side of the story but did not receive a response, but with the announcement this legislation, Senator Baldwin hopes this will expedite Sun Capital’s cooperation.