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Bankruptcy Eligibility Reaction from the Michigan State AFL-CIO and the Metro Detroit AFL-CIO

Working people across Michigan are appalled by today’s ruling in the Detroit bankruptcy case.  Taking from retirees who already make do with very little will not fix the city and sets a dangerous precedent for our entire state.

While we are pleased the judge did not rule the city bargained in good faith, we disagree it was impossible for the city to bargain with its creditors.

Make no mistake about it, this ruling sends a clear signal that if you work hard and earn a fair pension, a governor with a radical, right-wing, political agenda can use the federal bankruptcy court as a tool to rob you of everything you earned.

It’s not just happening in Detroit. Snyder and Wall Street are going after workers, retirees and the middle class all over Michigan.  Governor Snyder proved time and again that he cares more about helping wealthy corporations than building an economy that works for everyone.

After giving billions in additional tax breaks to corporations, many of whom were his top campaign contributors, Snyder cut earned income tax credits and instituted a new statewide tax on pensions.  Now he and his politically-appointed bankruptcy experts are putting Wall Street before Woodward Avenue as they restructure Detroit.

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