Layoffs Halted for Hundreds of People Days Before They Were Set to Lose Job
First Brands Group has halted layoffs for hundreds of employees just days before they were set to lose their jobs. The company is currently navigating bankruptcy and legal challenges while seeking a buyer for its operations. Keeping employees on the payroll temporarily may provide the necessary time to secure a deal and preserve jobs.
- ▪First Brands Group was set to lay off 819 employees in Ohio but has decided to keep 669 on the payroll until the end of May.
- ▪The company is undergoing Chapter 11 bankruptcy and is facing federal fraud charges against former executives.
- ▪First Brands Group has already completed several asset sales during the bankruptcy, saving hundreds of jobs.
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By Jenni FinkSenior Editor, PoliticsShareNewsweek is a Trust Project memberSee more of our trusted coverage when you search.Prefer Newsweek on Googleto see more of our trusted coverage when you search.Days before mass layoffs were expected to hit First Brands Group workers, hundreds of people were told they would actually keep their jobs. But the good news could be short-lived if the company doesn't find a buyer amid a bankruptcy and criminal case.First Brands Group, the auto‑parts manufacturer behind brands such as FRAM, Autolite and Trico, has been mired in legal and financial turmoil since filing for Chapter 11 bankruptcy protection in September. The restructuring has unfolded alongside federal fraud charges against former top executives and a rapid wind‑down of U.S.
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