In 1981, a Dallas based conglomerate, LTV Corporation, spun-off a subsidiary known as Wilson Foods. The purpose for this action was that Wilson Foods, the nation's fifth largest meat packer was suffering from financial difficulties. Shortly after the spin-off, Wilson Foods entered into a collective bargaining agreement with its unionized employees, initiating a wage freeze through 1985. Under this arrangement, Wilson Foods' losses continued to escalate.
"The Rejection of Collective Bargaining Agreements Within Bankruptcy Reorganization: Reconciling a Legislative Dilemma,"
Akron Law Review: Vol. 17
, Article 14.
Available at: https://ideaexchange.uakron.edu/akronlawreview/vol17/iss4/14