Patriot Coal Can Pay $7M In Bonuses Despite Union Protest

Law360, New York (May 17, 2013, 4:56 PM ET) -- A Missouri federal judge ruled Thursday that bankrupt Patriot Coal Corp. can pay up to $6.9 million in bonuses to key employees over the objection of a miners union that said the payouts unfairly reward the highest-paid employees while the company cuts benefits for everyone else.

The United Mine Workers of America, which represents 42 percent of Patriot’s 4,000-person workforce, also argued that the bonuses are simply for retention, which is not allowed under bankruptcy rules. The union has been battling with Patriot over its Chapter...
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