Mixed results for A&P, unions in judge's ruling, report says

U.S. Bankruptcy Judge Robert Drain decided Tuesday to allow A&P to restrict seniority bumping rights at 25 stores scheduled to close by mid-October and called for increased severance pay for workers at those stores, the Record reported.

Local chapters of the United Food and Commercial Workers union have until Thursday to formulate bumping plans to place laid-off workers with seniority at other stores.

Drain recommended that A&P pay laid-off workers at the 25 stores 52 percent of their owed severance and up to 10 percent more if funds allow after bankruptcy. A&P originally proposed paying 25 percent.

A&P plans to lay off more than 9.000 New Jersey employees by Thanksgiving, according to filings with the state Department of Labor. The layoffs are planned for 93 N.J. stores operated by the Great Atlantic and Pacific Tea Company, which operates under the brands A&P, Pathmark, Superfresh and Food Basics.

The Montvale company declared bankruptcy in July and plans to close 10 New Jersey stores and sell nearly 40 others. The fate of the other stores remains unclear.

Source: NJ.com