Former Ilion Remington Arms Employees Get Another Gut Punch

The former employees of the original Remington Arms in Ilion, now a dissolved company, recently received more bad news about their severance pay. It looks like there's not going to be all that much coming their way.

Recently, UMWA Local 717 President Rusty Brown reached out to the law firm handling the severance pay issue and asked what the status was. In his letter to the attorneys, he said he was previously told checks would be mailed at the end of September. Employees still have yet to see any checks.

Attorney Robert James emailed Brown and said that a process needs to be completed before distribution checks can be sent out. Worse yet, the estimation of recovery of funds from the former company will range from 0.2% to 1.1%.  Severance claims were previously capped at 20 years of service to the company, with approximately $1000 paid for every year of service to the company.

As a result, employees who had been with Remington Outdoor for 20 years or longer, were expecting to receive some $20,000. But as negotiations ensued in bankruptcy court, the outcome seemed to look more and more dismal for former employees.

One former employee who had been with the company for 20+ years said by his estimate, instead of a $20,000 check, he would receive a severance package worth about $225.

Labor Law Attorney Joseph A. DeTraglia of the Detraglia Law Firm told WIBX that while pensions are backed by Federal Law, contract terms such as severance pay are very vulnerable to bankruptcy court.  "Once you enter bankruptcy court, all bets are off," said Detraglia.

DeTraglia's Law Firm  touts that they "help clients navigate the difficult maze of labor laws and employment laws including the ADA, ADEA, ERISA, FLSA, FMLA, NLRA, NY Human Rights, Title VII and numerous other Federal and State laws, rules and regulations governing the workplace," according to the website. They "provide high-quality legal representation in a cost-effective manner for large companies, small businesses, nonprofit organizations, colleges, schools, municipalities, and individuals."

WIBX has reached out to the attorneys representing Remington Outdoor for a response.

Listen to Attorney Joe DeTraglia's complete interview from Thursday morning on Keeler, below.