Salaried retirees move to block Delphi cuts
Tuesday, February 17, 2009
A newly formed association of salaried Delphi retirees is taking legal action against Delphi to stop the company from pulling health care and insurance coverage benefits from them and future salaried retirees.
The bankrupt auto parts producer has sought permission from a New York bankruptcy court judge to pull the benefits from salaried retirees after March 31, 2009.
But the Delphi Salaried Retiree Association said Tuesday, Feb. 17, that it has hired the San Francisco law firm of Farella, Braun & Martel to represent retirees. The group will file a formal objection to Delphi's move with the court today, it said in an announcement.
Miami Twp. Delphi retiree Jim Gudorf, 64, welcomed the association's action. He believes that Delphi is required, at the very least, to give retires more time to respond. And he said Dayton-area retirees have raised about $15,000 to retain their own legal representation.
"Things are happening," Gudorf said. "We're not just sitting down."
The U.S. Bankruptcy Court in New York is allowing objections to Delphi's plan until today at 4 p.m., the association said.
A Delphi spokesman, Lindsey Williams, said the company will respond to the retirees in its own court document, perhaps by next week, although he declined to offer a strict timeline.
Delphi has operated under Chapter 11 bankruptcy protection since October 2005. In recent years, the company has closed two Moraine plants and three Dayton plants, while leasing part of a Kettering plant to auto parts producer Tenneco. Only Delphi's Vandalia plant and research center continue to operate.
Contact this reporter at (937) 225-2390 or tgnau@DaytonDailyNews.com.
