Nortel Run Over by Canadian Auto Union

Who knew Nortel Networks Corp. (NT) had a contract with the Canadian Auto Workers (CAW) union?

Turns out, it does, and the 45 members of that organization who still work at Nortel are pressuring a judge to force the company to pay severance and other benefits. The CAW says Nortel also owes about 600 former and reitred workers their due, but Nortel disagrees.

The CAW joins hundreds of other Nortel creditors furious over the bankrupt telecom equipment maker’s refusal to pay both pension and severance payouts, if indeed they’re lucky enough to get any benefits at all.

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