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Long Island caterer ordered to serve up audited financials

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in Employment Law,Human Resources

The National Labor Relations Board (NLRB) has ordered a Plainview catering and food-service company to hand over reams of financial information to the United Food and Commercial Workers (UFCW) union to use in contract negotiations.

Dover Hospitality Services has maintained that it can’t afford to pay the wages the current collective bargaining agreement calls for, let alone the higher wages the union seeks in the next contract. The UFCW isn’t buying it.

The union asked the company provide tax returns, W-2s and audited financial statements for the past three years to substantiate its claims. The company refused, so the UFCW filed an unfair labor practice charge.

The day before the NLRB was scheduled to rule, Dover Hospitality provided tax returns and W-2s—but not audited financial statements—to the board. The NLRB noted that the documents were supposed to go to the union and promptly forwarded them as a courtesy. The union pursued its grievance anyway.

In ordering the document dump, the NLRB noted that the current collective bargaining agreement expired in 2010 and that the delay was bogging down negotiations. Because Dover Hospitality provided no valid reason for refusing to produce the documents, the NLRB ordered it to turn them over.

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