11 U.S.C. § 1113 – Rejection of Collective Bargaining Agreements
Okay kiddo, have you ever made a promise with a friend to do something together or share something with them? Well, companies and workers also make promises to each other when they sign a document called a collective bargaining agreement, or a contract that says how they will work together and what they will provide each other. However, sometimes things happen and a company can't keep their promises anymore or they need to make changes. That's where 11 U.S.C. § 1113 comes in.
This is a law that says that if a company is going through a hard time and needs to change or end their collective bargaining agreement, they have to follow some rules. First, they have to give their workers and the union that represents them a notice that they want to change things. Then, they have to sit down and try to work out a new agreement that both sides can agree on.
If they can't agree on a new agreement, the company can ask the bankruptcy court for permission to end the old agreement. But the court will only let them do this if they can show that they really need to make the changes to avoid going completely out of business. If they're allowed to end the agreement, the workers might lose some of the things they were promised, like certain benefits or pay. But if the court thinks it's necessary, they might also get some special help or protection from losing their jobs altogether.
So, basically, this law is about what happens when a company and its workers can't keep their promises to each other anymore and need to make some changes. It helps them figure out how to work together in a fair way even when things are tough.
This is a law that says that if a company is going through a hard time and needs to change or end their collective bargaining agreement, they have to follow some rules. First, they have to give their workers and the union that represents them a notice that they want to change things. Then, they have to sit down and try to work out a new agreement that both sides can agree on.
If they can't agree on a new agreement, the company can ask the bankruptcy court for permission to end the old agreement. But the court will only let them do this if they can show that they really need to make the changes to avoid going completely out of business. If they're allowed to end the agreement, the workers might lose some of the things they were promised, like certain benefits or pay. But if the court thinks it's necessary, they might also get some special help or protection from losing their jobs altogether.
So, basically, this law is about what happens when a company and its workers can't keep their promises to each other anymore and need to make some changes. It helps them figure out how to work together in a fair way even when things are tough.