The judge in Montvale, N.J.-based A&P’s bankruptcy case said on Friday that he will not approve a $3.9 million retention pay plan for non-union employees unless the company adds another $1.1 million to its severance payments, which would go mostly to union workers, NorthJersey.com reported on Friday. Bankruptcy Judge Robert Drain said that he recognizes the need for retention bonuses for certain non-union employees, but that something needs to be done for the employees not eligible for the bonuses, particularly the union employees in the stores. A&P originally had asked for up to $5 million for bonus payments for 495 employees, but this week reduced the request to $3.9 million for 468 workers, creating a savings of $1.1 million. Judge Drain said that he will approve the retention pay request if it is amended to allocate the unspent $1.1 million to the pool of money being used to pay severance.
