Employees of bankrupt department-store chain Shopko Stores Inc. are demanding that the company’s private-equity sponsor provide severance to workers impacted by its liquidation, Bloomberg News reported. Shopko employees — organizing through the labor nonprofit United for Respect — released an open letter to Sun Capital Partners Inc. executives Marc Leder and Rodger Krouse on Friday to make their appeal. “Many of us have been left jobless and struggling to survive without severance for our years of service, and we are writing to you to demand accountability for Sun Capital’s actions,” read the letter, which asked that executives set up a fund for employees affected by the closures of the chain’s 350-plus stores. The move builds on the success of former Toys “R” Us workers, who successfully lobbied two of the chain’s private-equity owners, Bain Capital and KKR & Co., to create a $20 million hardship fund. Workers are increasingly speaking out to demand consideration during the bankruptcy process, buoyed by support from politicians, including some presidential hopefuls, in addition to the success of their peers.
