The iconic American snack, Twinkie, will be shutting down its operations in the U.S. Hostess brands, the maker of Twinkies, filed for bankruptcy earlier this year, but renewed its contract which included reduced wages and benefits for employees. The workers reacted by going on strike, this resulting in Hostess’ decision liquidate Twinkies and 18, 500 workers losing their jobs. It could be going into liquidation if baker’s do not return to work.
This will not be the end of the famous Twinkie snack, since it is such an iconic brand that another company may buy the product from Hostess. The Twinkies brand will remain strong across America; it is a brand well-known since the 1950’s and to this day was being produced. Hostess’ battle crippled the company and the results are contradictory to its profit-maximizing objective.
A Twinkie commercial from the 1950’s!
Sources: (Twinkie Liquidation, Hostess will shut down operations, Future Plans)
