CHICAGO — A union group representing workers at the Archibald Candy Corp. factory where Fannie May candy is made accuses the company in a lawsuit of violating federal labor law with its abrupt shutdown of the plant.
Local 781 of the Teamsters Union said in the suit filed in U.S. District Court that Archibald failed to give workers 60 days' notice as required when it disclosed plans Jan. 5 to shutter the 70-year-old Chicago plant. The plant is expected to close by the end of this month.
The union seeks an injunction against cuts of health coverage and severance pay in adherence to the terms of their contract and also asks the court to appoint an arbitrator to settle the matter.
"What we want is for Archibald to honor the contract that it signed," said Teamsters spokesman Brian Rainville. Local 781 represents about half of Archibald's 625 factory workers.
Archibald spokesman Ron Bottrell said Wednesday the company had not been served with a complaint.
"The company has been in negotiations with the unions representing Archibald's employees and is optimistic that severance packages can be agreed to through collective bargaining and without the need for litigation," he said.
Last week, Archibald said it had signed a preliminary agreement to sell its Fannie May and Fanny Farmer candy brands to Utah-based Alpine Confections Inc.