IRVING, Texas (CBS) – Hostess, the maker of Twinkies, Ding Dongs and Wonder Bread, is going out of business, the Associated Press reported.
Hostess made the decision on Friday morning after failing to reach an agreement with striking workers.
Hostess bakeries in Illinois are located in Schiller Park, Hodgkins in the Chicago area and Peoria downstate, and the flagship Hostess product, the Twinkie, was invented by Schiller Park bakery manager James Dewar in 1930 under a precursor company, Continental Baking Co. Twinkies were originally banana-flavored until banana rationing during World War II prompted the company to switch to vanilla cream.
Hostess, based in Irving, Texas, has already reached a contract agreement with its largest union, the International Brotherhood of Teamsters. But thousands of members in its second biggest union went on strike late last week after rejecting a contract offer that cut wages and benefits in September. Officials for the Bakery, Confectionery, Tobacco Workers and Grain Millers International Union say the company stopped contributing to workers’ pensions last year.
Striking Hostess workers standing in solidarity outside the company’s Schiller Park plant on Thursday say, after taking pay cuts in 2004 and 2011, they can’t do it again.
“It’s just so much that we’re just tired,” BCTGM Local 1 president Donald Woods tells CBS 2′s Suzanne Le Mignot outside the Schiller Park bakery, which employs nearly 200.