Headed to court
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ABERDEEN, SD – A former Northern Beef Packers employee filed a class-action lawsuit alleging the company did not give proper notice before laying off workers, according to news reports. A judge must certify the lawsuit as a class action before the case can move forward.
Jorge Alvarado claims he and other workers were not given proper notice under the federal Worker Adjustment and Retraining Act before losing their jobs, according to the Aberdeen American News
. Northern Beef laid off more than 100 workers in April, and another 250 workers in July.
The company is seeking a "stalking horse" bid, in which one potential buyer makes an initial offer to set the floor for an auction that invites competitive bids. The plant is facing $138.8 million in liabilities and has just $79.3 million in assets, according to court documents.