Black Settles on PensionsPublisher: Connexions Information Sharing Services, Toronto, Canada
Year Published: 1991
Resource Type: Article
Cx Number: CX4243
Abstract: Canadian capitalist Conrad Black has agreed to pay $44 million to 10,000 former employees of Dominion Stores to settle a long pension fund battle. Black, the chairman of Hollinger Inc., and his brother Montegu touched off the battle in 1986 when they withdrew $38 million from the pension fund at a time when the chain was planning store closings and layoffs. The union fought the move and the Ontario Supreme Court ordered the Blacks to return the money. The union also argued that inflation had reduced the value of the pension money in the meantime, leading to a court-approved settlement which saw the Blacks paying $44 million to the former employees.