Thursday, August 01, 2019

Blackjewel bankruptcy halts mine work in 4 states; unpaid Ky. miners block train; auction could reopen some mines

The bankruptcy of coal company Blackjewel LLC put more than 1,000 miners out of work in Kentucky, West Virginia, Virginia and Wyoming, and sparked a peaceful protest among miners in Eastern Kentucky whose paychecks bounced. But there was hope of some miners getting their jobs back with an auction scheduled today in federal bankruptcy court.

The Associated Press reported: “Bristol, Tennessee-based Contura Energy last week offered $20.6 million as the stalking horse bidder for two mines in Wyoming and one in West Virginia . . . The purchase could put hundreds back to work at the Eagle Butte and Belle Ayr mines in Wyoming and Pax Surface Mine in Scarbro, W.Va. They've been closed since Blackjewel filed for Chapter 11 bankruptcy protection July 1. According to the bidding process, other qualifying bids made by Wednesday's deadline triggered the auction. The notice didn't disclose the other bids. . . . Blackjewel also operates mines in Kentucky and Virginia, and the fate of those depends on the outcome of the bidding process.”

In Kentucky, where miners blocked railroad tracks to prevent Blackjewel from transporting coal, the Lexington Herald-Leader reported that the coal company failed to comply with state regulations that would have protected miners from losing pay for work they did.

Chris Kenning of the Courier Journal drove the 225 miles from Louisville to Harlan, which has seen coal booms and busts for a century, and reported that the Blackjewel debacle "roiled Harlan with unusual intensity . . . Difficult talks are playing out over dinner tables across Harlan County: whether to ride out such bankruptcies, sticking with coal as long as possible; leave home for steadier coal jobs in places like Alabama; or bet on a new career as local leaders try to attract new employers. The question on everyone’s mind: whether to quit coal, or wait until coal quits you."

U.S. Rep. Hal Rogers, R-Kentucky, issued a statement Thursday, criticizing Blackjewel and calling for federal assistance for miners affected by the coal company’s bankruptcy.

“I fully understand the number of coal companies that continue to struggle in the aftermath of the War on Coal, but undercutting employees who invested their time and talents to mine one of our greatest natural resources, is a shameful way to conduct business. Our coal miners deserve better and I will continue fighting for them," he said.

Rogers said he’s working to expedite assistance. The U.S. Department of Labor sent staff to Kentucky to interview the employees, he said.

He commended SOAR – Shaping Our Appalachian Region – for providing a tour bus to transport local coal miners to the hearing in Charleston on Monday.

The general manager of WYMT-TV, a CBS affiliate in nearby Hazard, weighed in with an editorial. Neil Middleton, who grew up in the region, called Blackjewel’s actions “shameful.” He wrote, “The peaceful protest is gaining support from across the state and country. More than 1,100 miners in Kentucky, Wyoming, West Virginia and Virginia lost their jobs when the bankrupt company shut down. The miners' paychecks bounced, leaving hundreds overdrawn and needing help. And in my opinion, a full investigation is warranted. Blackjewel has filed bankruptcy, but the court has not ordered the company to pay the miners back. State Representative Adam Bowling is crafting legislation to compel the company to pay the miners' back wages. Let's hope he is successful. The miners did the work. They earned their wages. They should be paid.”

No comments: