On Tuesday night, Hostess said that it had failed to reach an agreement with one of the unions that represents its workers. The two parties had entered into the mediation at the suggestion of a bankruptcy court judge, who Hostess has asked to allow them to liquidate. If the company goes out of business, about 18,500 workers would lose their jobs. Hostess says that the bankruptcy and shutdown is caused by high labor costs and a strike. A hearing is scheduled for Wednesday morning.
See "Hostess Brands Says It Fails to Reach Labor Deal in Meidation", Steven Greenhouse, The New York Times, November 20, 2012