Contract Could Derail Liquor Store Privatization

A new contract for union employees in liquor stores across the state could stall or even kill current efforts to remove liquor and wine sales from the hands of the state of Pennsylvania.

The new contract for 3,500 employees runs through June 2015, according to Philly.com, and the union says one provision requires any private company that would buy the state stores to hire and pay union employees the same salary until the end of the contract.  

A spokesman for Gov. Tom Corbett, who campaigned on privatizing the state stores, told Businessweek that private businesses cannot be made to honor contracts covering state employees.

What do you think? Should private businesses have to honor a contract they didn’t make? Should liquor stores be privatized? Tell us in the comments.