Write-Offs: 04.08.09

Publish date:

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$$$Hedge funds sat out March stock rally [Investment News]
$$$At MBIA, it's like old times [The Deal]
$$$ This was apparently planned for 4PM today, though we didn't see anything about it before and just got word of it now. Moynihan, if you're reading, share the harrowing tale with the group.

Another problem that Bank of America has to clean up at Merrill Lynch: Cafeteria workers call on bank executives to protect their wages.
What: Sodexo workers from Merrill Lynch cafeterias will deliver a letter and a petition to Bank of America executive Brian Moynihan
When: 4 PM today, 4/8/09
Where: New Bank of America Tower, corner of 42nd street and 6th Avenue
From Bonusgate to Fancy-Carpetgate to reports of rogue trading and revelations of undisclosed losses, the troubles Bank of America has inherited from Merrill Lynch just don't seem to stop coming.

Maybe Bank of America would be interested in a chance to
actually solve a problem. Right now. One that can be
measured in a few dollars an hour, but that would make a
meaningful difference in the lives of over 100
hard-working American taxpayers.
That's the hope of the Sodexo food service workers at
Merrill Lynch's New York headquarters, who will deliver a
letter and a copy of a petition signed by over 100 of
their co-workers to the new Bank of America tower this
afternoon. They've been working without a contract for
over a year, and have just been told by Sodexo that if
they want a new one, they'll have to give up part of their
contract that protects them against cuts in wages. Under
Sodexo's current plan, these workers, some of whom have
spent decades working their way up to their current wages,
will face immediate pay-cuts if they are reassigned due to
lay-offs. This is no small thing in a workplace where the
average gross pay is $475 for 40 hours of work.
They will be asking for the help of Brian Moynihan, Bank
of America's President of Investment Banking and Wealth
Management, who is one of the key players in blending
Merrill into BofA. They will also be handing out leaflets
to Bank of America employees asking for their support.
Maybe it was too much to hope that Merrill Lynch
executives could pause their exotic trades and lavish
office renovations long enough to maintain a level of
decency in their cafeterias. Now, though, thanks in no
small part to American taxpayers, Sodexo works for Bank of
America. According to Bloomberg.com, Bank of America
executives are deciding if the base salary of some of
their investment bankers should be increased from $180,000
to $300,000 a year. Perhaps they could take a minute to
ask Sodexo why it can't come to terms with workers at
Merrill Lynch who have been struggling for a raise in the
vicinity of .65 cents an hour.