Former Golden Guernsey owner owes workers over $1 million

Nov. 21, 2013
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By Rick Barrett of the Journal Sentinel

Nov. 21, 2013 0

The former owner of Golden Guernsey Dairy owes employees more than $1 million from shutting down the Waukesha milk bottling plant in January, leaving about 100 people out of work.

Open Gate Capital owes actual wages of about $335,000 plus pay for the time employees would have worked had the private equity firm followed state law and filed a 60-day plant closing notice, the Department of Workforce Development has determined.

In early January, Golden Guernsey filed for Chapter 7 bankruptcy. In May, the plant was sold at bankruptcy auction to Lifeway Foods Inc. of Morton Grove, Ill., for $7.4 million.

Lifeway has said it plans to reopen the plant by the end of the year, rehiring at least some of the 112 people who worked there.

Open Gate Capital has 10 days to appeal the Workforce Development ruling. A company spokesperson could not immediately be reached for comment.

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About Rick Barrett

Rick Barrett covers manufacturing, telecom and agriculture. He has received Best in Business awards from the Society of American Business Editors and Writers and was co-recipient of a Barlett & Steele award for investigative business journalism.

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