Projo Biz Blog

PROVIDENCE, RI -- Employees of the former Colibri Group are going to court to fight for the two months of pay and benefits they say they are entitled to under federal law after the company abruptly closed in January.

Greg Pehrson, a spokesman for the former employees, said Wednesday that the group's lawyer has drafted a suit seeking enforcement of the federal law requiring employers with more than 100 employees to give its workers at least 60 days notice before closing.

Pehrson, who is director of Fuerza Laboral, an immigrant and labor rights group, said the suit will be filed Thursday, followed by a rally on Kennedy Plaza immediately afterwards, around 1 p.m.

Colibri, known for its lines of high-end cigarette lighters, watches and costume jewelry, closed on Jan. 15 with no notice to employees, who say they found out that their jobs were gone when they showed up for work and the locks were changed.

The company, which had locations in Cranston and East Providence, employed about 280 people when it closed, according to Pehrson.

He said the lawsuit seeking enforcement of the Worker Adjustment and Retraining Nullification (WARN) Act will name Founders Equity and Phoenix Management as defendants. Founders is an equity firm that had primary control over Colibri at the time of its closure. Jim Fleet of Phoenix Management was the company's most recent CEO.

Pehrson said the employees are being forced to turn to the court because the WARN Act does not designate any other enforcing agency.

He said more than 100 of the former employees continue to work together to protect their rights.

"It's been very moving," he said, "because there were different locations, and a lot of these people did not know each other before this."

Thursday's rally is also intended to bring attention to recent legislation submitted by Rep. Roberto DaSilva, D-East Providence that would expanded the notification requirement under the WARN Act in Rhode Island and stiffen penalties, Pehrson said.

He said that one of the provisions of DaSilva's bill would boost employees' standing -- ahead of banks and other lenders -- when it comes to collecting compensation from closed companies.

 Tags  Colibri Group Founders Equity Fuerza Laboral labor law Phoenix Management

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