The Ethics of a City Filing for Bankruptcy
The city of Vallejo, California (pop. 117,000) is about to file for
bankruptcy, primarily, it appears, to allow it to void union contracts
and have a bankruptcy judge rather than negotiations work out a new
contract. Sajan George, an adviser to struggling public entities, has
said, "There's a wave of this coming across the U.S. What happens
in Vallejo could definitely set a precedent."