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Workers Say They Were Tricked Into Taking Buyout

Former Chrysler Employees Told To Return Unemployment Benefits

POSTED: 7:01 pm EDT August 5, 2009
UPDATED: 7:23 pm EDT August 5, 2009

Some former Indiana Chrysler workers are upset with the company they said tricked them into taking early retirement offers.

Several former workers at the Kokomo Transmission Plant said they were told that they could continue receiving unemployment benefits since they were laid off before taking a buyout, Call 6's Rafael Sanchez reported.

But now the state is asking for those funds to be repaid. Officials with the Department of Workforce Development would not comment on the Chrysler complaints directly, but said the law is clear.

"The state doesn't make any deals with any corporations along those lines," said spokesman Marc Lotter. "If you are to voluntarily quit, resign or take an early buyout, that would make you ineligible."

Mike McCloskey of Logansport has been ordered to pay back $3,500 in unemployment benefits. He is taking re-training programs at Ivy Tech and said he was counting on the money.

"I'm just frustrated right now," he said. "If they stated we were going to receive this then they should be held accountable for it."

The former employees are eligible to appeal the state's decision, and many are waiting for responses.

A Chrysler spokesperson told Sanchez that the company will look at the claims and issue a response Thursday.
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