After fire, Philadelphia refinery paid executives $4,591,500 in bonuses while hundreds were laid off

Philadelphia Energy Solutions paid out about $4.6 million in retention bonuses to eight key executives after a devastating June fire closed the giant Schuylkill River refinery complex, but before the company declared bankruptcy, court records show.

Most of the payments were made on July 5, while PES was in the process of closing the East Coast’s largest refinery, according to a filing with the U.S. Bankruptcy Court in Delaware. At the time, the refinery had announced plans to permanently shut the fuel complex and lay off most of its 1,100 employees without severance pay or health insurance coverage.

“It’s repulsive that they did that,” said Ryan O’Callaghan, a spokesperson for Steelworkers Local 10-1, which represents refinery workers. “While they’re telling everybody else they’re poor, bankrupt, had nothing for severance and canceled the medical benefits plan, ... they stuffed their own pockets.”

The payments were disclosed in financial documents filed Friday with the court. Representatives of the refinery and its lawyer could not be reached for comment on Tuesday. The bonuses were first reported by Reuters.

Read more: https://www.inquirer.com/business/bankrupt-philly-refinery-paid-big-executive-bonuses-after-fire-20190910.html