Unions Worldwide Target K.K.R.

http://dealbook.blogs.nytimes.com/2008/07/18/unions-worldwide-target-private-equity-and-kkr/

Unions in 23 countries, led by the Service Employees International Union, took the the streets on Thursday to target the private equity industry and one of its largest representatives, Kohlberg Kravis Roberts.

One of these unions, Britain’s Unite, said it planned to block investments from workers’ pension plans. Unite, the country’s largest union and representing almost 2 million workers, said it wanted to protest a loss of jobs that is concomitant with a leveraged buyout.

The S.E.I.U. had sought to make Thursday a global day of protests against K.K.R. and one of its leaders, Henry R. Kravis. Its rallying cry: Take back the economy from buyout firms that the union says have exploited tax loopholes to amass great wealth at others’ expense.

Reuters reported that the union organized a crowd of more than 150 people outside the buyout firm’s office overlooking Central Park in Manhattan, with some protesters brandishing placards proclaiming “No tax breaks for Buyout CEOs” and “Take back the economy.” They were joined by some city officials, including Manhattan Borough President Scott Stringer and City Council members Eric Gioia and John Liu.

K.K.R. said of the protests in a statement: “We disagree with the SEIU’s distortion of the facts and their street theater approach. We work hard to build better companies that benefit multiple stakeholders - including the millions of pension beneficiaries who receive good returns on our investments.”

On Thursday, some 200 union members converged in Menlo Park, Calif., sparking a minor showdown with authorities and securing a brief meeting with a K.K.R. spokesman, The Palo Alto Daily News reported.

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