State officials have announced settlement of a lawsuit the state brought against Verso that requires the company pay all severance payments due workers at the closed mill in Bucksport. The consent decree in Superior Court requires half of all severance payments be made by Jan. 8, with the remainder after the mill is sold, but no later than March 19.
Maine Attorney General Janet Mills says if the payments are not made on time, the company faces stiff penalties of at least $1,000 per worker.
"We think it is a fairly significant incentive for the mill to make good on its statutory, legal and moral commitment to these employees," Mills says.
Mills says failure to meet the terms of the decree would cost Verso damages under the law that are in excess of the minimum per worker penalty. She says the agreement also requires Verso to pay accrued vacation time to workers for both 2014 and 2015.
