Laid-off Workers Want Their Severance

David Mazer doesn't think he should be cast as a villain. The former CEO of Mazer Corp. had been scrambling to keep his Dayton education publishing firm alive when his bank abruptly halted negotiations for much-needed financing on Dec. 30. Unable to pay wages and mounting bills at the company his father founded 44 years ago, Mazer immediately laid off employees without any severance or notice. He says he had no choice. Mazer sent e-mails to his 296 employees around 5 p.m., telling them it was their last day and adding that "we are sorry for the short notice, but we chose to fight until the very last minute to keep the doors open."

Scott Bent, a 26-year-old editor, was too stunned to pack up his belongings. But when he came back the next morning, he was prepared to fight. Bent organized a suit seeking class-action status against Mazer Corp., demanding severance, vacation pay, and other benefits. Says Bent: "I still have not received my final paycheck." Mazer responds that his hands are tied about the sudden closure, noting "we're angry, too." A spokeswoman for lender KeyBank, now fighting to seize Mazer Corp.'s assets in court, says the bank "exercised its rights under applicable law" in halting funds.