Labor Groups Object to Bankruptcy Bill

U.S. labor groups are lobbying lawmakers against an overhaul of bankruptcy law, warning that a provision originally aimed at stopping abortion protesters from avoiding court fines through bankruptcy also would apply to picketing by unions.

The AFL-CIO wrote members of Congress saying it also continued to object to the overall thrust of the bill, which would make it harder for individuals to escape their debts through bankruptcy.

U.S. banks, retailers, credit card companies and auto lenders support the bankruptcy overhaul, arguing people who can repay some of their debts exploit the system.