I had a similar issue on the front with some Vesrah semi-metallic pads and I did a similar thing except I cut a very shallow X across the pads. Squeal went away and I still have the pads installed (though most of the X is now worn away).
Not sure why this worked other than guessing that it helped get some of the brake dust out from between the pad and rotor.
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Mike Giroir
79 XS-1100 Special
Once you un-can a can of worms, the only way to re-can them is with a bigger can.
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