“As previously stated, and in keeping with fiduciary responsibility of the company’s executives, the company continues to prepare for a range of contingencies,” Yellow said in a statement regarding its future. (Yellow Corp.)
Less-than-truckload carrier Yellow Corp. said it continues to negotiate with union leaders as the future of the company, which has been in operation for nearly 100 years, may be in jeopardy.
“Yellow’s talks with the [International Brotherhood of Teamsters] are ongoing,” the carrier said in a statement provided to Transport Topics. “As previously stated, and in keeping with fiduciary responsibility of the company’s executives, the company continues to prepare for a range of contingencies.”
Earlier this week, an agreement between the Teamsters and the Central States Pension Fund helped avert a threatened strike against the company by the union. The union announced on July 23 that Central States would continue to provide health care benefits to the unionized drivers and their families. That deal gave Yellow 30 days to reimburse the health and welfare fund, per the union.
How effective have third-party services proved to be for fleets? Let’s find out with Michael Precia of Fleetworthy Solutions and Dan Rutherford with Summit Virtual CFO by Anders. Tune in above or by going to RoadSigns.ttnews.com.
Central States serves as the administrator for Yellow’s multimillion-dollar health care and pension plans for its unionized employees.
On July 17, the Central States Board of Trustees voted to cease pension accruals for Yellow employees and suspend health care benefits for the parent company and two additional Yellow companies, Holland and YRC Freight, noting Yellow had failed to meet its financial obligations.
On July 21, Federal District Court Senior Judge Julie Robinson ruled against Yellow as it sought an injunction against the Teamsters from striking.
Yellow has been in the midst of a yearlong corporate reorganization and consolidation of some of its terminals and has been using a loan from the federal government to revamp its operations.
Yellow Corp. ranks No. 13 on the Transport Topics Top 100 list of the largest for-hire carriers in North America and No. 3 on the LTL list, trailing only FedEx Freight and Old Dominion Freight Line.
