Supply Chain News / Risk & Compliance / Ground
Breaking News!

YRCW & IBT Ratify Contract

Teamsters working for YRC Worldwide Inc. (YRCW) have overwhelmingly ratified an extension of its collective bargaining agreement to March 2019. After rejecting a prior company proposal, employees represented by the International Brotherhood of Teamsters (IBT) approved this latest proposal by a vote of 12,267 to 6,314.

“With this MOU extension, we took another significant step toward providing our employees the job security they deserve while providing our prospective lenders and equity investors the path they need for the company to achieve a complete recapitalization and achieve a healthy capital structure,” stated James Welch, CEO of YRCW. “The five-year extension includes important customer service enhancements, cost savings and a profit sharing plan for eligible IBT employees that is dependent on operating performance and our ability to become more competitive in the marketplace," added Welch.

From the IBT’s point of view, the plan will provide a pathway for substantial debt reduction and refinancing initiatives that will permit the company to protect jobs.

“This was a very difficult vote for our members, but in the end they did what they believe will give this company the best chance to stay in business and protect their jobs,” said Jim Hoffa, Teamsters general president and co-chairman of the Teamsters National Freight Industry Negotiating Committee. “Now we will hold management’s feet to the fire to make sure our members’ jobs are protected and redouble our efforts to make sure this company handles its finances responsibly.”

On Jan. 9, a ballot count revealed that an initial company proposal was soundly rejected by over 19,000 Teamster members who voted over several weeks.

“Once again, our members’ sacrifices are providing the lifeline for the company,” said Tyson Johnson, Director of the Teamsters National Freight Division and Co-Chairman of TNFINC. “Now we fully expect the company to successfully conclude the deleveraging and refinancing components of the restructuring to once and for all put this company on a sustainable path."

YRCW was a bit more optimistic about the deal, of which details have been hard to come by.

"We now move ahead with some of the most experienced transportation professionals in the industry and a more competitive wage and benefits package that will enable us to attract new members to our growing team. YRC Freight, Holland, Reddaway and New Penn emerge from this process with a renewed focus on achieving best-in-class performance in order to deliver great operating results for customers, employees and shareholders," concluded Welch.

You must login or register in order to post a comment.

Multimedia

Videos

Image Galleries

Five Wearable Manufacturing Technologies of the Future

Video applications, Employee Monitoring, Field service, Plant monitoring, Improving employee safety

Podcasts

Assurance of Supply: A Top Concern for Manufacturers

Every manufacturer has an assurance of supply problem to some extent due to the complexity of global sourcing. For years, manufacturers were blessed with high margins but margins have grown paper thin. You can’t fill up your distribution centers with excess inventory – not only is there a cost factor but the pace of business and consumer buying trends causes goods to quickly turn obsolete. Assurance of supply provides the speed and agility that is essential to being able to compete in today’s market.

 

Speaker info: Diane Palmquist, VP Manufacturing Industry Solutions

                                         

More Podcasts

World Trade 100 Magazine

wt october 2014

2014 October

Check out the October 2014 edition of World Trade WT100, featuring our cover story: Logistics Drives Site Selection, plus much more!

Table Of Contents Subscribe

Transportation Capacity

As peak season has gotten underway, what is your experience with transportation capacity?
View Results Poll Archive

WT100 STORE

world-class-warehousing.gif
World-Class Warehousing and Material Handling, 1st Edition

Filled with proven operational solutions, it will guide managers as they develop a warehouse master plan, one designed to minimize the effects of supply chain inefficiencies as it improves logistics accuracy and inventory management - and reduces overall warehousing expense.

More Products

Clear Seas Research

Clear Seas ResearchWith access to over one million professionals and more than 60 industry-specific publications,Clear Seas Research offers relevant insights from those who know your industry best. Let us customize a market research solution that exceeds your marketing goals.

STAY CONNECTED

Use our interactive maps to locate service providers across North America.Interactive Map

Logistics Development Partners 

IWLA Members