Yellow trucking company closes due to ongoing dispute with Teamsters union.

Major Trucking Company Abruptly Closes, ​Leaving⁤ Employees in Shock

One of the nation’s largest trucking companies has announced its ⁢sudden closure, sending shockwaves through its workforce amidst ​ongoing union negotiations. Yellow, a 99-year-old corporation employing approximately 30,000 people, has‍ permanently⁤ halted operations, as reported by the Wall ‍Street Journal on Sunday. ⁤Of these employees, 22,000 are active members of the Teamsters union.

“Teamsters have been instrumental in keeping this company afloat for ⁢over a decade, making significant wage, pension, and⁣ work-rule concessions,” stated a Teamsters union spokesman. “Yellow failed to manage itself, and it was not the responsibility of the⁢ Teamsters to do it for them.”

The news of⁤ Yellow’s closure,‍ along with its plans to file for bankruptcy, comes after a ‌series of corporate mergers that left the company burdened with substantial financial debt, ‌casting doubt on its future in‌ the industry in recent months.

Prior to its closure, Yellow ​operated around 12,000 trucks, transporting freight across the United States for major clients ‌like Walmart and ⁣Home Depot, as well‍ as smaller businesses. Despite⁣ successfully negotiating union concessions and receiving a government ‌bailout,⁣ the company faced challenges in maintaining consistency among customers and‍ satisfying investors’ ​profit expectations.

Yellow’s closure has created a ‍significant void in the⁢ trucking industry, ‍with⁣ some former customers already shifting their orders to rival companies. As of the market’s⁣ close on Friday, the U.S. Treasury holds ⁢a 30%‍ ownership stake in ‌Yellow, valued at‌ $0.71 per share.

Related Articles:

• Food Stamps: Rhode Island Residents to Receive Up ‌to $1,691 in SNAP Payments in Two Days
• Click Here to Read More from The Washington‍ Examiner

*As an Amazon Associate I earn from qualifying purchases