This story was updated Friday, March 24 at 7 a.m. CT with additional comment from Yellow.
The Teamsters union Thursday rejected Yellow's (CCJ Top 250, No. 6) proposal to consolidate its YRC Freight, New Penn and Holland linehaul network and terminal operations as part of the Overland Park, Kansas-based carrier's efforts to create a "Super Regional Carrier."
International Brotherhood of Teamsters (IBT) General President Sean O'Brien said he and General Secretary-Treasurer Fred Zuckerman have traveled the country meeting with the union's freight members, "who repeatedly tell us the company's proposed changes to the contract are unacceptable."
Yellow is in the second phase of its One Yellow strategy to improve efficiency, speed, choice and value for its customers. Phases 2 and 3 of One Yellow, which include aligning operations in the Northeast, Midwest, Southeast and Central regions, are set to take place this year. Phase 1, integrating the linehaul networks of YRC Freight and Reddaway in the Western region to support both regional and long-haul services, was completed last year.
"Our One Yellow modernization effort is vital to the jobs of more than 22,000 employees, the success of our nearly 100-year-old company, our shareholders and the American taxpayer, " Yellow said via statement emailed to CCJ. "In 2022, we secured the IBT’s approval to implement One Yellow in the Western United States. Thanks to that agreement, today, One Yellow is succeeding in the West."
The union appears dug in with little flexibility in keeping One Yellow's rollout at bay under the proposed terms and cancelled a Change of Operations Committee meeting with Yellow that was planned for next month – "an unfortunate attempt to halt Yellow’s modernization efforts, known as One Yellow, which has been in the works and well-publicized since 2019," Yellow's statement reads.
O'Brien said Yellow's proposal sought operational changes without a vote of the Teamsters' freight membership, "a clear violation of Article XII of the union's constitution as the company's request would change the terms of the current collective bargaining agreement," he said. "Yellow doesn't want to put this to a vote because they know the Teamsters Constitution and they know our members will unanimously reject their proposal. This company doesn't get to run around and ignore workers' rights. We're not playing games."
