YRC Worldwide's 50,000 Teamsters employees are being asked to approve an additional 5 percent wage cut as well as an 18-month freeze in the company's pension contributions. This comes on top of a 10 percent wage cut already approved by the YRC workers. Combined, these two givebacks are estimated to save YRCW approximately $900 million annually as the debt-laden company fights for survival.
Another quarter, another round of wage and benefit cuts being proposed to rank-and-file Teamster members at troubled YRC Worldwide, the nation's largest trucking company by revenue.
YRC is asking its 35,000 active workers (plus an additional 15,000 or so laid-off or furloughed workers) to approve a 5 percent wage giveback (on top of an early 10 percent wage cut) that would last through the end of their current contract in 2013.
In addition, YRC wants to stop making payments to Teamsters pension plans for 18 months. That would save the company approximately $45 million a month, rising to $50 million a month in 2010.
Together, the two givebacks are estimated to save YRC Worldwide as much as $900 million a year.
You can pretty much bank on this latest giveback to be approved by Teamsters at YRC companies. Why? They don't have many options. Full Story.......