Wednesday, April 28, 2010

YRC returns president title to CEO

YRC Worldwide Inc. has made changes among top leadership of the company, returning the title of president to company Chairman and CEO Bill Zollars and appointing a top executive to focus on customer care.

Former COO and President Tim Wicks resigned April 12 to take a job with his former employer, United Healthcare. Zollars had given him the president title in October.

The company appointed Michael Naatz as president of YRC’s customer care division and chief customer officer, YRC said in a Wednesday filing with the Securities and Exchange Commission. Naatz will head up the company’s sales and sales support functions, the filing said.

He previously was YRC’s chief information and service officer and an executive vice president. His responsibilities included overseeing YRC’s customer care, revenue management, cargo claims administration, freight bill entry and technology teams.

Naatz joined YRC in May 2005, when the company bought USF Corp. He had been chief information officer and senior vice president at USF.

The Overland Park, Kan.-based trucking giant has been pursuing a turnaround following the effects of a drawn-out freight recession. Last year, YRC had revenue of $5.3 billion, down 41 percent from the prior year.

Friday, April 23, 2010

Arkansas Best Corporation Announces First Quarter 2010 Results

Arkansas Best Corporation today announced a first quarter 2010 net loss of $21.4 million, or $0.85 per share, compared to a net loss of $18.2 million, or $0.73 per share in the first quarter of 2009.

"Despite some signs of improvement in our nation's economy resulting in the stabilization of our business, Arkansas Best's first quarter results illustrate the ongoing effects of low freight levels combined with a weak pricing environment. We have continued our focus on long-term profitable growth and the customer-service-level commitments it takes to accomplish this objective," said Judy R. McReynolds, Arkansas Best President and Chief Executive Officer. "We are encouraged by the first quarter increases in ABF's tonnage versus very low totals last year. However, in order for ABF's operating results to improve in a meaningful way, we need further increases in freight demand, strong improvements in pricing and the positive financial impact of wage concessions." Full report.......

Thursday, April 22, 2010

Teamsters Praise Legislation To Stop Worker Misclassification

Teamsters General President Jim Hoffa praised legislation introduced today that would make worker misclassification a violation of federal labor laws, increasing penalties for companies found to improperly classify workers as independent contractors.

"Workers misclassified as independent contractors receive no protection from workplace health and safety laws, no legal rights to equal opportunity in the workplace, no rights to job-protected family and medical leave," Hoffa said. "Their rights to form a union are also denied. These employers are clearly violating federal labor laws and ripping off the American taxpayer. They must be held accountable."

The legislation is sponsored by Sen. Sherrod Brown, D-Ohio, and by Rep. Lynn Woolsey, D-Calif.

By misclassifying workers as independent contractors, companies avoid withholding income taxes and paying Social Security and Medicare taxes. Each year, more than $4.7 billion in federal income and employment tax revenue is lost due to misclassification, and billions more are lost at the state level. Companies that misclassify workers save up to an estimated 30 percent on payroll costs, gaining an unfair advantage over their more responsible competitors.

Hoffa also praised other efforts in the Obama administration to crack down on misclassification, an increasingly troubling practice by companies to avoid their fair share at a time when local, state and federal governments are cutting services and jobs due to dwindling tax revenue.

Rep. Jim McDermott, D-Wash., and Sen. John Kerry, D-Mass., have introduced legislation to close the tax loopholes that let businesses off the hook for misclassification. Also, the IRS is undertaking a three-year effort to audit employers to identify cases of misclassification. The Obama administration has proposed a new Labor Department initiative to step up enforcement and help states that are doing a good job of going after violators. Rep. Jerrold Nadler, D-N.Y., will soon be proposing a measure to address the widespread misclassification of port truck drivers.

Last week, the Nebraska Legislature passed a bill making it illegal for employers to improperly classify workers as independent contractors, and many other states are undertaking efforts to crack down on the practice.

Tuesday, April 20, 2010

FREIGHT LEADERS OVERWHELMINGLY ENDORSE ECONOMIC RELIEF PLAN

On Monday, April 19, leaders of freight local unions from across the country overwhelmingly endorsed an economic relief plan for ABF Freight System, Inc. that will protect thousands of Teamster members’ jobs and their health, welfare and pension benefits.

“Local union leaders understand that we need to take a bold step to help ABF get through this terrible economy and that we must act now to prevent far worse problems down the road,” said Tyson Johnson, Director of the Teamsters National Freight Division. “No one wants to see wage cuts, but this agreement protects our ABF members’ jobs and their health, welfare and pension benefits.” Full Story........

Memorandum of Understanding on the ABF Freight System, Inc. Wage Reduction - Job Security Plan

Summary of the Proposed ABF Economic Relief Plan

Questions and Answers for ABF Members

Sunday, April 18, 2010

TEAMSTERS, ABF REACH TENTATIVE AGREEMENT ON PLAN TO PROTECT MEMBERS’ JOBS, BENEFITS

The Teamsters National Freight Industry Negotiating Committee (TNFINC) and ABF management reached a tentative agreement today on a plan to provide economic relief to ABF that will protect thousands of Teamster jobs and protect workers' health, welfare and pension benefits.

Details of the plan will be presented Monday, April 19 to leaders of local unions that represent ABF members. The leaders will be asked to endorse the plan at the meeting in Chicago. If leaders endorse the plan, members will then have the opportunity to vote on whether to approve the plan.

The April 19 meeting will take place from 11 a.m. to 1 p.m. Central time. If the leaders endorse the plan, information about the plan will be posted on the Teamster web site, www.teamster.org.

Wednesday, April 14, 2010

Teamsters Praise Passage of Bill to Stop Worker Misclassification

The Teamsters praised the passage of a Nebraska state bill making it illegal for employers to improperly classify workers as independent contractors, an egregious practice that has cost the state millions in tax revenue.

Gov. Dave Heineman signed Legislative Bill 563 into law on Tuesday. Jim Sheard, Secretary-Treasurer of Local 554 in Omaha, said the Teamsters fought for nearly two years to get this bill passed.

"Irresponsible employers who misclassify their workers put legitimate employers at a definite disadvantage," Sheard said. "They also cost the state between $9 million to $18 million a year in additional tax revenue. We fought hard to make sure the bill covered the transportation and construction industries."

Employers who misclassify workers can be fined up to $5,000 per misclassified worker by the state. State lawmakers overwhelmingly voted down a proposal that would have exempted the package delivery industry.

Employee misclassification is an issue being waged in statehouses across the country and on the federal level. By misclassifying workers as independent contractors, companies avoid paying withholding income taxes and paying Social Security and Medicare taxes.

Each year, more than $4.7 billion in federal income and employment tax revenue is lost due to misclassification and billions more are lost at the state level.

Companies that misclassify their workers save up to an estimated 30 percent on payroll costs, gaining an unfair advantage over their more responsible competitors. Irresponsible companies meanwhile are subsidized by law-abiding employers in the form of health insurance premiums.

Workers misclassified as independent contractors receive no protection from workplace health and safety laws, no legal rights to equal opportunity in the workplace, no rights to job-protected family and medical leave.

UPS Freight Zone Drivers in Six States Are Now Teamsters

Teamsters Now Represent Nearly All Eligible UPS Freight Workers

A group of UPS Freight workers spanning six states have joined the nearly 12,600 drivers and dockworkers across the country covered by a Teamster contract. UPS Freight drivers voted unanimously to ratify their first-ever contract as Teamsters.

With this vote, nearly all UPS Freight drivers and dockworkers enjoy the benefits and voice on the job provided by a Teamster contract.

The latest workers, called "zone drivers," service hard-to-reach areas outside of UPS Freight terminals. Their vote this month followed closely a group of drivers in LaCrosse, Wis., who in March also unanimously voted to ratify a Teamster contract with UPS Freight and became members of Local 695.

"We are pleased to have this group of drivers as Teamsters," said Ken Hall, Package Division Director and International Vice President. "These drivers provide an invaluable service to the company and they deserve to reap the benefits of a Teamster contract."

The new UPS Freight Teamsters are members of Local 696 in Kansas; Local 486 in Michigan; Local 346 in Minnesota; Local 833 in Missouri; Local 662 in Wisconsin; and Local 657 in Texas.

"They are really happy to be Teamsters now," said Frank Perkins, President of Local 657. "We had talked to them several months ago and they understood they would have to wait to become Teamsters but they hung in there. They are going to gain from the contract and they are looking forward to those improvements."

The Teamsters kicked off the organizing campaign in 2006 when the union organized UPS Freight workers in Indianapolis and negotiated a contract with the company that was ratified by a 107-1 vote in October 2007.

The Teamsters won a majority sign-up agreement with UPS in December 2007, and in January 2008, launched a nationwide campaign. By November 2008, the Teamsters represented more than 12,400 UPS Freight workers in 42 states.