Teamsters will decide soon on YRC network changes

The International Brotherhood of Teamsters is expected to decide whether to adopt YRC Worldwide Inc.’s sweeping change of operations request by the end of the week after meeting with union leadership in Dallas on Friday.

YRC Freight, a subsidiary of Overland Park-based less-than-truckload carrier YRC Worldwide, is looking to optimize its network by rearranging terminals and distribution centers.

Vic Terranella, president of Kansas City’s Local 41, said he was in Dallas for most of the meeting and said the event was very “diplomatic.”

He said the locals from the cities most affected by the changes — Cincinnati, Memphis and St. Louis — were more “controlled” than he thought they would have been.  Full Story.........

ABF Contract Update

ABF Press Release

ABF and Teamster bargaining teams have agreed to another extension of the contract through the end of May. Our goal is to return ABF to profitability, which will preserve jobs and retirements while still providing the best wage and benefits package in the industry. We must ensure ABF’s long-term viability with a contract that reflects how the rest of the industry operates. We can’t continue with the contract that produced $250 million in losses since 2009.

The initial economic proposals we offered to the Teamsters this week align with that goal. While some compensation adjustments are necessary, it is important for our employees to recognize that our proposal will still provide them the best compensation package in the industry, certainly better than any alternative position they could get at another freight company and significantly better than our largest Teamster competitor, YRC. And we are not asking our union employees to do anything that our non-union employees have not already done.

The Teamsters have recognized publicly that ABF needs relief. We have taken a balanced approach to the negotiations and have specifically avoided proposing the meat-axe wage and benefit cuts that our competitors have been forced to adopt. Our goal has been to achieve the bulk of the cost reductions through changes in work rules and flexibility, but there is more to do.

We value our employees greatly and know from history that their interests are best served by a return to consistent profitability. As we continue to negotiate in the coming weeks, we remind our employees that our goal is to preserve their jobs and retirements, while still providing a wage and benefits package that is the best in the industry.

Another 30-Day Extension for ABF Contract; Teamsters Committee Disappointed With Company’s Proposals

The Teamsters National ABF Negotiating Committee met with ABF this week in Dallas, and the committee is disappointed with the company’s initial economic proposals.

The company’s economic proposal seeks significant reductions in health and welfare and pension benefits as well as deep wage cuts. For example,the company closed the week seeking an across-the board 6.5 percent wage reduction as well as reductions in both the scope and level of health and welfare coverage available to employees.

In terms of health care,the company is seeking: 

1) the elimination of coverage for employees working fewer than 130 hours in a month

2) employee co pays including a $240 per month employee contribution for family coverage 

3)significant increases in out-of-pocket employee costs 

4) overall reduced benefits.

Likewise, the company’s pension proposal reduces and caps the amount of contributions it would make to most pension funds.

“While we’ve made progress on major local and over-the-roadwork rule issues over the last few months,the company’s new proposals this week are very disappointing and place our progress at risk,” said Gordon Sweeton, Teamsters ABF National Negotiating Committee Co-Chairman.  “We’ve put millions of dollars worth of operational relief on the table but that apparently is not enough.”

Teamsters National Freight Division Director Tyson Johnson echoed Sweeton’s concerns.

“The company’s new economic proposals are certainly frustrating,”Johnson said.“Perhaps most disturbing is the company’s meat axe approach to benefits.It certainly raises a question about how the company values its employees.”

The union will be distributing additional information to involved local unions over the next few days and will schedule a conference call in the near future.

Despite the company’s approach,the union continues to be willing to explore creative ideas that will provide protections to the members,maintain standards and at the same time allow the company to be competitive. Because so many items remain open and the company’s recent proposals complicate matters,the union has agreed to extend the current agreement with ABF another 30 days through May 31, 2013

TEAMSTERS VOW TO CONTINUE FIGHT AGAINST DANGEROUS MEXICAN TRUCKS IN WAKE OF COURT DECISION

Reaction to U.S. Circuit Court of Appeals Ruling on Pilot Program

The International Brotherhood of Teamsters is disappointed in the court’s decision upholding the legality of the pilot program to open our borders to unsafe Mexican trucks. The union is reviewing its options with our attorneys.

In the meantime, the Teamsters will continue to fight to uphold safety standards on our highways. Our members who drive for a living should not have to put their lives at risk because dangerous trucks are allowed free use of our roads.

It’s important to note that nothing in the court’s decision says Mexican trucks will be safe. In fact, the court found that Mexico-domiciled trucks don't have to comply with federal safety requirements for vehicles introduced into interstate commerce. The judges concluded those requirements don't apply to "foreign commerce."  We think this conclusion is not only wrong, but contradicts a previous D.C. Circuit opinion about safety regulations for tires: National Association of Motor Bus Owners v. Brinegar.

The court also found that it’s alright for some Mexican medical standards to be less stringent and some to be more stringent than U.S. standards. We argue that it matters that drivers are able to see red, yellow and green, a requirement in the U.S. but not in Mexico.

Finally, we don’t agree with the court that the U.S. Department of Transportation can be trusted to draw statistically valid conclusions from the pilot program about the safety of Mexican trucks. History has shown, and DOT has admitted, that it’s almost certain that very few Mexican carriers will participate in the program.

In August, DOT’s inspector general reported, “We found that the low participation in the pilot program puts FMCSA (Federal Motor Carrier Safety Administration) at risk of not meeting its goals for providing an adequate and representative sample of Mexico–domiciled carriers and inspections necessary to assess the impact on motor carrier safety.”

The inspector general’s conclusion support the Teamsters’ position that the program will fail.

Teamsters meet in Dallas to discuss YRC Freight restructuring

Representatives of the International Brotherhood of Teamsters are meeting in Dallas on Friday to discuss YRC Worldwide Inc.’s proposed change of operations request
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The meeting, which is being attended by union leadership from throughout the country, will determine whether the union that represents more than 25,000 of the Overland Park less-than-truckload carrier’s employees will consent to a plan that will alter the organization of subsidiary YRC Freight’s operational network.

YRC Freight, led by president Jeff Rogers, has said it considers the plan to be the right business move. The union has been hesitant to adopt the plan right away because the proposed change will reduce the company’s total workforce and close terminals nationwide.  Full Story.....

Workers at closing YRC Freight hub took pay cuts, lost vacation time

Local YRC Freight workers are angry about the company’s plans to close the West Chester Twp. freight distribution hub after union employees took pay cuts, had the company’s pension contributions reduced, and gave up vacation time under the impression that these concessions would help keep the company running.

“That’s what kept this company open and then they turn around and take your jobs anyway,” said Ron Reece, 50, of Fairfield, the chief union steward for dock employees and a dock worker loading and unloading freight. He’s worked there 17 years.

“They told us if we didn’t take the cuts, they would shut down,” Reece said. The employees “gave up a lot to try to keep their job.”

YRC Freight, a division of Overland Park, Kan.-based company YRC Worldwide, has plans to close in May three U.S. break bulk terminals including the one in Butler County, according to Teamsters Local 100, the union office that represents 279 YRC Freight members here. There are also plans to close 29 end-line terminals nationwide, Teamsters said.  Full Story......

Holland Professional Driver Named 2013 Michigan Driver of the Year

The Michigan Trucking Association (MTA) has named Holland professional driver Mike Finn as their 2013 Driver of the Year. The honor is extended to just one Michigan driver per year to recognize excellence in safety, work habits, and public and customer relations. The Driver of the Year is selected from the twelve Drivers of the Month. He accepted his award from Ruth Johnson, the Michigan Secretary of State, at the MTA's annual Safety Awards Banquet.

"Drivers like Mike Finn are what make Holland the leader it is today," said Scott Ware, Holland president. "We have great programs and offer customers tremendous value, but our company's success really comes down to the service delivered by drivers like Mike. We are excited to have him receive this honor, and privileged to have a driver of Mike's caliber be a part of Team Holland. We congratulate Mike for his victory and thank him for his continued commitment to customer service and safety."

Mike operates out of the Birch Run, MI service center, making his daily run to/from South Bend, Ind. His route takes him directly through a regional snow belt, making his safety record that much more impressive. He has been driving professionally for 34 years, 26 of those with Holland. In that time, Mike has built a perfect safety record, has never had a lost-time injury, and has accumulated over 3.2 million accident-free miles.

"Mike is a true leader and a great example for all our drivers," said Keith Soyza, Birch Run service center manager. "He takes pride in doing his job right and always tries to give customers more than they might expect. He is an outstanding, dependable employee who always gets the job done."

"I am humbled and proud of this recognition," said Mike Finn. "Customer service and safe work habits are a part of what I do every day."

Mike has been married to his wife Carol for over 32 years and has two sons ages 26 and 23. He is an avid outdoorsman, taking every opportunity to hunt and fish. He served as National Team Advisor for F&S Suzuki motocross racing and volunteered for 12 years for canine search and rescue efforts with ambulance crews and paramedics where safety lessons were daily reinforced.