99-year old trucking company Yellow shuts down, putting 30,000 out of work

[mountaineer]

99-year old trucking company Yellow shuts down, putting 30,000 out of work
By Chris Isidore, CNN
Updated 8:18 AM EDT, Mon July 31, 2023

Yellow Corp., a 99-year old trucking company that was once a dominant player in its field, halted operations Sunday and will lay off all 30,000 of its workers.

The unionized company has been in a battle with the Teamsters union, which represents about 22,000 drivers and dock workers at the company. Just a week ago the union canceled a threatened strike that had been prompted by the company failing to contribute to its pension and health insurance plans. The union granted the company an extra month to make the required payments.

But by midweek last week, the company had stopped picking up freight from its customers and was making deliveries only of freight already in its system, according to both the union and Satish Jindel, a trucking industry consultant.  ...

 There were reports last week that a bankruptcy filing would come by July 31, although the company said last week only that it continued to be in talks with the Teamsters and that it was considering all of its options. The Teamsters said Monday the company is filing for bankruptcy.

The closing is bad news not only for its employees and its customers, who generally used Yellow because it offered some of the cheapest rates in the trucking sector, but also for US taxpayers. The company received a $700 million loan from the federal government in 2020, a loan that resulted in taxpayers holding 30% of its outstanding stock. And the company still owed the Treasury department more than $700 million according to its most recently quarterly report, nearly half of the long-term debt on its books.  ...

[mountaineer]

4nt1p4tt3rn 🏴‍☠ Knifehandjob
@4nt1p4tt3rn
As predicted by a few mutuals on here, Yellow (the LTL trucking co) shut down permanently yesterday. One of the nation's largest LTL (less-than-truckload) shipping co's.  If you require medical consumables, particularly perishables, it might be wise to acquire extra. There will be shortages. They will be much worse if UPS also goes on strike as expected on Tuesday.

UPS and the unions have a tentative deal, which would avert a strike, but nothing's final yet.

[Kamaji]

Wow.

[Idiot]

99-year old trucking company Yellow shuts down, putting 30,000 out of work
By Chris Isidore, CNN
Updated 8:18 AM EDT, Mon July 31, 2023

We used Yellow all of the time back when I worked unloading trucks in high school/college.  Hard to believe they went under.

[Bigun]

We used Yellow all of the time back when I worked unloading trucks in high school/college.  Hard to believe they went under.

Those drivers had no idea that their tractors had a reverse gear.

[Kamaji]

Those drivers had no idea that their tractors had a reverse gear.

[GtHawk]

Another success of Biden's booming economy. KJP and democrat media arm blaming Trump only in 3...2...1 
Does this get added to the long list of businesses sent to the crap heap because of shutting down the nation for Covid or was this going to happen anyway?

[mountaineer]

Yep. Bidenomics. Woo hoo. 

[Smokin Joe]

I am reminded of the Hostess Bakery 'negotiations'.



Watch some Chinese front company move in...

[Cyber Liberty]

We used Yellow all of the time back when I worked unloading trucks in high school/college.  Hard to believe they went under.

Yellow was a big company in my home town when I was a kid, but probably not the largest.