Amidst reports that the trucking company is planning to file for bankruptcy, a Yellow Corp. worker provides an update on the latest information he has as of Wednesday afternoon.
On Sunday, the Teamsters announced that Nashville-headquarted Yellow had averted a looming strike by making an agreement with the Central States Pension Fund that afforded the company a 30 day grace period after the company withheld pension and healthcare payments totaling $50 million on July 15.
“Agreement by the Central States at the urging of the Teamsters gives Yellow 30 days to pay its bills with the understanding the company will do so within the next two weeks,” the Teamsters said.
While the strike was averted, a Yellow worker who has been documenting the struggles of the company’s drivers over the past few weeks shared a message on Wednesday afternoon.
Francky, who works out of the Miami terminal, said as of 2 p.m on Wednesday afternoon that corporate told drivers “no more pickups,” though delivery is allowed.
“I honestly don’t know what that means. I don’t know if that’s a restructuring process at this point, or if this is it,” he says in a video message. “I’m thinking it could be phase 1 of restructuring. They don’t want to do any pickups so it can become One Yellow. On the other hand, it can be the end of Yellow. They can be, I believe they’re getting rid of all the freight that they have in the system and then closing the doors.”
A Yellow company official responded to CDLLife’s request for comment with the following statement:
“Talks with the International Brotherhood of Teamsters are ongoing. As previously stated, in keeping with the fiduciary responsibility of the company’s executives, the company continues to prepare for a range of contingencies.”
Yellow employs around 30,000 workers and is the third largest LTL carrier in the U.S.