WASHINGTON (Pakistan Point News / Sputnik - 01st August, 2023) Yellow Corp., a trucking giant that was once one of the largest transporters of goods in the United States, is ceasing operations and filing for bankruptcy, The Teamsters Union said, citing legal notice they received from the company.
"The Teamsters Union was served legal notice today that Yellow Corp. is ceasing operations and filing for bankruptcy," the trade union said in a statement on Monday.
The trade union described the news as "unfortunate but not surprising."
"Yellow has historically proven that it could not manage itself despite billions of Dollars in worker concessions and hundreds of millions in bailout funding from the Federal government. This is a sad day for workers and the American freight industry," Teamsters General President Sean M. O'Brien was quoted in the statement as saying.
The Teamsters said it was putting infrastructure in place to help affected members get the assistance they need to find good union jobs throughout freight and other industries.
The failure of Yellow Corp. is estimated to put nearly 30,000 jobs at risk, dealing a major blow to the US trucking industry.
The Nashville-based company, which had been in operation for nearly 100 years, had about $1.5 billion in outstanding debt as of March. Of that, $729.2 million was owed to the federal government, Fox reported.
