Yellow Corp. on Sunday filed its much anticipated petitions for relief under Chapter 11 bankruptcy protection, blaming the Teamsters union for its demise.
The company will wind down operations and has signed a debtor-in-possession financing facility to provide the liquidity needed to support the business through the bankruptcy.
“It is with profound disappointment that Yellow announces that it is closing after nearly 100 years in business,” said Yellow’s CEO, Darren Hawkins. “Today, it is not common for someone to work at one company for 20, 30, or even 40 years, yet many at Yellow did. For generations, Yellow provided hundreds of thousands of Americans with solid, good-paying jobs and fulfilling careers.”
The company employed about 30,000 people, about 22,000 of whom were Teamsters.
“All workers and employers should take note of our experience with the International Brotherhood of Teamsters (IBT) and worry,” said Hawkins. “We faced nine months of union intransigence, bullying and deliberately destructive tactics. A company has the right to manage its own operations, but as we have experienced, IBT leadership was able to halt our business plan, literally driving our company out of business, despite every effort to work with them.”
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