217.370.8505 cory@bletislb.org
(WASHINGTON) – The Teamsters Union is calling on the federal government to reform corporate bankruptcy laws following Yellow Corp.’s filing for Chapter 11 this week. The freight company’s closure leaves 22,000 union members without work despite Teamsters at Yellow giving back more than $5 billion in wages and benefits since 2009.
“Corporate bankruptcy legislation in the U.S. is a joke. The rules are written to favor corporations in this country, not working people. We see this with federal labor laws as well with workers fighting an unequal system for more than 400 days to get a union contract. Workers need real relief and protection,” said Teamsters General President Sean M. O’Brien. “Perennially mismanaged companies like Yellow should not be able to find safe harbor from accountability by simply filing for bankruptcy. Hardworking people routinely get left behind in this process when they should be at the front of the line to be paid and protected for the sacrifices they make to American employers.”
The Teamsters are calling on Congress and the White House to pass and enact new legislation that prioritizes workers throughout the corporate bankruptcy process. Legal safeguards must be established to protect earned pension credits and retirement benefits and ensure payment of severance money owed to workers.