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5/18/2005

Teamsters to Closely Monitor Acquisition to Insure Members' Jobs are Protected

Source: Teamsters

Teamsters General President James P. Hoffa said today that the Teamsters Union will closely monitor UPS’ purchase of trucking company Overnite Corporation to make sure members’ jobs are not adversely impacted by the purchase.

“The company has informed the union that Overnite will operate separately from UPS’ package-delivery operations and that the purchase will not affect any Teamster jobs, including feeder work performed by Teamster members,” Hoffa said. “However, we will carefully evaluate the deal and make sure that every Teamster job is protected.”

This morning, UPS’ Vice President for Labor Relations Jim Maloney notified Ken Hall, Director of the Teamsters’ Parcel and Small Package Division, about the proposed acquisition. The deal is expected to close during the third quarter of this year, and will require regulatory approvals and the approval of Overnite's shareholders.

“If this purchase helps UPS to continue to successfully compete in the global marketplace in the long run, it will increase our members’ job security,” Hall said. “We have been assured that this purchase will not affect bargaining unit work, but we will evaluate the purchase and work to ensure that it doesn’t. I will work closely with General President Hoffa and our local union leaders to make sure our members’ interests are protected.”

Overnite workers represented by the Teamsters led an unfair labor practices strike against the company from October 1999 until October 2002.

"Significant numbers of Overnite workers have repeatedly voted in favor of Teamsters representation, but their democratic aspirations were ignored by their company which refused to recognize the Union and bargain in good faith. We are hopeful that UPS' long history as a company with Teamster representation will create new opportunities for Overnite workers to achieve their goals in the workplace," said Hoffa.

1 Comments:

Blogger Doug said...

This does not bode well for the Teamsters. The freight industry is consolidating faster than the religous right at a hog roast. I blogged about this UPS/Overnite deal over at my blog.

9:17 PM  

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