Teamsters Bowing to Reality in the LTL market

In a bulletin to its members on Friday, the Teamsters Union announced that it is starting the process of reopening the contract with ABF Freight System.  ABF is the only nationwide carrier still operating under the National Master Freight Agreement, an agreement that for well over 40 years was negotiated between the Teamsters and less-than-truckload carriers as a group.  In the bulletin, the union stated:

While we have heard ABF’s requests to fully understand its position, we have not entered or begun discussions. However, based on our current understanding of the industry, the company’s financial position, and from concerns raised by many of you, we now believe it is in our best long-term interest to fully engage ABF through formal discussions to determine if and what type of contractual relief may be necessary.


This language reflects the significant challenge that the Teamsters Union has in preparing its members for the changes to come.   The Teamsters have had some experience in this regard, having had to prepare its members for changes in the United Parcel Service contract in regard to the pensions offered UPS employees working in most states east of the great plains not including states on the East Coast from Virginia to Maine, and major changes in wages and benefits needed to keep Yellow Roadway Corporation in business.