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ABF Freight System Takes Legal Actions

November 3rd, 2010 - 3:05 PM

Early this week, ABF Freight System, Inc.®, the primary transportation service for U-Pack Moving®, announced the filing of legal actions against the International Brotherhood of Teamsters (IBT) and YRC Worldwide.  ABF® filed the lawsuit for violations of the National Master Freight Agreement (NMFA), which is the collective bargaining agreement that covers most unionized trucking employees in the nation.

ABF Files Legal Actions Against Teamsters, YRC Companies

  • ABF SEEKS IMMEDIATE RESOLUTION, FINANCIAL DAMAGES FOR VIOLATIONS OF NATIONAL COLLECTIVE BARGAINING AGREEMENT IN AN AMOUNT ESTIMATED TO BE APPROXIMATELY $750 MILLION
  • ABF DEMANDS LEVEL PLAYING FIELD CONSISTENT WITH INTENT AND PURPOSE OF NMFA

(FORT SMITH, Ark., Nov. 1, 2010) — ABF Freight System, Inc.® (ABF), the largest subsidiary of Arkansas Best Corporation (Nasdaq: ABFS) and a leading less-than-truckload transportation company, has filed legal actions today against the International Brotherhood of Teamsters (IBT) and other parties including several YRC Worldwide subsidiaries (Nasdaq: YRCW) for violation of the National Master Freight Agreement (NMFA), the collective bargaining agreement covering most unionized trucking employees in the country.

ABF today filed a grievance under the NMFA and also an accompanying lawsuit, naming as parties the International Brotherhood of Teamsters; the Teamsters National Freight Industry Negotiating Committee; Teamsters Locals 373 (Fort Smith, AR) and 878 (Little Rock, AR), individually and as representatives of a class of all Teamsters Locals that are parties to the NMFA; YRC Inc.; New Penn Motor Express Inc.; USF Holland Inc.; and Trucking Management, Inc.

"It is ABF's firm belief that the three rounds of concessions granted to YRC – with the latest deal just ratified last week – by the IBT are in violation of the NMFA that has been in effect since April 2008," said Wesley Kemp, President and Chief Executive Officer, ABF Freight System, Inc. "The NMFA applies equally to every company that signed it and quite simply, with these three amendments, it does not do that. We need a long-term, industry-wide solution that is fair to all NMFA parties. We have the obligation to our employees, to our customers and to Arkansas Best shareholders to enforce our rights under the NMFA and compete on the same playing field with our industry peers." 

... For the rest of the press release, go to the ABF Press Room.

This post is intended to point anyone with questions regarding the lawsuit to a forum, www.abflegalaction.com, that was created to address them.

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