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Talks open on LTL freight contract

Staff -- Logistics Management, 11/1/2002

Job and pension security will likely take center stage in the National Master Freight Agreement (NMFA) talks now under way between the International Brotherhood of Teamsters and the major unionized less-than-truckload (LTL) carriers. That labor agreement covers an estimated 65,000 Teamsters working for four major carriers: ABF Freight System, Roadway Express, USF Holland and Yellow Transportation. TMI, a division of the Motor Carriers Freight Association (MCFA), is bargaining with the Teamsters union on behalf of those four carriers.

MFCA officers say their goals in the current talks are to eliminate the impediments that prevent the four carriers from competing for new business. In addition, the carriers are seeking to "rationalize" the process of providing health, welfare and pension benefits.

For their part, the Teamsters are trying to protect their members from any erosion in pay, health benefits and pension security.

The two sides started negotiations six months prior to the expiration of the current pact, which ends March 31, 2002. Last time around, the LTL carriers and Teamsters settled early on a new contract. However, nearly a decade ago, in 1994, the Teamsters waged a strike for nearly a month. That strike led to the diversion of a significant portion of LTL freight to non-union carriers.

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