In a statement released Monday, less-than-truckload giant YRC Worldwide said it continues to lay off employees across the company "in response to economic conditions affecting business volumes."
While the company did not provide current staffing numbers, the statement did indicate that the "workforce adjustments" were part of an effort to move towards a "functional organizational structure." This means shifting the focus toward areas that more significantly impact customers and cutting people where duplicate tasks are being performed. The company's cuts are still in process, the statement said.
Recently, Teamsters for YRC's regional operating unit New Penn voted to approve the company's new Job Security Plan, although the New Penn employees initially rejected new labor contract.
The new contract, part of YRC's company-wide effort to restore its financial health, involves a 15 percent pay cut from the full National Master Freight Agreement, an 18-month termination in pension contributions and a reduction in health and welfare contributions. It's expected to save the company $1.2 billion over the remaining 44-month term of the agreement.
During the second quarter, YRC Worldwide lost $309 million, or $5.20 a share, despite restructuring efforts. This compares with the second quarter of 2008, which saw a profit of $35.8 million, or 62 cents per share.
According to a recent filing with the Securities and Exchange Commission, YRC's lenders agreed to amend its asset-backed securitization facility "to reduce the impact of certain negative effects that the integration of Yellow Transportation and Roadway has had on those calculations, due to rating adjustments and the timing of customer payments," the filing said. The company lost $54 million during the second quarter related to the integration. The debt related to combining the two carriers will be reduced or eliminated, the filing said.
While the company did not provide current staffing numbers, the statement did indicate that the "workforce adjustments" were part of an effort to move towards a "functional organizational structure." This means shifting the focus toward areas that more significantly impact customers and cutting people where duplicate tasks are being performed. The company's cuts are still in process, the statement said.
Recently, Teamsters for YRC's regional operating unit New Penn voted to approve the company's new Job Security Plan, although the New Penn employees initially rejected new labor contract.
The new contract, part of YRC's company-wide effort to restore its financial health, involves a 15 percent pay cut from the full National Master Freight Agreement, an 18-month termination in pension contributions and a reduction in health and welfare contributions. It's expected to save the company $1.2 billion over the remaining 44-month term of the agreement.
During the second quarter, YRC Worldwide lost $309 million, or $5.20 a share, despite restructuring efforts. This compares with the second quarter of 2008, which saw a profit of $35.8 million, or 62 cents per share.
According to a recent filing with the Securities and Exchange Commission, YRC's lenders agreed to amend its asset-backed securitization facility "to reduce the impact of certain negative effects that the integration of Yellow Transportation and Roadway has had on those calculations, due to rating adjustments and the timing of customer payments," the filing said. The company lost $54 million during the second quarter related to the integration. The debt related to combining the two carriers will be reduced or eliminated, the filing said.
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