In 1996, the Teamsters accused Overnite of bad faith bargaining, unlawful pension changes, layoffs and forced overtime. The National Labor Relations Board approved the $1.6 million settlement offer from Overnite in 1998, but the union appealed because it was an "informal" as opposed to a "formal" settlement, giving the NLRB minimal enforcement power. The NLRB denied the appeal, and the Teamsters last week announced they had decided against further appeals.
The settlement also requires the company to post notices promising to cease and desist its unlawful activities and notifying employees of their rights regarding union organization, according to the Teamsters.
The union has targeted Overnite with its organizing efforts for four years, but no contract has been signed. About 25% of Overnite's drivers and terminal workers work at terminals where the union has won representation elections. Nearly a dozen other elections or petitions to force such votes are being contested, reports the Journal of Commerce.