CF Could Face Lawsuits After Abrupt Closure
The sudden Labor Day closing of LTL giant Consolidated Freightways has some people talking about lawsuits for violation of a law that requires advance notice to workers of mass layoffs or closings
The sudden Labor Day closing of LTL giant Consolidated Freightways has some people talking about lawsuits for violation of a law that requires advance notice to workers of mass layoffs or closings.
Vancouver, Wash.-based CF closed its doors Monday and announced it would file for Chapter 11 bankruptcy, putting about 15,500 employees out of work nationwide.
At issue is the Worker Adjustment and Retraining Notification Act, known as WARN, which requires 60 days’ notice of large layoffs or closings. There are exceptions, such as natural disasters and unforeseen business circumstances.
The Teamsters National Freight-Industry Negotiating Committee has retained attorney Fred Perillo as bankruptcy counsel. Perillo will help the union determine what litigation needs to be filed against CF, its parent company, or affiliated companies.
In addition to a possible violation of the WARN Act, Teamsters officials will look into whether the 1996 spin-off of the union CF from the non-union CNF (parent of Con-Way) were planned to shift business to the nonunion company. Bret Caldwell, Teamsters spokesman, told the Detroit Free Press, “We’re going to be looking at all aspects of relationships of the past several years to determine what type of legal action we’ll be taking to protect our members.”
In addition, the attorney general of Wisconsin has filed a lien against CF for allegedly violating the state’s plant closing law and failing to pay wages due to affected employees.
Kevin Cicak, president of Teamsters Local 430 in York, Pa., told the local paper that it’s clear company officials knew of financial problems. About two months ago, he said, the company put into motion efforts to seek a 12.5-percent wage reduction from employees – an action the company backed out of three weeks before the closing, saying it would concentrate on talks with lenders. Those talks were not fruitful.
This is not the first time the Teamsters union has gone after a company for closing up without notification. About two years ago, the Teamsters won a $18.9 million settlement with Preston Trucking Co. Preston, a former subsidiary of Yellow Freight, closed suddenly in July 1999, leaving more than 4,750 Teamsters without jobs.
More Drivers
Short Takes: Inside K&B’s Truck Safety Tech
Listen to learn how K&B Transportation uses cellphone-blocking technology, speed management systems, weather geofencing, bridge avoidance tools, and more to improve driver safety.
Read More →
Nussbaum Expands Driver Compensation with Pay Raises, Profit Sharing
Nussbaum Transportation said its latest compensation package could push first-year driver earnings above $90,000 in key hiring markets.
Read More →Listen: Inside Modern Fleet Safety: AI, Cameras & Speed Control at K&B Transportation
Fleet safety is evolving fast—and technology is at the center of it. Learn how a former commercial vehicle enforcement officer turned director of safety at K&B Transportation is embracing real-world safety technology.
Read More →
Maverick Announces 2026 Driver Pay Raises
New raises for Maverick Transportation drivers will take effect on May 31, 2026.
Read More →
Illinois Trucker Indicted for Nearly $22,000 in Ohio Turnpike Toll Evasion
Authorities say an Illinois trucker avoided paying tolls for two years, and now faces felony charges, possible prison time, and forfeiture of his Freightliner tractor.
Read More →
New Trojan Driver Cargo Theft Scam Bypasses Carrier Vetting Systems
Cargo theft rings plant operatives as drivers inside legitimate, fully vetted carriers, then execute coordinated thefts that look like a traditional straight theft from the outside.
Read More →
WIM, Trucker Path Name Top 3 Women-Friendly Truck Stops
ATA’s Women In Motion Council and Trucker Path highlight three truck stops that meet all seven safety-focused criteria and rank highest among female drivers.
Read More →
FMCSA Extends Paper Medical Card Exemption … Again
Five states still aren't ready to accept commercial driver medical exam information directly from the medical examiner's registry.
Read More →
Mack Launches Digital Driver Guide for Chassis-Specific Truck Info
Mack’s new, virtual owner’s manual delivers VIN-based, on-demand guidance for vehicle systems via web, app, and soon in-cab displays.
Read More →
Western Star Showcases Truckers' Pride and Skill
Western Star is expanding its Star Nation Experience in 2026, adding new competitions and dealer participation to highlight operator skills and promote careers in trucking.
Read More →
