Allied Carhaulers Take Cut, Others Get Raise

May 31, 2007: Teamster carhaulers at Allied Holdings now make 19¢ less per loaded mile than their brothers and sisters at other carriers. “It’s brutal,” a Detroit driver commented as he thought about what he will lose in the coming year.

Carhaulers get a 2.5 percent raise on the June 1 contract anniversary —50¢ per hour and 2.5¢ per loaded mile (1.25¢ per running mile). Two days earlier, Allied Teamsters got slapped with a 15 percent cut, putting them 17.5 percent below union scale. The contract loaded mile rate now stands at $1.12, but has been cut to $.93 for Allied drivers; the running mile rate is cut to 47¢, and the hourly rate is down to about $18.40.

June 1 also marks the one-year countdown till the contract expiration. This will create a huge challenge, because the IBT leadership signed a three-year cut and freeze with Allied, taking them out of the bargaining cycle.

Worth considering: if Allied returns to profitability, the IBT could demand to reopen the Allied contract, with the aim of reestablishing wage parity that has prevailed in the industry for decades.

Get Advice Join TDU Donate

Recent News

Teamsters Say It's Time to Deliver on the Dream

TDU members are commemorating Martin Luther King Day with a national day of action to demand that UPS respect the day as a paid holiday and by telling employers it's time to deliver on the dream.

Lame-Duck IBT Leadership Appoints Tony Andrews to Replace Aloise

The IBT General Executive Board (GEB) has approved the recommendation by James Hoffa to appoint Tony Andrews as International VP for the Western Region, over the dissent of president-elect Sean O’Brien and nearly half of the GEB members.

View More News Posts