Teamsters at ABF reject wage deal

June 1, 2010: Teamsters Union members at less-than-truckload (LTL) carrier ABF Freight System have rejected a proposed agreement calling for a 15-percent wage cut over the next three years, leaving ABF at a significant cost disadvantage to rival YRC Worldwide Inc. and forcing union leaders and management who had negotiated the deal to scramble for alternatives to keep ABF's cost structure competitive with the industry.

The agreement went down to defeat by a 56-44 percent margin, with 3,764 voting to reject the pact and 2,936 voting in favor of it, according to results released late May 24. About 80 percent of ABF's approximately 7,000 unionized employees cast ballots.

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