8 Senators Ask U.S. Treasury to Consider ‘Going Concern’ Bid to … – International Brotherhood of Teamsters

Eight U.S. senators, including Sherrod Brown (D-OH), Bernie Sanders (I-VT), and Roger Marshall (R-KS), have formally requested the Department of the Treasury consider a potential going concern bid to save good-paying, union trucking jobs as Yellow Corp.s bankruptcy proceedings continue.

Sen. Marshall issued a letter to Treasury Secretary Janet Yellen on Oct. 19 about interested parties attempting to make a going concern bid before the U.S. Bankruptcy Court of Delaware. To aid the effort, the Kansas senator asked the Treasury to work with the U.S. Justice Department to extend the maturity date of loans that Yellow obtained under the CARES Act a move that would secure financing for the bid and help retain thousands of trucking jobs that may otherwise remain lost in the wake of Yellows collapse.

Through no fault of their own, 30,000 employees have been left without a job after [Yellows] utter mismanagement of the company. This comes even after Yellows union workers provided concessions with their own money and benefits to help the company reach financial stability, Sen. Marshall wrote to Yellen. It would be a disservice to these workers to not allow the opportunity for a going concern bid. I ask Treasury to seek the authority to change the terms of the loan provided to Yellow. It will not only benefit the economy, but also protect thousands of workers across the nation.

Yellow Corp. filed for Chapter 11 bankruptcy protection on Aug. 6, resulting in job losses for 22,000 hardworking Teamsters. With bankruptcy proceedings underway and the threat of liquidation of Yellows freight and real estate assets, the Teamsters are fighting for significant corporate bankruptcy reform in the U.S. to ensure workers are first in line for financial restitution. Teamsters at Yellow were the companys biggest creditors, voluntarily sacrificing more than $5 billion in wage and pension concessions to keep Yellow afloat for the last 20 years.

In addition to Sen. Marshall, seven other senators issued a joint letter to the U.S. Treasury on Oct. 6. Alongside Sen. Brown and Sen. Sanders, the letter was signed by Sen. Tammy Baldwin (D-WI), Sen. Robert P. Casey Jr. (D-PA), Sen. Amy Klobuchar (D-MN), Sen. John Fetterman (D-PA), and Sen. Tina Smith (D-MN).

It is our understanding that a [going concern] bid would expediate payments to creditors, including to taxpayers, while preserving jobs, the senators wrote to the Treasury. A going concern bid has the potential to make [working] families whole again as new ownership will have the incentive to build a sustainable future for Yellows workforce and shareholders. We urge you to do what is possible to reimburse taxpayers while potentially preserving tens of thousands of American jobs.

The entire Teamsters Union is keeping a close eye on the proceedings in Delaware as the Yellow bankruptcy carries on, and we are extremely grateful for the support of these U.S. senators standing up for American workers seeking relief, said Teamsters General President Sean M. OBrien. With the assistance of the U.S. Treasury and the Justice Department, if a going concern bid is presented during this bankruptcy process, the Teamsters will do everything in our power to rebuild as many strong union jobs as possible in the less-than-truckload space that Yellow abandoned with its corporate recklessness. The battle for high-paying careers in American trucking is far from over.

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8 Senators Ask U.S. Treasury to Consider 'Going Concern' Bid to ... - International Brotherhood of Teamsters