Media reports this afternoon have reported that a Yellow senior vice president informed their staff on Wednesday, July 26th, that their last day would be Friday and that the Yellow less-than-truckload (LTL) carrier will file for bankruptcy on Monday, July 31st, according to three employees who attended a video call.
The sales employees were approved to tell customers of the bankruptcy plans and to take paid time off for the rest of the week.
According to a video of the meeting viewed by industry publication FreightWaves and two employees present, the senior vice president told employees to backtrack on the bankruptcy statement. She said to “correct” any customers that were previously told there would be a bankruptcy and to share the following statement:
When Material Handling Wholesaler asked company officials for comment they responded, “Talks with the International Brotherhood of Teamsters are ongoing. As previously stated, in keeping with the fiduciary responsibility of the company’s executives, the company continues to prepare for a range of contingencies.”
A Yellow representative shared the same statement when FreightWaves reached out for comment to learn more about the message that the trucking company may file for bankruptcy on Monday.
Yellow’s vice president of technology services also told her team the above statement Wednesday afternoon, according to one Yellow employee. That employee said, previously in the day, their boss advised their team that a bankruptcy could happen at any time and to send out resumes.
This story is developing. Check back here for updates.
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