Trucking Firm Yellow Ceases Operations, Risking 30,000 Jobs: Report

Yellow Corporation YELL reportedly terminated its operations after grappling with multiple issues, including mergers that left it burdened with debt and a conundrum with the Teamsters Union.

The shutdown endangers the employment of nearly 30,000 people, the WSJ reported. 

The Teamsters Union said it was served legal notice today that Yellow Corp. is ceasing operations and filing for bankruptcy.

Also Read: TFI International To See Soaring Volume Stemming From Potential Restructuring Of Yellow Corp: Analyst

Last Friday, YELL reportedly laid off multiple nonunion employees after they stopped taking in new customer shipments. 

A shutdown would also bring new scrutiny to the Trump administration’s decision to give the company a $700 million COVID rescue loan in 2020, the report added. 

Also Read: TFI International To See Soaring Volume Stemming From Potential Restructuring Of Yellow Corp: Analyst

Price Action: YELL shares are trading higher by 23% to $0.87 premarket on the last check Monday.