XPO Rebuffs Teamsters Effort to Press US, Global Union Issues
The Teamsters and European labor representatives attempted to force a meeting with XPO Logistics CEO Bradley Jacobs to discuss union issues but were rebuffed by the company at its annual meeting.
The union claimed a series of worker-related issues have materialized at XPO, which in less than five years has grown from a small Michigan express company into a $15 billion global operator. They include allegations of worker misclassification, U.S. subcontracting and layoffs in Europe that contradicted XPO’s promise to not reduce staff until December of this year at the former Norbert Dentressangle, which XPO bought last year.
“We wanted to bring attention to shareholders the concerns that the unions and the workers have about this company,” said Vice President Fred Potter, who heads the Teamsters port division. The union has been part of efforts to convert drayage drivers from independent contractors to employees to make them eligible for union membership.
“This is obviously a publicity stunt by the Teamsters,” a statement from the company said. “We have excellent relationships with our employees and the owner-operators who serve our customers. Our drivers and the owner-operators we do business with are aware that we pay them more than their union counterparts in other companies. The Teamsters will have to look elsewhere for a way to solve their declining membership problem.”
U.S., European Workers Hold Rally Outside @XPOLogistics $XPO Shareholder Meeting https://t.co/g9PeSr5rSq #WeAreXPO pic.twitter.com/1Ri1sPcYGE — Teamsters (@Teamsters) May 11, 2016
During XPO’s series of acquisitions, the company has acquired three businesses where union issues have surfaced.
Port trucking, inherited when the company acquired Pacer International, has been the focus of union strikes and state and federal wage disputes linked to the organizing effort. The union in a statement claimed more than $200 million in wages are at issue for port drivers. In addition, Potter said the company has not won any legal and regulatory cases through either a judgment against XPO or its decision to settle disputes. XPO didn’t immediately respond to requests for comment on that allegation.
In the less-than-truckload business that was the largest union of Con-way Inc., the union has been trying for several years to organize drivers on a terminal-by-terminal basis. The company has won all but three elections at the LTL business. XPO, which has about 300 LTL terminals, has not reached any contract agreements with workers at those three facilities.
In Europe, trade unions have staged a series of rolling strikes, asserting that the company broke its promise not to cut staffing for 18 months after buying Norbert in June 2015. XPO also didn’t immediately respond to requests for comment on that assertion.
Union speakers on a conference call made it clear their effort will continue.
Potter said more strikes are planned at the port trucking business, without giving details.
“[Port drivers] are labeled as independent contractors, but there is nothing independent about them," he said.
Ross Edwin Mason, a British XPO driver, said the action at the XPO meeting was “day one of the fight to deal with us as a global union. We will not be divided.”
XPO ranks No. 14 on the Transport Topics Top 100 list of the largest U.S. and Canadian for-hire carriers.
