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Teamster Power at XPO
Since XPO drivers in Aurora, Ill. formed their union as Teamsters, Jose Ramirez said he and his co-workers are getting treated with respect, something that has previously been missing in their work lives.
“The most significant difference since our win at Aurora has been the new level of respect for drivers, this was something we didn’t have before,” said Ramirez, who has worked at XPO and its predecessor, Con-way Freight, for about eight years. “Before, there was a lot of disrespect, aggression and even discrimination. We no longer fear that because we have legal representation. We are protected through our union.”
The company has fired managers who mistreated workers, another victory for workers, Ramirez said.
“Managers responsible for harassment of any type have been terminated,” Ramirez said. “Now we look forward to negotiating better wages, benefits and working conditions.”
Ramirez and his co-workers at XPO in Aurora, near Chicago, voted to join Local 179 in mid-October. There are 74 workers in the bargaining unit. On the same day, 127 XPO warehouse workers in North Haven, Conn. also chose Teamster representation, voting to join Local 443. Then, less than a month later, 52 drivers at XPO in King of Prussia, Pa., near Philadelphia, voted to join Local 384. More organizing campaigns are under way.
“The campaigns at XPO Logistics continue to gain momentum as more and more workers stand together, strong and united, to improve their lives,” said Jim Hoffa, Teamsters General President. “We stand with them from coast to coast to help them form their union as Teamsters. It is great to see worker power growing at this company.”
“The freight workers at XPO in Aurora and King of Prussia sent the company a message that ‘enough is enough,’” said Ernie Soehl, Director of the Teamsters Freight Division. “The workers are tired of being mistreated and not having a say in their work lives.”
“The XPO warehouse workers in North Haven no longer want to tolerate the poor treatment and low wages,” said Steve Vairma, Director of the Teamsters Warehouse Division. “I look forward to helping XPO workers at other warehouses who are demanding drastic changes in the way XPO treats its valuable employees.”
In addition to the freight and warehouse organizing victories, XPO port drivers are fighting the company scheme of misclassifying them as “independent contractors,” which illegally pushes the cost of doing business—fuel, insurance, maintenance, parking, lease payments and more—onto the backs of drivers.
The three organizing victories in less than a month helped propel the nationwide campaign where XPO workers are standing together and forming their union to win fairness and respect on the job. Bargaining with XPO is also taking place in Miami and legal battles are being fought in Laredo, Texas, and California, where earlier organizing victories took place.
‘My Voice Matters’
In yet another slap in the face to workers at XPO, the company recently announced that workers will pay more for health insurance while reducing coverage.
“This is all about us workers standing up to this corporate bully and demanding fair wages, affordable health insurance and an end to the mistreatment,” said Ted Furman, a warehouse employee in North Haven, Conn. “XPO’s CEO, Bradley Jacobs, had the audacity to come to our warehouse in a chauffeur-driven Cadillac and tell us we don’t need a union, and then he returned a couple days before the election and even on election day. Well, Mr. Jacobs, we are now proud Teamster members!”
Sergio Hruszko, an inspector at the XPO warehouse in North Haven, said the victory has lifted workers and given them a new, powerful energy.
“Being a Teamster means being a person, it means that my voice matters and those in power can never take it away,” he said. “Being a Teamster means fighting for those who may not know how to fight for themselves. But being a Teamster also means that we can hold those in power accountable. Respect is a two-way street and now our hard work will be recognized.”
XPO Logistics, based in Connecticut, is one of the world’s 10 largest providers of transportation and logistics services, serving more than 50,000 customers with more than 88,000 employees at 1,440 locations in 34 countries. It is the second-largest contract logistics provider in the world, and the second-largest less-than-truckload carrier in North America.
CEO and Chairman Bradley Jacobs has kept workers in the dark about changes since he bought Con-way, including past and future terminal closures, and Jacobs reneged on his promise to not sell its Truckload Division. Workers wonder if their jobs are in jeopardy in light of that sale and also since Jacobs has a track record of gutting companies and then selling for a huge profit. He has done this in the waste, oil and equipment-rental industries.
The XPO workers’ struggle in the United States is shared by XPO workers worldwide. In fact, unions representing tens of thousands of XPO workers in Europe sent numerous messages of support to the organizing workers in the United States.
“Our international union family is strong, we stand together and together we will change our world bit by bit,” wrote K.Y. Reus from the FNV Transport and Logistiek Union in the Netherlands. “Together we will raise wages, create better labor conditions and all the other things we need to change to improve life for the XPO workers.”
In 2015, XPO purchased Con-way, Inc. for $3 billion, and the former Con-way drivers have complained about an increasing level of mistreatment, stagnant wages, uncertainty and benefit-grabs by the company.
Time For Change
“Our victory is important to all of us because we have seen how XPO operates since taking over Con-way Freight,” said Cliff Phillips, a driver in Aurora. “XPO has treated us unfairly. But now we will fight back as Teamsters!”
“This is a great day for us and we urge our co-workers across the country to stand bravely to win dignity, respect and fairness by banding together,” said Bill Strouse, a road driver and 23-year employee in King of Prussia. “We need to have a voice on the job so that management will listen to our concerns.”
Nilaja Abraham, a quality control inspector at the North Haven warehouse, said she feels great about being a Teamster, knowing someone is watching out for her best interests.
“If you have a payroll problem or if you need to have your rights defended, there is someone to help you,” said Abraham, an 11-year employee.
Abraham said many of the warehouse employees are immigrants who are not familiar with workers’ rights in the United States. So a big benefit of the organizing campaign is that workers got educated about their rights, she said.
“Many of us learned what rights we do have,” she said. “We are underpaid and emotionally stressed, so knowing our rights is very helpful.
“For example, we learned that we can have a union representative present when we are called into a manager’s office,” she said, referring to the Weingarten Rights, which allow employees the right to union representation at investigatory interviews.
“We don’t have to go by ourselves, we are not alone anymore,” she said. “We also will gain more benefits and rights when we negotiate a contract.”
Ray Walker, a driver in King of Prussia, said the campaign brought co-workers together as they learned about the union.
“We gained a lot of respect for each other,” said Walker, a 24-year employee. Walker agreed that conditions under XPO have deteriorated.
“It was time for a change, we were no longer working for a trucking company that cared for us,” Walker said. “We decided to take control of our futures.”
Improving Conditions
Since workers launched their campaign, Walker said conditions have improved somewhat.
“Since we petitioned for our election, we have gained some respect from management,” he said. “The number one thing for me is respect. I’m 52. I’ve probably got 10 more years working at the company.”
Walker said wages have also stagnated at XPO and benefits have been slashed, including health care coverage, where deductibles have soared. Costs keep rising for workers, putting pressure on families, he said. The company also is capping vacation time for future employees, he said.
The victory will give workers a say in the issues that matter to them most, Walker said. It is also important for him personally.
“For me, this victory is everything,” Walker said. “My dad was a Teamster. Growing up, I was always proud of what my dad did and the lifestyle we were able to have. I am thrilled that we finally have a voice as Teamsters.”
While the victories were monumental for the workers, they were only possible through hard work and much energy.
“This campaign in Aurora wasn’t easy, it took two years to get it to an election,” Ramirez said. “We knew the first year we weren’t strong enough but we kept pushing and weathered the storm from management with all its harassment, intimidation and union busters.”
The workers refused to give up or surrender, he said.
“As hard as management fought us, we fought even harder for our families’ futures,” Ramirez said. “There is no reward without risk and I can truly say it was worth it. It feels great to be a Teamster!”
Local Unions Continue to Play Key Role
Teamster local unions and members continue to play a pivotal role in the XPO workers’ efforts to form their union as Teamsters.
In 2016, the union coordinated six “National Days of Leafleting” at XPO freight terminals across the country.
Scores of local unions and hundreds of Teamster members from YRC, ABF, UPS Freight and other companies have participated. They were able to reach thousands of XPO freight drivers outside the terminal gates. Many of these contacts have energized the national campaign and given it momentum.
“This campaign at XPO will be taking place for a very long time, so the support and participation from all the local unions and members has been instrumental to the campaign now and in the future,” said Ernie Soehl, Director of the Teamsters Freight Division.
During national leafleting in June, XPO/Con-way workers were outraged to learn that company CEO Bradley Jacobs received a 481-percent raise in compensation over the past two years.
Jacobs went from making under $1 million per year to $5.8 million in total compensation per year. Jacobs is known as a buyer and seller of companies and has done similar transactions in oil, solid waste and equipment rentals.
XPO/Con-way workers are having terminals closed, are forced to stay home as their hours are cut, are seeing more and more outsourced runs, not getting overtime, have high-cost, low-coverage health care and no retirement security, while their new owner gets a 481-percent bump in pay.
The Teamsters are making history, with organizing, first-ever national days of action, nationwide engagement and interaction with the workers and the bargaining process that’s under way at locations that organized earlier in the campaign. The union has also filed unfair labor practices charges, is involved with federal court cases, is building nationwide activist committees, is conducting freight member organizing trainings, launching shareholder resolutions and other ongoing steps.
For more information about the XPO campaign, visit www.Teamster.org/Exposed or on Facebook: XPO Exposed.