Press Releases

Teamsters Reach Deal with Universal Logistics Ending Employee Misclassification

Port Strike June 2017 , XPO, Long Beach, California, Local 848

Settlement Ensures Company Follows AB 5, Grows Teamster Workforce

Press Contact: Ted Gotsch Phone: (202) 508-6437 Email:

(WASHINGTON) – The Teamsters Union applauds the National Labor Relations Board for its role in advancing a historic settlement between Teamsters Local 848 and Universal Logistics. Under the agreement, all of the company’s misclassified Southern California drayage drivers will be re-classified as employees, and these drivers will be entitled to fair wages, benefits, and protections under a Teamster contract.

“This is a big step, but there’s more work to be done. The Teamsters will continue to fight until every misclassified worker is an employee under the law. We will not rest until trucking companies recognize their drivers as employees and treat them with dignity, and that includes respecting their right to form a union,” said Sean M. O’Brien, Teamsters General President.

Under the settlement between Universal Logistics and the Teamsters, the company will classify all of its drivers in the region as employees and allow them to unionize. The company will provide back pay and offer reinstatement to more than 60 terminated employees across four different subsidiaries and re-establish a unit of unionized drivers. The agreement brings the company into compliance with the state law known as AB 5 as well as the National Labor Relations Act. The drivers have voted unanimously to ratify a strong first Teamsters contract.

“Universal and the Teamsters have committed to growing the unit of drivers so that Universal can continue expanding and serving even more customers with a professional Teamster workforce. This gives customers additional peace of mind and ensures employees receive all adequate legal protections,” said Eric Tate, Local 848 Secretary-Treasurer.

Founded in 1903, the International Brotherhood of Teamsters represents 1.2 million hardworking men and women throughout the United States, Canada, and Puerto Rico. Visit for more information. Follow us on Twitter @Teamsters and “like” us on Facebook at