ABF Freight and Teamsters reach tentative agreement on new contract

The Trucker Staff

1/30/2008

FORT SMITH, Ark. — ABF Freight System Inc., the largest subsidiary of Arkansas Best Corp., has reached a tentative collective bargaining agreement with the International Brotherhood of Teamsters for a new five-year labor agreement, the less-than-truckload carrier and union reported in separate statements Wednesday.

Under the tentative agreement, ABF’s Teamster employees will be covered by the National Freight Industry Standards Agreement which is currently being ratified. This new agreement will replace the National Master Freight Agreement which expires on March 31.

“We have come to a labor agreement with the IBT well in advance of the expiration of our current contract,” said Robert A. Davidson, president and chief executive officer of Arkansas Best and ABF. “This new contract provides us with greater labor flexibility and will allow ABF to more effectively serve the competitive LTL market, particularly the growing regional market.”

The union said that by agreeing to be bound by the proposed standards, ABF employees’ health, welfare and pension benefits will be protected, and that wages and working conditions will improve, as well as their job security.

“We are pleased that ABF has agreed to be bound by the 2008-2013 Teamsters National Freight Industry Standards because it will protect our members’ futures,” said Tyson Johnson, director of the Teamsters National Freight Division and lead negotiator of the proposed agreement, who went on to urge all Teamster freight members to approve the tentative agreement.

Members are voting on the agreement now, and ballots are due February 8.

Founded in 1903, the International Brotherhood of Teamsters represents 1.4 million men and women in the United States, Canada and Puerto Rico.

Arkansas Best Corp., headquartered in Fort Smith, Ark., is a transportation holding company. ABF Freight System Inc. has been in continuous service since 1923.