LEGAL PROCEEDINGS
−Removed: On March 17, 2021, the Company received a complaint from the National Labor Relations Board (the “NLRB”) based on charged alleged by the International Brotherhood of Teamsters against four of the Company’s operating subsidiaries.
+Added: On March 17, 2021, the Company received a complaint from the National Labor Relations Board (the “NLRB”) based on charges alleged by the International Brotherhood of Teamsters against four of the Company’s operating subsidiaries.
The charges stem from the Company’s decision to close underperforming operations in California in December 2019.
−Removed: The Teamsters allege, among other things, that the Company’s subsidiaries engaged in unfair labor practices and failure to negotiate in good faith and is seeking reinstatement of terminated individuals with back pay.
−Removed: The gross amount of the claim for back pay is approximately $5.9 million.
−Removed: The amount of the back pay does not, however, take into consideration any of the offsetting earnings made by terminated individuals since their separation from the Company.
In April 2021, the Company answered the complaint by denying it engaged in any unfair labor practices and maintaining that the Company closed the underperforming California terminal due to financial reasons.
−Removed: In June 2021, the Company participated in the first phase of hearings with the NLRB.
−Removed: The hearing will be continued in late July and is expected to be completed shortly thereafter.
+Added: In October 2021, the Company received an adverse ruling requiring the Company to, among other things, reinstate the terminated drivers and compensate them for back pay.
+Added: The Company intends to appeal the decision.
+Added: The calculation of the amount owed to the drivers will take into consideration any offsetting earnings made by terminated individuals since their separation from the Company.
The Company currently estimates the possible range of financial exposure in the matter to be between $4.3 million and $7.2 million.
6 unchanged sentences
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.