YRC Worldwide Inc., Overland Park, Kan., on Wednesday resumed making contributions to its union pension plans after a 23-month hiatus, but the contributions are 75% less than they had been.
On Feb. 28, YRC Worldwide and the Teamsters National Freight Industry Negotiating Committee approved a restructuring plan to help the company avoid bankruptcy and improve liquidity. Under the agreement, YRC was granted permission to reduce contributions to 25% of the previous rate until March 2015 for all of its pension funds.
“We've been able to get our legs under us again” because of the pension moratorium and debt restructuring, said Jim Kissinger, YRC executive vice president and chief administrative officer, in an interview. “It's included a lot of self-sacrifice on many people's part to get to this point, but it's been successful.”