Performance Transportation Services, an Allen Park, Mich.-based car hauler that operated more than 1,000 trucks under divisions, shut down June 13 after failing to reach agreement with its Teamsters bargaining unit.
PTS, which had been operating under backruptcy protection, had received approval from the bankruptcy judge on June 4 to reduce the wages of Teamster-represented employees by 15 percent for two months. The Teamsters commenced a strike on June 9.
“I personally am very disappointed in this outcome,” Jeff Cornish, PTS president and chief executive officer, wrote in a statement posted on the company’s website. “Management and many of our Teamster members were willing to make the requested sacrifices to save the company. But the leadership of the union had a different agenda.”
In a response posted on the Teamsters website, Fred Zuckerman, Teamsters carhaul director, wrote that “nothing could be further from the truth. … PTS permanently closed its doors after its primary lenders, Black Diamond Capital Management, cut off access to its credit facility.”