Yellow’s Laid-Off Union Employees to Appeal Back-Pay Ruling (1)

A bankruptcy judge ruled that Yellow Corp. was a “liquidating fiduciary” when it laid off nearly all union employees, meaning it likely won’t face liability under a federal law requiring advance notice of layoffs.

Judge Craig T. Goldblatt of the US Bankruptcy Court for the District of Delaware wrote in a Wednesday opinion that liability claims under the Worker Adjustment and Retraining Notification Act by union members are disallowed since the company was in liquidation as of July 30, 2023, when it terminated employees.

If there are any WARN Act liabilities, these would be limited to 14 days of back ...