This an idea some of us at Holland Kansas City have been kicking around.
The benefits we see are:
>>> The company comes off of the stock market and participating in what I call the "More Money Economy"
In the More Money system a company that creates 20 million in profits is obligated to create perhaps 25 million as to increase the value of the investment.
That's a system for profitable times, but in a poor economy we suffer.
In an investor free environment that same company could operate at a 5 million dollar drop in profits and still keep 15 million to reinvest in it's own future.
There is no need to put employees out of work to satisfy the want of investors
in troubled times.
>>> By becoming stand alone companies (and YRC could break up into regionals)
the power of one company (YRCW) in negotiations is either diminished or destroyed.
The pension fund becomes diversified and less reliant on a single entity or global profit.
>>> The employees have greater say in the operations of the business.
At Holland, it seems that the drop in production occurred when YRCW instituted the program of Load Factors and sacrificed service to satisfy that program.
When you work in an industry
where service is your only product this has been devastating.
Kansas City Holland lost several accounts due to service failures.
>>> We feel that because we are in control of the concessions being made, that the current 15% reduction is enough to fund a buy out. We can take that "give away" (that offers no promise of YRCW's managing a success) and convert it into an investment in ourselves.
>>> By remaining Union and using the Union to monitor our company, we should be able to avoid the pension liability.
None of us are masters of finance and business, but the opportunity seems to be available to us to buy out away from Yellow's management.
The questions come in the procedures and the people needed to contact in order to form the structure.
How is the CEO and Board of Directors established?
What are the financial liabilities beyond the loan?
Anybody with any thoughts or knowledge?
The benefits we see are:
>>> The company comes off of the stock market and participating in what I call the "More Money Economy"
In the More Money system a company that creates 20 million in profits is obligated to create perhaps 25 million as to increase the value of the investment.
That's a system for profitable times, but in a poor economy we suffer.
In an investor free environment that same company could operate at a 5 million dollar drop in profits and still keep 15 million to reinvest in it's own future.
There is no need to put employees out of work to satisfy the want of investors
in troubled times.
>>> By becoming stand alone companies (and YRC could break up into regionals)
the power of one company (YRCW) in negotiations is either diminished or destroyed.
The pension fund becomes diversified and less reliant on a single entity or global profit.
>>> The employees have greater say in the operations of the business.
At Holland, it seems that the drop in production occurred when YRCW instituted the program of Load Factors and sacrificed service to satisfy that program.
When you work in an industry
where service is your only product this has been devastating.
Kansas City Holland lost several accounts due to service failures.
>>> We feel that because we are in control of the concessions being made, that the current 15% reduction is enough to fund a buy out. We can take that "give away" (that offers no promise of YRCW's managing a success) and convert it into an investment in ourselves.
>>> By remaining Union and using the Union to monitor our company, we should be able to avoid the pension liability.
None of us are masters of finance and business, but the opportunity seems to be available to us to buy out away from Yellow's management.
The questions come in the procedures and the people needed to contact in order to form the structure.
How is the CEO and Board of Directors established?
What are the financial liabilities beyond the loan?
Anybody with any thoughts or knowledge?
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