Performance Transportation Services (PTS), the second largest car hauler in the United States, is being hit by a strike from the International Brotherhood of Teamsters. The walkout began this morning after a bankruptcy court granted PTS permission for a 15-percent emergency pay cut to the workers.

The Michigan-based transport company has been in trouble for years. Once hired to move upwards of 2.7 million vehicles per year, including 10,400 vehicles per day for General Motors, PTS filed for bankruptcy protection in 2006 and in 2007. Now, with the automotive industry in a slowdown and diesel fuel prices skyrocketing, it needs wage concessions to remain afloat. Without any proposal on the table, the Teamsters walked off their jobs at 24 different facilities this morning. Both Ford and General Motors, who count themselves as clients of PTS, have said publicly that the strike won't immediately affect their shipments of vehicles across the country. PTS also handles some shipments for Toyota and other automakers, all of whom are working on contingency plans in case the strike goes on indefinitely.

[Source: The Detroit News]


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