Overnite Co. Service Continues Despite Strike

Union Pacific Corp.’s Overnite Transportation Co. said its trucks were making scheduled freight pickups and deliveries as a pre-holiday season strike spread to 20% of its U.S. terminals. The International Brotherhood of Teamsters said the walkout spread to 33 of Overnite’s 166 terminals in the U.S. in its second day. The union said its biggest weapon will be strikers who follow Overnite trucks and picket at each company where freight is picked up or delivered. Overnite, based in Richmond, Va., expects most of its 13,000 workers to remain on the job. The company spent $6 million on strike preparations in the third quarter, which included costs of a four-day union walkout at 11 Overnite terminals in July. The Teamsters had threatened the walkout since Aug. 1. Overnite is the largest U.S. “less-than-truckload” carrier--a hauler of multiple shipments on each truck--without a labor agreement. The company said all its terminals were open and operating and that it was providing delivery service. The company arranged for volunteer backup workers at terminals represented by the union, extra contract drivers and increased security. Union Pacific shares fell 13 cents to close at $51.75 on the New York Stock Exchange.