The Teamsters Union was served legal notice on Monday that Yellow Corp.—one of the US’ largest less-than-truckload (LTL) carriers—is ceasing operations and filing for bankruptcy.

Today’s news is unfortunate but not surprising. Yellow has historically proven that it could not manage itself despite billions of dollars in worker concessions and hundreds of millions in bailout funding from the federal government. This is a sad day for workers and the American freight industry.

—Teamsters General President Sean M. O’Brien

The situation is developing, the union noted in a statement; additional details will be forthcoming.

Last week, Yellow announced that it was exploring opportunities to divest its successful 3PL, Yellow Logistics, Inc., and is currently engaged with multiple interested parties regarding the sale of its independent Third-Party Logistics organization.

Yellow Logistics is a customer-specific logistics solution provider that specializes in truckload, residential, contract logistics, engineered solutions, distribution, and warehousing and is operated through an independent, non-union subsidiary of Yellow.