Consolidated Freightways Files Bankruptcy

This week 15,500 Americans found out they were jobless when Consolidated Freightways shut down their U-S operations.

A Teamsters representative says finding out you're laid off on Labor Day is like finding out your wife wants a divorce on Valentine's Day. But some say the Union is part of the reason they're laid off to begin with. They say the rest of the blame should be on the insurance companies and their outrageous rates.

Longtime trucker Dan Robertson says, "These insurance companies are the ones that are busting these big corporations. Insurance rates have more than tripled!"

Many in the freight business say soaring insurance rates are just part of the problem for big companies like Consolidated Freightways.

Carleton Kennedy of CDI-TDI Truck Driving Institute says, "They weren't able to make adjustments to their pay packages for their employees, because they were a union type company."

Trucker Art Longoria agrees. He says, "Unions keep wanting more and more money regardless if a company is going broke."

Conslidated controlled about 15-percent of the domestic trucking market in the U.S. and filed for Chapter 11 bankruptcy protection Tuesday.