‘Devastating and unexpected’: 400+ let go as GM ends business with Jack Cooper
KANSAS CITY, Mo. (KCTV) - Nearly 100 years in business will soon end as Jack Cooper has let more than 400 employees in the Kansas City metro know that they no longer have jobs.
On Saturday, Feb. 8, Jack Cooper, the largest female-owned, union-d vehicle logistics company in the U.S., announced to employees that after 97 years in business, operations would soon wind down for good.
Company leaders told employees that the loss of Ford’s business had a “devastating and unexpected” impact on business and operations. Now, Jack Cooper’s largest customer, General Motors, has sought alternative options.
“For the past several weeks Jack Cooper has negotiated in good faith with General Motors to agree on a continued business relationship,” said Sarah Amico, Jack Cooper’s Executive Chair. “Jack Cooper and General Motors have been in business together since 1928, and Jack Cooper has proudly won GM’s “Supplier of the Year” award three times in the last fifteen years. Nevertheless, on Thursday, February 6th, Jack Cooper learned that GM instructed its teams to stop providing vehicles to Jack Cooper for hauling.”
On Friday, officials said General Motors informed them that it would pull all business. All proposals on the table were also rejected. Certain services ended as soon as Saturday, however, the company remains ready and willing to negotiate.
Given the loss of Ford’s revenue and now GM’s unilateral decision, Jack Cooper said the only option was to ask employees not to return to work unless ed by management. A handful of employees will be asked to remain on staff for the next several weeks to ensure operations wind down smoothly.
“For nearly a century, Jack Cooper has set the standard in finished vehicle logistics. We have been proudly Women-Owned, union and family-operated. We have won numerous industry awards, given back to the communities where we live and work, and proudly employed generations of employees across the country. Each of you has been a key part of that legacy, and your work is deeply appreciated,” Amico said in a letter to employees.
Teamsters, the union d with Jack Cooper, said would begin negotiations with other employers in the area to ensure work continues under the national car haul contract.
“While Jack Cooper may be winding down its operations with Ford and GM, that does not mean the jobs of well-paid, union-protected Teamsters are leaving the industry,” a Teamsters spokesperson told KCTV5. “This is Teamster work.”
According to Teamsters, the work of union will not end with the closure of Jack Cooper’s doors. will follow the work under the national contract, regardless of employer.
“The Teamsters will defend our work and our in carhaul at all costs. No matter what contractor is working with companies like Ford and GM, Teamsters will ultimately be pulling the vehicles,” a union spokesperson said.
In the meantime, union officials indicated would negotiate short-term agreements with other carriers while Jack Cooper engages in its one negotiations. More permanently, Teamsters have already started to secure new commitments with other employers.
According to Missouri’s WARN Notices, Jack Cooper announced its intervention to lay off a total of 406 employees at its Liberty location in January. Those layoffs started to go into effect on Sunday, Feb. 2. The reason given for the move was its impending closure.
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