BusinessJul 16, 2025
Waste Disposal Giant Republic Services Is No Closer To A Deal With Teamsters Union — Do Investors Even Care?
Labor Friction
Noah Weidner
Discover
One man’s trash, another man’s $75B treasure. Republic Services might be America’s second-largest waste disposal business, but that all hinges on its employees showing up for work.
In recent weeks, that hasn’t been the case. Negotiations between Republic and the Teamsters union, which represents over 8K of the company’s trash collectors, fell through. And with that, so too did the pickups for trash on curbs across the country.
Republic serviceless: The Teamsters claim that Republic engaged in “illegal union-busting tactics” and refused to bargain with members at its Boston-area chapter. As a result, workers across the country have walked off the job. And with the strike heading strong in its second week, the cost is piling up for Republic — like the trash on the curb.
Those reduced service levels could be a problem, particularly if they violate the company’s contracts with local governments — which have been moved to action by incensed constituents, many of whom have been lugging their own trash. It could be a real threat for the firm, particularly as the strike drags on.
Taking out the trash: Being the ‘second-largest waste disposal business’ doesn’t matter much when your operations are stunted. To that end, investors might be cavalier about the impacts if such a strike were to continue. Year-to-date, is up 20%, with little decline since the strike started Jul. 1.
What else is on the curb? To that end, $RSG’s closest competitor, Waste Management constitutes a more attractive, safer bet. Especially since, aside from its more desirable valuation and dividend yield, decisionmakers might be forced to consider alternatives if the strike doesn’t end soon.
