Another 4,200 truck drivers lost their jobs in September as a recession slams America's $800 billion trucking industry. Truck drivers' earnings sank in 2019, and hundreds of trucking companies have gone bankrupt. The federal government's September jobs report said 4,200 truck drivers lost their jobs in that month alone
Full Answer
Are truck drivers losing their jobs?
Statistics show that there is a shortage of truck drivers in the year 2019. What is this? Currently, Canada reports being short around 25,000 truck drivers while the US reports a whopping shortage of around 60,000 drivers. This is predicted to increase over the next few years.
What trucking company recently went out of business?
Trucking company Central Freight Lines Inc. will wind down its business in the coming weeks after failing to halt years of losses despite strong demand in freight markets during the pandemic, the company said Sunday.
Why did so many truck drivers quit?
Truckers say some drivers are leaving the industry over its lack of benefits and low wages. Most don't get paid for downtime at shippers and say trucking companies don't treat them with respect. "They've chased off all the old timers," said a trucker who's been driving for 20 years.
How many trucking companies have went out of business in 2020?
The COVID-19 pandemic forced more than 3,000 trucking companies out of business in 2020 — a significant leap from about 1,000 the year prior — as the early months of the global health crisis proved too difficult for some in the industry to withstand.
Why is Central Freight Lines closing?
At the height of an unprecedented trucking boom, with spot prices and LTL rates at record levels, Central Freight Lines said it would shutter operations and be done with almost all of its freight pickups by Dec. 13. One of the main reasons was debt, according to the company president, and an inability to pay it down.
What is the largest trucking company?
United Parcel Service (UPS)1. United Parcel Service (UPS) What is the largest trucking company in the United States and the world? UPS is the largest trucking company in the world with revenues surpassing USD 71.86 billion last year.
Is there really a trucker shortage?
According to the Transportation Department, roughly 300,000 truck drivers leave the profession every year. The COVID-19 pandemic only made the driver shortage worse because training and apprenticeship programs were either closed or limited their operations.
Are truck drivers in demand 2022?
According to an analysis of data accrued by FTR Intel, rising demand spiked spot trucking rates upwards of 24%, compared to January 2021. Furthermore, freight spot load postings increased almost 44% at the start of 2022.
Why do truck drivers sit so low?
0:342:16Why My Peterbilt Truck Seat is Low - YouTubeYouTubeStart of suggested clipEnd of suggested clipFrom sitting in a Lowell leg rocking chair so his knees were elevated above his waist to pressureMoreFrom sitting in a Lowell leg rocking chair so his knees were elevated above his waist to pressure off the back of the spine and and relieve stress on the bottom of the spine it was more comfortable.
Are trucking companies closing?
According to Broughton Capital, 640 trucking companies in the United States went bankrupt – in the first six months of 2019. While this number seems high, what is shocking is that it's nearly three times the amount of trucking-specific bankruptcy filings during the entire 2018 calendar year.
How many new trucking companies are there in 2021?
109,340 trucking companiesFTR said 109,340 trucking companies opened for business in 2021. That's 50,202 more than 2020 (59,538) and 65,787 more than 2018 (43,953), the third-largest year on record since 1999, when 15,597 carriers were granted authority.
Why do Owner Operators Fail?
When talking about Owner Operators and why they fail, the traditional conception is that there was too much debt or not enough working capital. While this is certainly an issue, there are as many underfunded O/O's that have made it and many debt free drivers that have lost everything.
bryan21384 Road Train Member
The driver shortage is because of the vetting process that FMCSA requires of every trucking company. Plenty of applicants, but not enough who qualify.
rbrtwbstr Road Train Member
We don't have a driver shortage in this country. We have a QUALIFIED driver shortage....
WakeUpTheEchoes Light Load Member
We don't have a driver shortage in this country. We have a QUALIFIED driver shortage....
WakeUpTheEchoes Light Load Member
I think that even I'd it were higher wages drivers wouldn't stick around. The thing is, people want the money, but they are not willing to give up anything to get it. Even if the pay was there, it's too drastic of a lifestyle change for most people.
bryan21384 Road Train Member
Thank you for the insight. You have a point that higher pay may not lead to a higher percentage of drivers staying in the field, but there is little argument that retention within the field is a problem. How to counteract that may be a discussion for the ages.
rbrtwbstr Road Train Member
Perhaps I'm a bit insulated from the industry as a whole, given that I work local now, but I've seen a decline in some things in the short time I've been doing this. I really started to notice it back about 2008 or so when the economy crashed. I'm sure others would argue things have been going the wrong way a lot longer.
WakeUpTheEchoes Light Load Member
You know, I dont even think the industry is as screwed up as people think it is. You may not get rich trucking, but you will make steady money. I think folks get too caught up in regulations, and I think there is a lack of understanding for the industry as a whole. For instance, it takes shippers and receivers forever to load/unload.
bryan21384 Road Train Member
That article is making that driver sound pitiful. All isn't lost. He's going on like he can't take care of his family. He will just have to work as a company driver for a company with more of a customer base, one that isn't wholly reliant on the spot market. All this going down, maybe the strength of the economy was overestimated.
D.Tibbitt Road Train Member
What happened to the great big driver shortage. ? I thought companies were falling head over heels , breaking their backs trying to find drivers? Hmmmmm....
Blowcanner1975 Bobtail Member
Survival of the fittest. Only ones that will be pushed out are the ones who shouldn't have even been in this industry to begin with. The "driver" pool could stand a good mucking.
How many trucking jobs were lost in April?
Trucking companies slashed 88,300 drivers jobs in April. It's the biggest single-month loss of trucking jobs on record, according to data extending back to January 1990. It shows the trucking "bloodbath" of 2019 is living on — and getting much, much worse.
When did trucking jobs go down?
It's the biggest single-month loss of trucking jobs on record, according to data extending back to January 1990. April wiped out all trucking employments gained during the past five years and a half years, bringing the industry back to its employment numbers in November 2014. The rest of the April jobs report, which was released by the Bureau ...
How many trucking companies slashed payrolls in 2019?
In August of 2019, trucking companies slashed some 5,100 payrolls — the worst decline seen last year. Meanwhile, 16 times as many drivers lost their jobs in April.
Why are truck drivers out of work?
Nearly three-quarters of all freight by weight is moved by truck in the US, so if goods aren't being purchased or moved, truck drivers are out of work. Because of the coronavirus shutdowns, the trucking industry is on the cusp of a "freight cliff," according to a Federal Emergency Management Agency report obtained by Politico.
What was the trucking recession in 2019?
The 2019 trucking recession was also spurred by the decline in manufacturing. The Institute of Supply Management said manufacturing contracted for several months last year; in October, the index slipped to its lowest level since June 2009.
How many payrolls were cut in April?
Some 20.5 million payrolls were cut in April, which is 25 times larger than the worst monthly decline seen during the recession in the late 2000s. Nationwide, the unemployment rate is now 14.7%, its highest since the Great Depression.
Is the trucking industry on the cliff?
Because of the coronavirus shutdowns, the trucking industry is on the cusp of a "freight cliff," according to a Federal Emergency Management Agency report obtained by Politico. The rate of moving goods via truck has fallen to the lowest levels seen since 2009, Cass Information Systems said last month.