Business

ITASCA, Ill. — The National Safety Council says according to its own research, 90 percent of America’s employers have been negatively impacted by tired employees. Forty-three percent of employees admit they may be too tired to function safely at work. With fatigue becoming an increasingly common workplace hazard, the National Safety Council is calling on all employers to implement comprehensive programs — known as fatigue risk management systems — that can help prevent the roughly 13 percent of workplace injuries attributable to sleep problems. As for the trucking industry, sources vary widely on the percentage of large truck crashes are the result of driver fatigue. On the low end, it’s 13 percent. On the high end, it’s approaching 40 percent. The council has outlined key elements of a fatigue risk management system in its paper Managing Fatigue: Developing an Effective Fatigue Risk Management System. Another report from the Campbell Institute — the center for EHS excellence at the National Safety Council — details results from a pilot study conducted among world class safety organizations to assess worker fatigue and effective countermeasures. In Understanding Fatigue Risk: Assessment and Countermeasures, the Campbell Institute identifies a persistent gap between how employers and employees view fatigue and makes the case for changing culture to enhance safety. To emphasize the importance of the issue, the council and the Campbell Institute also are gathering fatigue experts and researchers from around the globe in Seattle for a symposium that will focus on eliminating fatigue-related risks in the workplace. “In our 24/7 world, too many employees are running on empty,” said Emily Whitcomb, senior program manager for fatigue initiatives at the National Safety Council. “Employees are an organization’s greatest asset and addressing fatigue in workplaces will help eliminate preventable deaths and injuries.” Whitcomb said fatigue not only hurts employees’ wellbeing and safety, but it also carries a significant price tag. Fatigue costs the U.S. economy more than $400 billion annually. An employer with 1,000 employees can expect to lose more than $1 million each year in missed workdays, lower productivity and increased healthcare due to employee fatigue. “Even employers with state-of-the-art safety programs feel the negative effects of fatigue,” said John Dony, director of the Campbell Institute “As employers work to eliminate risks, we encourage them to implement fatigue risk management systems and lean on the Council and the Campbell Institute for help.” Workplace practices and policies that contribute to worker fatigue include working night shifts and overtime, a lack of time off between shifts and inadequate rest areas within the workplace for employees to take breaks. Whitcomb said strong fatigue risk management systems blend employee education and training with improvements to workplace environments, culture change and data-driven programs. Additional information about workplace fatigue is available at www.nsc.org/fatigue.      

INDIANAPOLIS — In a move to expand the Wheaton Van Lines network, Wheaton is acquiring Stevens Worldwide Van Lines. The new partnership will immediately expand the capacity and capabilities of the four brands under the Wheaton group umbrella: Wheaton World Wide Moving Bekins Van Lines Stevens Worldwide Van Lines Clark & Reid The Stevens family will continue to own and operate Stevens International Forwarding and Focused Logistics. Their three local agencies will continue to be agents of the Stevens Worldwide Van Lines brand in Saginaw, Michigan, as well as Toledo, Ohio, and Cleveland, and will maintain a significant hauling fleet within the new network. “I think this partnership is a huge opportunity for all parties involved,” said Morrie Stevens Sr., Stevens Van Lines chairman of the board and CEO. “Joining the Wheaton Van Lines network gives all of the drivers and agents in the Stevens network more opportunities for growth. I’m particularly excited for our corporate clients that will gain access to more capacity when they need it the most. I’ve admired the Wheaton network for a long time. Wheaton has proven to be a steady, stable, smart and consistent network that understands how to build upon the success it’s had for the past 74 years.” Wheaton will continue to operate all four of its brands throughout the United States. This is Wheaton’s third acquisition since 2012 when it acquired Bekins Van Lines and, a year later, Clark & Reid, making it the fourth largest van line group in the country. “Stevens and the agents in the Stevens network are a stellar fit for our growing company,” said Mark Kirschner, Wheaton Van Lines CEO. “It’s clear that our philosophies align and that we both see this as an opportunity to bring more to our drivers, agents and customers. I’m excited for our partnership moving forward.” Wheaton Van Lines is partner to approximately 400 Wheaton, Bekins, Stevens and Clark & Reid agents nationwide. The United States military is one of the company’s largest customers. To learn more, visit www.wheatonworldwide.com/why-wheaton/partners.

COLUMBUS, Ind. — While overall economic conditions are better balanced than they were a month ago, freight data remain soft, according to ACT Research’s latest State of the Industry: Classes 5-8 Report. “Slower freight growth, an easing of driver supply constraints, the resumption of the long-run freight productivity trend, and strong Class 8 tractor fleet growth will increasingly pressure rates, and by extension, trucker profits in 2019,” said Kenny Vieth, ACT Research’s president and senior analyst. “Regarding Class 8, orders have decelerated sharply over the past several months, with net orders in January reaching 16,089 units, the lowest monthly order intake since October 2016.” The report indicated that at present the slowdown seems to be more a story of the second-half 2018 order pull-forward and large backlogs, and less about freight cycle and capacity issues. Regarding the medium duty markets, Vieth said, “January’s Classes 5-7 net orders were a virtual carbon copy of December, at around 23,000 units, and medium duty orders have been a model of consistency the past ten months. However, they are entering a period of tough year-ago comparisons.” ACT Research is a publisher of commercial vehicle truck, trailer, and bus industry data, market analysis and forecasting services for the North American and China markets. ACT’s analytical services are used by all major North American truck and trailer manufacturers and their suppliers, as well as banking and investment companies. More information can be found at www.actresearch.net.        

SOUTH BEND, Ind. — Stay Metrics, the leading provider of driver retention tools, has released a new indicator for trends in early-stage driver turnover. The new Stay Days Table serves as a “survivor” chart that shows the number of drivers hired by carriers each month and the percentage remaining at specific milestones after their date of hire —30 days, 60 days, 90 days, etc. This table allows Stay Metrics to follow specific cohorts of drivers and to show how well carriers are retaining them over time, according to Tim Hindes, Stay Metrics co-founder and CEO. As the table makes clearer than previous models, early driver turnover is a massive, industry-wide problem, Hindes said, noting that approximately 60 percent of the more than 3,000 drivers from 89 carriers hired in January 2018 did not make it one year with their carrier. Retention trends seem to have remained consistent throughout the year so similar results are expected for each month’s cohort. Hindes said the statistics come at a time when the driver shortage is of critical concern to motor carriers. According to the American Transportation Research Institute’s 2018 Top Industries survey, the driver shortage is the No. 1 issue faced by carriers. Unsurprisingly, driver retention is also high at the No. 3 spot. Together these concerns are causing significant problems for even the best carriers in the industry. They work exceptionally hard to find drivers in today’s market. If 60 percent of these drivers leave within one year, the driver shortage is not just an issue; it is a crisis, Hindes said. “We believe the new Stay Days Table demonstrates the depth and pervasiveness of the early driver turnover problem. Our clients consistently beat industry averages for overall retention and this is their Stay Days Table. It represents some of the best in the industry,” Hindes said. “With drivers leaving so early, the driver shortage cannot be effectively countered. Our current version shows data for 2018 and we plan to update the metric for 2019 and beyond to continue monitoring the industry’s progress.” The Stay Days Table saw a slight increase in overall retention for drivers hired in September and later. One possible explanation is that these drivers wanted to avoid changing carriers during the holiday season, Hindes said, adding that the data from the next few months will show if these fourth quarter hires match other groups’ retention percentages when they hit later milestones.    

ARLINGTON, Va. — American Trucking Associations’ advanced seasonally adjusted (SA) For-Hire Truck Tonnage Index increased 2.3 percent in January after falling 1 percent in December. In January, the index equaled 117.3 (2015=100), up from 114.7 in December. ATA recently revised the seasonally adjusted index back five years as part of its annual revision. “After monthly declines in both November and December, tonnage snapped back in January,” said ATA Chief Economist Bob Costello. “I was very pleased to see this rebound. But we should expect some moderation in tonnage this year as most of the key sectors that generate truck freight tonnage are expected to decelerate.” Compared with January 2018, the SA index increased 5.5 percent. In 2018, the index increased 6.7 percent over 2017, which was the largest annual gain since 1998. The not seasonally adjusted index, which represents the change in tonnage actually hauled by the fleets before any seasonal adjustment, equaled 113.1 in January, which was 2.9 percent above the previous month (109.9). In calculating the index, 100 represents 2015. Trucking serves as a barometer of the U.S. economy, representing 70.2 percent of tonnage carried by all modes of domestic freight transportation, including manufactured and retail goods. Trucks hauled 10.77 billion tons of freight in 2017. Motor carriers collected $700.1 billion, or 79.3 percent of total revenue earned by all transport modes. ATA calculates the tonnage index based on surveys from its membership and has been doing so since the 1970s. This is a preliminary figure and subject to change in the final report issued around 5th day of each month. The report includes month-to-month and year-over-year results, relevant economic comparisons, and key financial indicators.          

KANSAS CITY, Mo. — Arrow Truck Sales has named Jeffrey Oldham company president. Oldham will replace Steve Clough who has retired from the company. Most recently, Oldham served as chief operating officer and general manager of Ag-Power, a multi-location retailer of new and used agricultural equipment. Prior to that, he held various management and executive positions with John Deere (Deere & Co.), including new and aftermarket sales and factory marketing positions. Oldham was also director of sales U.S. and Canada for John Deere Financial. He holds both a bachelor’s and master’s degree in business administration from the University of Missouri. Oldham will be responsible for developing strategic plans that will deliver profitable growth for Arrow. He will direct all financials, sales/marketing, strategic/tactical/operational planning, controls and activities to increase revenue, profitability, and growth. Arrow Truck Sales was founded in 1950 and has grown to become a leading remarketer of used medium- and heavy-duty trucks.

BLOOMINGTON, Ind. — Following the November bounce back of FTR’s Trucking Conditions Index the December measure spiked to a reading of 11.46. The sharply improved December reading is a result of strong month-over-month growth in volumes along with a favorable fuel environment, according to FTR Intel. However, FTR forecasts that this level will not be sustained in 2019 with readings falling back to the mid-single digit positive readings in January and moving steadily to more neutral conditions likely by the fourth quarter “While we don’t anticipate truly negative trucking conditions at any point in 2019, we think we have seen the end in this cycle of the abnormally strong pro-carrier conditions that had held sway from the days following the 2017 hurricanes through the second quarter of 2018. December 2018 probably was just one last taste of the good ol’ days of six months ago,” said Avery Vise, FTR’s vice president of trucking. The Trucking Conditions Index tracks the changes representing five major conditions in the U.S. truck market. These conditions are: freight volumes, freight rates, fleet capacity, fuel price, and financing. The individual metrics are combined into a single index that tracks the market conditions that influence fleet behavior. A positive score represents good, optimistic conditions. Conversely, a negative score represents bad, pessimistic conditions. The index tells you the industry’s health at a glance. In life, running a fever is an indication of a health problem. It may not tell you exactly what’s wrong, but it alerts you to look deeper. Similarly, a reading well below zero on the FTR Trucking Conditions Index warns you of a problem, while readings high above zero spell opportunity. Readings near zero are consistent with a neutral operating environment, and double-digit readings (both up or down) are warning signs for significant operating changes. To access charts suitable to accompany this press release, go to http://info.ftrintel.com/l/66642/2015-08-26/3bmqkr For more than two decades, FTR has specialized in freight transportation forecasting in North America. The company collects and analyzes all data likely to impact freight movement, issuing consistently reliable reports for trucking, rail, and intermodal transportation, as well as providing demand analysis for commercial vehicle and railcar. FTR’s forecasting and specially designed reports have resulted in advanced planning and cost-savings for companies throughout the transportation sector. 8

PORTLAND, Ore. — Spot truckload rates dipped again during the week ending February 9 despite higher freight volumes than at this time in each of the past three years, said DAT Solutions, which operates the DAT network of load boards. The number of posted loads and trucks both increased 4 percent last week but rates sagged for all three equipment types: Van: $1.91/mile, down 3 cents Flatbed: $2.34/mile, down 1 cent Reefer: $2.25/mile, down 4 cents Van trends Van load posts on DAT load boards dipped 2 percent compared to the previous week while truck posts increased 3 percent. That caused the national average van load-to-truck ratio to decline from 4.8 to 4.6 van loads per truck, although spot van volumes are strong year over year. Average outbound rates from most major markets are well below where they were a month ago and failed to make gains last week. Rates on many lanes affected by extreme winter weather drifted back down to earth, including: Chicago to Detroit, down 22 cents to $3.13/mile Chicago to Columbus, down 12 to $2.79/mile Denver to Albuquerque, down 15 cents to $1.88/mile Flatbed trends The number of flatbed load posts on DAT load boards increased 16 percent last week while truck posts were up 9 percent, an indication that construction season is heating up. It helped lift the national average flatbed load-to-truck ratio from 22.6 to 24.1 flatbed loads per truck. Reefer trends The national reefer load-to-truck ratio moved down from 6.6 to 5.9 reefer loads per truck. Regionally, the focus for reefer haulers is shifting to Florida, where it’s still early for citrus harvests but prices are firming up on key lanes out of the state: Miami to Boston jumped 33 cents to $1.98/mile Lakeland, Fla., to Baltimore added 19 cents to $1.83/mile Higher prices out of Miami and central Florida likely means that strawberries, tomatoes, and other mixed vegetables are on the move. DAT Trendlines are generated using DAT RateView, which provides real-time reports on spot market and contract rates, as well as historical rate and capacity trends. The RateView database is comprised of more than $60 billion in freight payments. DAT load boards average 1.2 million load posts searched per business day. For the latest spot market load availability and rate information, visit http://dat.com/trendlines and follow @LoadBoards on Twitter.  

After ending 2018 with the third largest annual sales total this century, the Class 8 new truck market set another milestone in January 2019. According to Wards Intelligence, Class 8 new truck sales for the first month of 2019 set a record for the century with 20,192 units sold. The next highest total was in 2006, the record-setting year, when 19,229 units were sold in January. The annual total in 2006 was 284,008. The January 2019 sales total is 39.7 percent higher than January 2018 when 14,458 units were sold. The only negative about the January sales figure was that is represented a 22.7 percent decline from December 2018. The drop certainly wasn’t unprecedented, especially since December typically ranks among the highest months of the year, if not the highest, which it has been the past two years. Freightliner showed the largest year-over-year increase at 76.1 percent with January 2019 sales of 9,205 compared with 5,228 in January 2018. International was up 45.9 percent year-over-year with January 2019 sales of 3,150 compared with 2,159 in January 2018. Only International at 4.3 percent and Freightliner at 2 percent posted month-over-month gains.  

GREENWICH, Conn.  —  XPO Logistics, a global provider of transportation and logistics solutions, is now offering free, comprehensive supplemental care for new parents and expectant mothers. The company said in a news release that the new service would expand XPO’s “commitment to providing high-quality care for women and working families.” Through a partnership with Maven Clinic, a virtual network of expert healthcare practitioners, new parents and expectant mothers gain additional support services that complement their regular medical care, the release said. Josephine Berisha, senior vice president, compensation and benefits at XPO Logistics, said the company is setting the standard in its industry by offering this comprehensive supplemental health care coverage for employees. The announcement follows the company’s introduction of a new, comprehensive pregnancy care accommodation policy and family leave policy earlier this year, she said. Through a mobile app, the new program offers XPO’s U.S. employees and their families the convenience of on-demand access — anytime, anywhere – to a custom network of more than 1,400 highly-vetted health practitioners across 20 specialties, including fertility, lactation, infant sleep, nutrition, mental health and more. Participants can consult with practitioners over the phone, through video chats or via private messaging. They can also sign up with a personal care coordinator who advocates for them throughout their experience, coordinating support during their pregnancy, postpartum and return to work. “This virtual clinic gives our employees 24/7, on-demand access to an array of the services that women and their families seek most during and after pregnancy,” Berisha said. “These services complement our existing suite of US medical plans and are free to all employees. Expert digital healthcare is an important additional convenience for new parents, especially working mothers who are balancing the demands of home and work.” Employees enrolled in an XPO medical plan can access these services at any time during a pregnancy and up to six months postpartum at no cost. These services extend to expectant parents during the surrogacy or adoption process and to women who experience a loss of pregnancy. Additionally, employees interested in fertility treatments or egg freezing can receive discounts on services and up to six months of support from specialists for certain services. XPO Logistics is a top 10 global logistics provider of supply chain solutions. The company operates as an integrated network of people, technology and physical assets in 32 countries, with 1,529 locations and more than 98,000 employees. Maven is a leading women’s and family healthcare company. Maven promotes women’s health, family planning, and diversity in the workforce by making it easier for parents to plan a family while growing their careers. Maven was founded in 2014 and offers holistic healthcare through a virtual clinic including personal care coordinators, on-demand access to a custom network of women’s and family health providers in over 20 specialties, a supportive community and expert content.

COLUMBUS, Ind. — According to ACT Research’s (ACT) latest release of the North American Commercial Vehicle Outlook, yellow lights continue to flash for the U.S. economy, and by extension for the North American commercial vehicle industry. “While the outlook has less of an orange tinge, sufficient caution flags remain to keep the yellow light burning regarding the near to mid-term economic outlook,” said Kenny Vieth, ACT’s president and senior analyst. “While we’ve seen improvement in petroleum prices, equity valuations, and a monetary policy pause, we remain cautious regarding indicators like a flat yield curve, quantitative tightening, potential fallout from tariffs and trade wars, as well as the global economic slowdown.” Regarding heavy vehicle demand, Vieth said, “ACT’s Tractor Dashboard posted a third consecutive negative five reading in December, suggesting demand will increasingly come under pressure in the first half of 2019.” Despite Vieth’s cautious tenor, he noted that the heavy commercial vehicle market continues to benefit from a still-broad spectrum of supply and demand-side triggers. “The rolling-over of ACT’s Dashboard guidance suggests order weakness will transition from today’s ‘too much backlog’ to an equipment supply-freight demand imbalance in the near future,” Vieth said. Regarding ACT’s medium duty forecasts, Vieth said, “Preliminary January net orders were in sync with the current trend, with average orders per month for the past six months moderating from the strong upward pressure they exerted on the forecast in the first half of 2018.” ACT Research is a publisher of commercial vehicle truck, trailer, and bus industry data, market analysis and forecasting services for the North American and China markets. For more information, visit www.actresearch.net.  

WASHINGTON — For the second time in three weeks, the average on-highway price of a gallon of diesel remained flat, according to the Energy Information Administration of the Department of Energy. The price for the week ending February 11 was $2.966. There was also no change for the week ending January 28 when the price remained steady at $2,965. Two areas of the country showed a price increase for the week ending February 11. The Midwest region was up 1 cent and California was up three tenths of a penny. The largest decrease was in the New England states at 1.5 cents, followed by the Rocky Mountain region at 1.3 cents. The price for the week ending February 11 is 9.7 cents a gallon lower than one year ago. For a complete list of prices by region for the past three weeks, click here. https://www.eia.gov/petroleum/gasdiesel/  

Preliminary North America Class 8 net order data booking down 26 percent in January, according to two North American firms that track and analyze such data. ACT Research showed the industry booked 15,800; FTR reported 15,600 bookings. Both figures represent a decline of 26 percent from December. ACT’s figure was 68 percent below what it reported in January 2018; FTR’s figure was 67 percent below a year ago. FTR said bookings in January were the lowest for the month since 2010. “With near-record backlogs in both the medium and heavy-duty vehicle markets, order activity continued to moderate in January. During the month, North American Classes 5-8 vehicle orders fell to an 18-month low 39,200 units,” said Kenny Vieth, ACT’s president and senior analyst. “Regarding Class 8, recall that January 2018 marked the point at which orders went vertical. We view this January’s order softness as having more to do with pulled-forward orders and a very large Class 8 backlog than with the current supply-demand balance. Softening freight growth and strong Class 8 capacity additions suggest that the supply-demand balance will become a story in 2019, but January seems a premature start to that tale.” FTR said the low Class 8 order number was not entirely unexpected, as the great majority of fleets already have all their orders in for 2019 and don’t need to place any more orders for a while.  Backlogs are expected to fall, but should remain over 70 percent higher than a year ago.  Class 8 orders for the past 12 months have now totaled 402,000 units. “Orders had to fall below 20,000 units at some point. There were record breaking orders placed last July and August, and this is the payback for that volume. Even with the weak January numbers, over 330,000 trucks have been ordered in the last nine months, so demand for trucks in 2019 remains strong,” said Don Ake, FTR vice president of commercial vehicles. “This is more of a resting point than a turning point. There is an enormous amount of orders in the backlog. The key will be how many of these trucks get built and when. The fundamentals of the economy and freight growth remain solid, so there is no reason to panic. The production rates the first few months of the year will be a better indicator of Class 8 demand than current orders are. We do expect the cancellation rate to remain elevated, as fleets move their orders around in the backlog. Order rates are expected to remain suppressed for a few months, but build rates and retail sales are forecast to climb.”

WASHINGTON — The average on-highway gallon of diesel was up one tenth of one cent to $2.966 for the week ending February 4, according to the Energy Information Administration of the Department of Energy. The increase was fueled by a 3.3 cent a gallon jump in the Midwest, likely the result of the extremely cold temperatures that struck that section of the country the previous week. All other regions of the country showed a decline, led by a 2.8 cent a gallon drop in the Rocky Mountain states. The price for the week ending February 4 is 12 cents a gallon lower than the comparable week in 2017. For a complete list of prices by region for the past three weeks, click here.  

WASHINGTON — U.S. employers shrugged off last month’s partial government shutdown and engaged in a burst of hiring in January, adding 304,000 jobs, the most in nearly a year. The healthy gain the government reported Friday illustrated the job market’s durability nearly a decade into the economic expansion. The U.S. has now added jobs for 100 straight months, the longest such period on record. The unemployment rate did rise in January to 4 percent from 3.9 percent, but mostly for a technical reason: Roughly 175,000 federal workers were counted as temporarily unemployed last month because of the shutdown. For-hire trucking added 3,600 jobs, according to Department of Labor data. The government on Friday also sharply revised down its estimate of job growth in December, to 222,000 from a previously estimated 312,000. Still, hiring has accelerated since last summer, a development that has surprised economists because hiring typically slows when unemployment is so low. The ongoing demand for workers is leading some businesses to offer higher pay to attract and keep staff. Average hourly wages rose 3.2 percent in January from a year earlier. That’s just below the annual gain of 3.3 percent in December, which matched October and November for the fastest increase since April 2009. The strong job market is also encouraging more people who weren’t working to begin looking. The proportion of Americans who either have a job or are seeking one — which had been unusually low since the recession ended a decade ago — reached 63.2 percent in January, the highest level in more than five years. The 35-day government shutdown caused 800,000 workers to miss two paychecks. But because these workers will eventually receive back pay, they were counted as employed in the survey of businesses that produces the monthly job gain. But in a separate survey of households that’s used to calculate the unemployment rate, many of these people were counted as temporarily jobless. That’s a key reason why the unemployment rate rose despite the healthy job gain. Most economists have forecast that the shutdown will likely slow economic growth for the first three months of this year. But some say that even businesses that lost income from the shutdown likely held onto their staffs, knowing that the shutdown would only be temporary. Friday’s solid jobs report provided a dose of reassurance that the economy remains mostly healthy and likely to shake off any effects of the shutdown. The nonpartisan Congressional Budget Office estimates that the shutdown slowed annual growth for the January-March quarter by about 0.4 percentage point, to a rate of 2.1 percent, though that loss should lead to a bounce-back later this year. The main reason for the temporary economic loss this quarter is that the thousands of government workers who missed two paychecks slowed their spending. The government itself also spent less. In addition, many businesses across the country lost income. Tourists cut back on visits to national parks, for example, thereby hurting nearby restaurants and hotels. Yet with unemployment so low and many companies struggling to fill jobs, layoffs might not have been widespread. The partial government shutdown has delayed the release of a range of government data about the economy, including statistics on housing, factory orders, and fourth-quarter growth. The reports that have been released have been mixed. The Federal Reserve’s industrial production report showed that manufacturing output rose in December by the most in nearly a year, boosted by auto production. But consumer confidence fell in January for a third straight month as Americans’ optimism dimmed amid the shutdown and sharp drops in the stock market. Falling confidence can cause consumers to restrain their spending, though economists note that confidence typically returns quickly after shutdowns end. The housing market has slumped as mortgage rates have increased. Sales of existing homes plunged in December and fell 3.1 percent in 2018 from the previous year. Mortgage rates have fallen back after nearly touching 5 percent last year, but the number of Americans who signed contracts to buy homes still declined in December. China’s economy is decelerating sharply, the United Kingdom is struggling to negotiate its exit from the European Union, and Italy’s economy has entered recession, exacerbating fears that slower global growth will cut into U.S. exports. Fed Chairman Jerome Powell this week cited the weaker global economy as a key reason why the central bank will be “patient” before it raises its benchmark interest rate again. That was a sharp turnaround from January, when Fed policymakers forecast two additional hikes for this year.  

PORTLAND, Ore. — Spot truckload rates tumbled during the week ending January 26 despite increases in van and refrigerated load-to-truck ratios, according to DAT Solutions, which operates the DAT network of load boards. The national average van rate fell below the $2 per mile mark for the first time since September 2017. National average spot reefer and flatbed prices moved lower for the third straight week. Following are the national average spot truckload rates: Van: $1.97/mile, down 4 cents Flatbed: $2.37/mile, down 1 cent Reefer: $2.34/mile, down 3 cents Low fuel prices have contributed to recent spot-rate declines (spot rates include a surcharge for fuel). The national average price of on-highway diesel was $2.96 per gallon last week, unchanged from the previous week. Van Trends The number of posted dry vans on DAT load boards fell 8 percent compared to the previous week while the number of posted loads held steady, a sign that freight volume remains solid. Indeed, the van load-to-truck ratio increased to 4.0 loads per truck; it hit a 20-month low of 3.7 the previous week. However, spot van rates continue to weaken especially in the West. The sharpest drop has been from Los Angeles, where the average outbound rate fell 13 cents to $2.12/mile. That’s down 19 percent over the past four weeks. The average rate from Los Angeles to Chicago was down 19 cents last week to just $1.30/mile. Flatbed Trends The number of flatbed load posts fell 7 percent while truck posts were down 5 percent compared to the previous week. As a result, the national flatbed load-to-truck ratio slipped from 21.7 to 21.2 loads per truck. Reefer Trends Reefer load posts increased 4 percent while truck posts fell 8 percent, which caused the national reefer load-to-truck ratio to move up from 4.9 to 5.6 loads per truck. Average outbound prices softened in many key markets: Grand Rapids, Michigan: $3.30/mile, down 7 cents Chicago: $2.73/mile, down 7 cents Atlanta: $2.55/mile, down 1 cent Dallas: $2.06/mile, down 4 cents Elizabeth, New Jersey: $1.99/mile, down 7 cents What to watch this week: the effect of extreme weather on spot rates. Winter storms cause trucking operations to slow, which has the effect of reducing available capacity. The weather also affects shippers and receivers who may have trouble maintaining staffing levels and schedules. Restricted capacity can drive rates up, while slowdowns in business and consumer activity can push rates down. Ultimately, the timing and severity of this current winter storm will determine the impact on rates. DAT Trendlines are generated using DAT RateView, which provides real-time reports on spot market and contract rates, as well as historical rate and capacity trends. The RateView database is comprised of more than $60 billion in freight payments. DAT load boards average 1.2 million load posts searched per business day. For the latest spot market load availability and rate information, visit http://dat.com/trendlines and follow @LoadBoards on Twitter.

Two major carriers said Thursday they were increasing driver pay. Cargo Transporters, a regional and national carrier, said its increase will include all over-the-road and regional fleet drivers. Cargo Transporters will increase solo, over-the-road driver pay 2 cents/mile on all dispatched miles. Team and regional drivers pay will increase 1 cent/mile on all dispatched miles. Drivers with Cargo Transporters are also inherently compensated more for miles driven, since the carrier calculates pay based on Practical Route miles, instead of industry standard, Household Good mileage (HHG) shortest miles. HHG shortest miles are used by most trucking companies, however, Practical Route miles are typically, on average 8 percent higher. “Cargo is a leader in safety and service, which is a direct reflection of our drivers and staff. We have always had a tradition of providing great careers, benefits and the safest equipment to our drivers. The increase is an ongoing commitment to our drivers and their families,” said Dennis Dellinger, president. Driver income has increased considerably over the last years. In 2018, the upward trend continued with the average solo income being $60,000. More than 25 percent of the drivers earned in excess of $67,000. Cargo Transporters is a truckload carrier operating 525 trucks serving the continental U.S. Based in North Carolina, the company operates terminals in Claremont, Charlotte and Rocky Mount. The company employs over 700 people. For more information please see www.cargotransporters.com. C.R. England said its increase would be the second multi-million dollar driver pay increase in the last eight months. The pay increase will benefit solos, teams, and trainers in C.R. England’s national, regional and training divisions and takes effect January 31, 2019. “Including this pay increase, C.R. England has invested an annualized amount of over 30 million dollars in driver pay increases in the last eight months,” said Chief Executive Officer Chad England. “This increase comes just eight months after over the road (OTR) drivers received the largest driver compensation increase in the 99-year history of the company. Raising pay is an indicator C.R. England is committed to providing our employees with a long-term career path they can count on financially.” With the announcement, every line-haul National and Regional driver received a pay increase. This includes solos, teams, and trainers. Trainers will continue to be the highest paid group of drivers at C.R. England. In addition to these increases, the company continues to evaluate and adjust pay for its already highly paid drivers in the Dedicated and Intermodal Divisions. Founded in 1920, C.R. England is headquartered in Salt Lake City, and is one of North America’s largest refrigerated transportation companies. For more information to go www.crengland.com.    

ELLENWOOD, Ga. — Dart Transit Co. has opened a new operating center in the metro Atlanta area. The facility here is located close to Hartsfield-Jackson International Airport south of Atlanta and it will provide the company with the opportunity to grow its customer base in the state and region. Prior to opening the doors in Ellenwood, Dart operated from a location in Buford northeast of Atlanta. Along with its strategic new positioning in the metro area, the Ellenwood Operating Center is larger than the previous Buford location and Dart has incorporated the latest in amenities for owner-operators and company drivers in the Dart Network. “Trucking and logistics have become the bread and butter for Clayton County, particularly because we have four interstates going through the county. Dart has a national presence, and to have them here will be great for Clayton County,” said county Chamber of Commerce President Jeremy Stratton, one of the dignitaries attending Dart’s open house event. “I have had the opportunity to visit a number of truck facilities over the years, and I am very impressed with what I’ve seen here at Dart. The attention to detail in terms of the layout, the technology and the amenities — giving the employees what they need — is awesome. They have obviously put a lot of thought into the plans, and the finished product has turned out well. This will be a great place to work for a lot of people.” Dart’s Ellenwood facility features 21,000 square feet. The building has 10,000 square feet of office space, which includes an operations center, conference rooms, a driver orientation area and a drivers’ lounge with laundry facilities. The on-site shop covers 11,000 square feet, with a layout that can accommodate simultaneous service on nine trucks and seven trailers. Dart’s Ellenwood property encompasses 10 acres, providing ample space for truck and trailer parking. The facility has a state-of-the-art, 24-hour security system. “We began this project about 15 months ago. It’s awesome to see it today with everyone here, especially when you think back on how everything has come together,” said Dart Vice President of Maintenance Brett Wacker, who oversaw the company’s development of the Ellenwood Operating Center. “We built this with our people in mind. We wanted to provide a nice, comfortable facility, with good amenities and plenty of space. It’s been great to see people’s reactions as you go through the building.” Wacker was part of the company’s executive leadership that made the trip to Ellenwood from Dart’s corporate headquarters in the Twin Cities. Chairman of the Board Donald Oren and President James Langley led the visiting group. In addition to touring the new facility, Oren and Langley spent time with the office staff, shop technicians, owner-operators and company drivers in Ellenwood. “The facility is very impressive, and I give Brett Wacker a lot of credit. He made the decisions on how to lay things out here, and that’s really important because it has to be efficient and it has to be safe for the people who work here,” Oren said. “It was a great event. It’s always fun to meet the drivers and spend time with everyone here. There’s always something to learn.”