Author Archives: just2bruce

Illinois trucking company’s sudden shutdown leaves team drivers stranded, unpaid

Posted on April 16, 2023 | Leave a comment

The story documented here is unfortunately all too common today. Truckers are routinely mistreated by trucking firms like this one in the story. And they keep going out of business then reopening and doing the same thing.

Regulators should have the power to put teeth in penalties for this kind of bad behavior, and should without question block future registration when firms close down like this. The article indicates that the wife of the owner of the firm has opened another small trucking firm, which will probably do the same thing to new marks.

I’m tired of writing about mistreatment of truckers. I have great respect for legitimate firms that take care of their drivers. The US should not let bad actors destroy drivers’ lives this way. It’s going to be very difficult to attract new drivers when it’s so easy to be scammed.

Perhaps the Department of Transportation could take a stab at fixing this issue by denying registrations after a background check.

Mayor Pete, it’s up to you!

Clarissa Hawes·Tuesday, April 11, 2023

Illinois trucking company’s sudden shutdown leaves team drivers stranded, unpaid – FreightWaves

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Posted in Labor Economics, Logistics, Trucking

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Forwarders say PSR ‘doesn’t work’

Posted on April 13, 2023 | Leave a comment

Forwarders are pointing to a problem in how trains get made up that is causing delays to cargoes.

The use of very long trains is posing some problems a lot like using very large container vessels. container ships can wait till they get sufficient cargo to make the voyage economically satisfactory. It’s done by ‘blanking’; sailings till there is enough cargo.

Railroads that use long trains are likewise waiting till they have enough cars to run the train. That is causing cargo delays, according to the forwarders.

The forwarders claim that this is contrary to the original PSR, which made trains meet the schedules they had promised. I think they’re right– the original PSR, championed by Hunter Harrison, the now deceased head to CN, CP, and CSX, was intended to make the trains run on time.

The practice of delaying trains is a cost control measure, and would be part of lean management, except that it has the effect of annoying customers, and denying them the one thing they want to pay for, on-time delivery. It’s no wonder they are angry.

By Alex Whiteman 13/04/2023

Forwarders demand change on US railways, as PSR ‘doesn’t work’ – The Loadstar

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Posted in Logistics, Rail

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Work resumes at LA/LB ports, but contract settlement stays out of reach

Posted on April 11, 2023 | Leave a comment

There’s no labor agreement in sight for West Coast ports. And recently there have been short unannounced work stoppages by the unions.

I’m thinking these work stoppages are trial balloons. The major union at the ports, the International Longshore and Warehouse Union (ILWU), may be trying to gauge the impact of a stoppage on the ports. We all know that the ocean shipping market is weak, and in addition quite a bit of container traffic has moved away from the West Coast ports, to the East Coast. So volumes are down at the West Coast ports.

It’s possible that cargo volumes are so light that a full strike will jeopardize the ports’ business. A sizeable reduction in container traffic would reduce the demand for longshoremen and union workers. They don’t want to kill the golden goose. A mini-trial would tell them whether the ports would be severely hurt by a strike. Otherwise the ports might say “Go ahead and strike!”

I think that is why the US government is loath to intervene yet. Continuing to negotiate might be the best way to get an outcome everyone can live with.

Ian Putzger, Americas Correspondent 11/04/2023

Work resumes at LA/LB ports, but contract settlement stays out of reach – The Loadstar

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Posted in Labor Economics, Logistics, Ports, Shipping, Supply Chains

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