Category Archives - Industry News

Miracle on I-79 and More: Unforgettable Stories from the Trucking World

Welcome back to another week of excitement in the world of trucking news! You’ll definitely want to hold onto your seats! The industry has experienced a rollercoaster of a week, tackling all sorts of challenges such as fluctuating freight demands and looming recession fears. But fear not – recent data reveals a silver lining on the horizon, suggesting better days may be just around the corner. Join us as we dive into this week’s trucker news roundup, uncovering the latest survey insights, legislative breakthroughs, and game-changing investments in driver training and retention that are shaping the future of trucking. Trucking Industry Sees Light at the End of the Tunnel Spot Truckload Demand Reaches Turning Point Truckers all across North America have faced challenges as freight demand has slowed down over the past year, but recent data suggests that the worst may soon be over. The latest Bloomberg Intelligence Truckstop survey indicates that we may be at the low point for spot truckload demand and rates, with expectations for improvement over the next 3 to 6 months. Seasonal Trends and Inventory Shifts Offer Hope According to the survey, 60% of respondents expect volumes to rise over the next three to six months, a significant increase from the fourth-quarter 2022 poll. Soft demand and higher costs were cited as the main reasons for not purchasing equipment. As seasonal trends begin to influence the market, and higher-cost capacity is forced out, rates may receive additional support as inventory levels begin to return to more normal levels. There seems to be little consensus on when exactly spot rates will hit rock bottom, but some are beginning to believe improvements could be seen as early as the second quarter of 2023, leading to firmer contract rates in the latter half of the year. The Looming Recession: A Cloud Over Recovery? Despite these positive signs, 79% of survey respondents believe that the US is either already in a recession or one is imminent. A separate report revealed that freight shipments fell 4% in March compared to the previous year, with demand still being impacted by high inventory levels and a global economic slowdown. However, the shift in sentiment is being seen as a sign of encouragement, and truckers can look forward to a potential market rebalance in the near future. Iowa Senate Puts a Cap on Trucking Company Liability From $2 Million to $5 Million: Setting a Limit The Iowa Senate recently passed a bill, Senate File 228, which sets a $5 million limit on noneconomic damages that can be awarded to a victim in a lawsuit involving a trucking company accident. Noneconomic damages include pain and suffering, mental anguish, or loss of consortium of a spouse. Initially, the bill proposed a $2 million cap, but to ensure passage in the House, lawmakers increased the limit to $5 million, with additional adjustments to be implemented for inflation beginning in 2028. Addressing “Nuclear” Verdicts and Insurance Stability The bill aims to protect employers from a practice dubbed “nuclear” verdicts, a situation where a jury will award millions in damages to victims, as well as to stabilize insurance costs for the trucking industry. The $5 million cap matches the highest federal insurance requirement, applicable to vehicles transporting hazardous materials like radioactive substances. The legislation goes further as to also address concerns about holding trucking companies accountable for negligent hiring, training, and supervising practices. T has been praised by lawmakers as a step in the right direction in ensuring a proficient, safe, and responsible fleet of commercial drivers in our country. The bill has reached its final hurdle and now awaits Governor Kim Reynolds’ approval. Covenant Logistics Invests in Driver Success Hogan Hall and Training Center: A $15 Million Project Covenant Logistics recently celebrated the opening of two new buildings, Hogan Hall and the Orientation Training Center, overall investing around $15 million into the project. These additions offer a completely unique experience in the trucking industry, providing new drivers with in-class and driving-course training, lodging, and dining all within a singular campus. Hogan Hall, a 49,000-square-foot building, features 100 dormitory-style rooms, lounge areas, cafeteria-style dining, and various other amenities, while the Training Center houses state-of-the-art learning facilities and classrooms for company orientations and training events. Tackling Driver Retention with State-of-the-Art Facilities The new facilities aim to solve one of the biggest problems currently plaguing the industry, driver retention. Beyond this, they hope to demonstrate the company’s commitment to their drivers’ success. New drivers would typically stay for three nights, during which they would spend time learning about the company’s policies, procedures, expectations, and safety programs. Covenant Logistics hopes the new buildings will help the Chattanooga-based trucking company better recruit and retain truck drivers amid an ongoing national driver shortage, which the American Trucking Associations estimated to be around 78,000 truck drivers nationwide as of last year. Tackling Driver Retention with State-of-the-Art Facilities Hogan Hall is named in honor of Covenant Executive Vice President Joey Hogan, who has been instrumental in bringing the project into fruition. Hogan not only expressed his gratitude for such an honor but went on to touch on just how critical a role truck drivers play in keeping not only Covenant moving but the economy as a whole. These state-of-the-art facilities are sure to provide an unparalleled experience for truck drivers, demonstrating the company’s dedication to their professional growth and overall well-being. A Miracle on the Pennsylvania Highway Truck Overturns, But Tragedy Narrowly Averted Last week, Kostas Hobitakis survived one of the most terrifying accidents imaginable when his semi-truck, carrying over 40,000 pounds of cardboard, overturned on a Pennsylvania highway. As the truck skidded out of control toward the edge of a bridge, Hobitakis began to pray for his life. Miraculously, the truck managed to not fall off the bridge, although a portion of the trailer was ultimately disintegrated, sending the cargo crashing onto another interstate highway below. The accident, which ended up causing a shut down of both northbound lanes of an Interstate 79…

Connecting Dots: From Diesel to Global Recession – What We Know Now

Many are turning their attention to China and before you stop reading, it’s not for the reasons you may think. Get ready as we take a closer look at the world of diesel consumption and its surprising connection to the global economy. Across the globe, from China to Europe and even the U.S. Could these shifts in the diesel market be a harbinger of economic troubles ahead? Keep reading as we take a level-headed and honest approach to exploring the fascinating connectivity between diesel consumption and the health of the world economy. Diesel’s Crystal Ball: How Fuel Consumption Predicts Economic Health Over the past few weeks, there has been a noticeable decrease in truck traffic on China’s highways . Beyond this, diesel’s premium to crude futures in Europe has dropped to the lowest level in over a year. Back home In the US, we’ve already seen a 2% contraction in diesel demand predicted by S&P Global Inc. This slump in diesel consumption is the largest of its kind since 2016, excluding the effects of the pandemic year in 2020. This combination of news regarding the state of diesel prices has put recession-watchers on high alert. The weakening demand for diesel, which powers everything from commercial trucking fleets to construction equipment, has often been pointed out as an indicator when it comes to observing the state and health of the economy as a whole. Trucking’s Titanic Role in Diesel Trucking, unsurprisingly, accounts for a very significant portion of diesel demand. In the U.S. alone, trucking consumes around 70% of diesel use. The aforementioned drop in the number of trucks on Chinese highways, as reported by China’s Ministry of Transport, has already led to commercial diesel stockpiles reaching an eight-month high. Alongside this decline in demand, China has also seen an apparent easing of manufacturing activity in March. Spending Shifts & Diesel Dilemmas These downward trends seem to be echoing throughout much of the world. For example, in Europe, diesel demand has been significantly soft due to less of a need for heating. Beyond this, there are other overarching economic factors that have further slowed growth. The U.S. is no exception, as even our industry has been affected by declines in factory output, home construction, and retailers working off high inventories. Consumer spending has had a noticeable impact on the consumption of diesel as well. Despite the pandemic’s mass-normalization of ordering goods, it seems that the pendulum of consumer spending is swinging in a new direction, moving away from pandemic inspired internet orders and placing a new focus on the less tangible things the world has to offer such as real world experiences and vacations West Coast Worries The drop in US diesel demand is expected to be especially pronounced on the West Coast, where tech-sector layoffs and an unfolding banking crisis have created financial stress. Diesel demand in this region is predicted to slump by 5% in 2023, more than twice the national average. US container imports, another must-watch in economic health, are also under pressure. Inbound shipments in Los Angeles currently sit at their lowest level since March 2020. Before You Hit The Road… As the weakening demand for diesel continues to fuel concerns about the potential of a recession across our world’s major economies, it’s quite clear that the relationship between diesel and the global economy is much more intricate and interconnected than may first meet the eye. As expert predictions continue to to funnel in, only time will tell. But, one thing is clear: all eyes are sure to be on diesel. If you made it to this part of the article, we’d just like to take a moment to thank you for taking the time to read it. Be safe out there and as always, If you’re in search of CDL A, B, or warehouse positions, check out our open positions. And if you need staffing solutions for commercial driving or industrial positions, be sure to explore our offerings.

Navigating New Regulations and More: Unforgettable Stories from the Trucking World

Hold on to your steering wheel, folks! The trucking industry is going full throttle into a world of groundbreaking changes and jaw-dropping legal battles. Are you ready to dive into the hottest trucker news? If so, gear up for a wild ride as we are about to bring you the most captivating stories of the week that are bound to leave you on the edge of your seat. Trust us; you don’t want to miss this edition of the weekly trucker news roundup! A Small Victory for Jerry Johnson An Arizona court recently ruled in favor of a small-business trucking company owner, Jerry Johnson, who is now owed interest on cash seized during a trip to Phoenix for a truck auction. Johnson has $39,500 seized from him at Phoenix’s Sky Harbor Airport through what is known as civil asset forfeiture. This controversial legal process allows law enforcement to seize money or property believed to be connected to illegal activities. Despite having previous drug possession convictions, in this specific case, Johnson was never charged with a crime in relation to the seized funds. The Ongoing Debate around Civil Asset Forfeiture After a lengthy two year court battle, Johnson’s money was finally returned to him in March, along with a meager 0.8% interest. However, the Arizona Superior Court for Maricopa County ruled on April 4 that he is also owed 9% interest for the loss of use of his property and is eligible to be additionally compensated for his attorneys’ fees. The court’s decision highlights the ongoing debate surrounding civil asset forfeiture and its impact on the lives of both individuals and businesses. Reforming Civil Asset Forfeiture Laws Some states have already began attempting to reform civil asset forfeiture laws. However, these efforts have been met with varying degrees of success. For example, Arizona had tightened its rules after Johnson’s money was seized, but his case having occurred before was still subject to the previous law. In March of this year, representatives Jamie Raskin and Tim Walberg reintroduced the Fifth Amendment Integrity Restoration (FAIR) Act in effort to address this controversial practice at a federal level. Despite the challenges faced, Johnson’s case is a prime example of the problems caused by civil asset forfeiture and emphasizes the need for a thorough review and reform. As the owner of Triple J Logistics, Johnson was deprived of the opportunity to expand his business and buy another truck when prices were significantly lower than they are now. His story truly underscores the importance of reforming civil asset forfeiture laws and protecting individuals’ property rights in our country. Learn more about Jerry Johnson’s battle and the implications of civil asset forfeiture by reading the original article here. A Heartfelt Sendoff for Dave Cox Dave Cox, a beloved trucking business owner, received a heartfelt sendoff on Saturday following his recent passing at the age of 67. After a two-and-a-half-year battle with pancreatic cancer, Cox was celebrated during a 90-minute service at the Dixie Technical College campus, filled with laughter, tears, and stories of his life. Six of Cox Trucking’s signature blue semi trucks accompanied the post-funeral procession to the cemetery, blaring their horns in tribute. A Lasting Legacy in the Trucking Industry Cox, who joined the family business, Parke Cox Trucking Inc., in 1990, helped grow the company to employ 125 people, the majority of whom are truck drivers. Known for his love and support of his family and employees, Cox was remembered as an “absolute delight to work with.” Just two weeks before his passing, he accompanied his family on a trip to Costa Rica, creating unforgettable memories with his loved ones. As St. George mourns the loss of a cherished community figure, tributes and flower deliveries continue to pour into the company offices, showcasing the profound impact Dave Cox had on those around him. Read more about the touching memorial service and the impact Dave Cox had on the St. George community in the original article here. A Flurry of New Diesel Truck Emission Regulations Diesel truck emissions have long been a controversial topic, but with three new regulations in less than four months, the issue has taken over the headlines. In December, the U.S. Environmental Protection Agency (EPA) updated their emission standards for heavy-duty commercial vehicles, significantly tightening NOx and particulate matter limits. In a similar vein, the Biden administration has also allowed California to require half of all heavy trucks sold in the state to be fully electric by 2035, similatenously directing the EPA to seek a technology-neutral approach to reduce emissions even further. The Impact on Trucking Fleets and Manufacturers These regulations primarily impact vehicle manufacturers but will indirectly affect trucking fleets, as manufacturers will need to meet minimum sales thresholds for zero-emission equipment. American Trucking Associations President and CEO Chris Spear emphasized the need for Phase 3 standards to consider the challenges and operating conditions faced by motor carriers during the transition to a zero-emission future. However, Owner-Operator Independent Drivers Association President Todd Spencer criticized the measures, arguing that they force consumers to purchase electric vehicles without addressing existing concerns about electric commercial trucks or the lack of a national charging infrastructure network. Delve deeper into the recent regulations and their effects on the trucking industry by checking out the original article here New Greenhouse Gas Standards and Rising Equipment Costs As we just mentioned, the Biden administration’s newly proposed greenhouse gas standards for heavy trucks, is taking aim at significantly reducing carbon emissions and is expected to increase equipment costs for manufacturers, fleets, and owner-operators. The new rule, covering model years (MY) 2028 to 2032, will apply to various truck sizes, from delivery trucks to freight-hauling day-cab and sleeper-cab trucks. The Environmental Protection Agency (EPA) estimates that the new standards will cost truck manufacturers $9 billion before considering battery tax credits. After factoring in these credits, the compliance cost drops to $5.7 billion. A Diverse Range of Technologies Expected Although the EPA does not mandate a specific technology to…

Shifting Gears: Reimagining New York City’s Logistics Problem

Get ready, New York City! A major overhaul of the city’s trucking routes is underway for the first time since the 1970s. The City Council has proposed legislation to address the outdated trucking route map, and lawmakers are insisting on involving environmental and climate justice organizations in the redesign process. The Current Dilemma If you ask anyone about New York City, odds are they’ll think of the traffic, however, the problem goes far beyond just a traffic jam. One Bronx Council member, Amanda Farias, highlights some problems currently faced by residents including trucks clogging roadways, blocking crosswalks, and taking up parking spaces. All of which echo, impacting many different areas of day to day life. According to DOT Deputy Commissioner for Transportation Planning and Management, Eric Beaton, the increasing number of trucks on city streets in recent years is largely without a doubt, attributed to the pandemic’s boom in online orders and deliveries. Beaton believes it’s time we take a moment and thoroughly rethink the trucking route network. He even suggested going as far as taking a completely fresh and new approach to the routes in light of changing delivery patterns. Recently, Beaton openly disagreed with a recently proposed bill that would require the DOT to study street designs to keep commercial vehicles off residential streets, claiming that the effort would be better spent focusing on more specific location-based solutions. This bill, being first introduced last September, aims to redesign the truck route network completely and has already gained a mountain of support, with the latest numbers being 40 of the City Council’s 51 members. Support Comes As No Surprise This positive response in support of change should come as no surprise, to echo Beaton’s earlier point, the COVID-19 pandemic has significantly increased the volume of home deliveries across the nation. With that growth comes a need to reduce truck traffic on city streets. The DOT’s microhub program is part of a 2021 law passed by the City Council. Efforts to rethink logistic solutions have already begun, recently, the city announced plans to install 20 small delivery ‘hubs’ as soon as this summer. These hubs will allow big delivery trucks to drop off online orders to one central location. Upon arrival, the goods will then go on to be delivered to people’s doors using low-emission vehicles, handcarts, or e-bikes, in an effort to reduce the number of delivery trucks on city streets. Major voices such as Transportation Commissioner Ydanis Rodriguez, are placing clear emphasis on the importance of prioritizing equity when choosing the locations of these “microhubs”. This is due to the fact that polluted truck routes often pass through neighborhoods predominantly inhabited by people of color. However, the city must also consider where most deliveries are being made. The plan is already underway and will begin this summer, beginning with an initial installation of 20 microhubs. After this pilot test, there are plans to continue to expand the program over the next three years. While these plans may sound great on the surface, to ensure success there must be thorough thought and review of the program. The new law also requires the city to release a report on how microhubs have worked in other parts of the country to truly gauge the impact of the program and measure the implications for microhubs across the nation. While support is pretty much across the board, there are other voices advocating to be heard. One such voice is that of Danny Pearlstein, a Transit advocates from the Riders Alliance’s who argues that the city should also prioritize buses and trucks ahead of cars on major routes to ensure smooth transit for everyone commuting around the city. Before You Hit The Road… All in all, New Yorkers, buckle up and get ready for a new era of delivery and transportation as the wheels of change are set in motion! If you made it to this part of the article, we’d just like to take a moment to thank you for taking the time to read it. Be safe out there and as always, If you’re in search of CDL A, B, or warehouse positions, check out our open positions. And if you need staffing solutions for commercial driving or industrial positions, be sure to explore our offerings.

Green Hydrogen Takes On Trucking: Breakthrough or Bust

When it comes to green energy vehicles, it’s likely that batteries come to mind. However, for many of the heavier-duty tasks seen in industries like long-distance trucking, the current battery tech simply isn’t there yet. If you’ve been paying attention to recent headlines, you may have heard that green hydrogen has emerged and captured the limelight. Green hydrogen uses hydrogen fuel cells to produce electricity, an incredible resource as the only byproduct is water vapor The Sky Is The Limit Ultra Hydrogen, an innovative company in sustainable aviation, recently made headlines with its groundbreaking hydrogen-powered plane flight, marking a significant milestone in the quest for cleaner and more sustainable air travel. Universal Hydrogen, a company developing flight-ready fuel cells, completed taxi testing and received a special airworthiness certificate for their experimental De Havilland Canada Dash 8-300 test aircraft. This being the first successful hydrogen flight test, is even more impressive when you learn that the only output to the atmosphere was water vapor. This only begins to highlight just how incredible the advancements being made in harnessing hydrogen for eco-friendly transportation solutions across various sectors truly is. Energy Crisis: Solved? Sounds Great! The energy crisis is solved! Not so fast… According to a recent article, UK-based hydrogen expert David Cebon, co-founder of the Hydrogen Science Coalition, relying on green hydrogen for long-haul trucking is for all intents and purposes “completely wrong”. He emphasizes that hydrogen trucks are both costly and inefficient, requiring three times more energy to run compared to battery electric vehicles (BEVs). Cebon’s research shows that green hydrogen has an overall efficiency of just 23%, compared to 69% for a pure battery vehicle. This isn’t as bad of news as it may seem, Cebon suggests that we should be reserving this groundbreaking tech for sectors where electrification is currently not possible, such as aviation or shipping. With the application of this technology being so new, the production and infrastructure still have a lot of room to grow. For the time being, the industry faces a sort of time-sensitive scarcity leading it to be much less practical to implement currently. Because of this, using green hydrogen for long-distance trucking would necessitate three times more land for wind or solar farms to generate the same energy return. Powering Up: Down Under In more vast areas of the world such as Australia, where long-distance trucking is essential for the transportation of many vital goods and resources, the current battery limitations pose a very significant challenge. As it stands, the largest heavy haulage vehicle battery in Australia is 1,400 kWh, which powers a 240-ton truck used on mine sites. This truck is designed for short-range, high-capacity hauls, but with the limitations on its power supply, it’s not suitable for long-haul trucking. For Long-distance trucking in Australia, the process often involves B-Double trucks, which are built to cover distances of 500-750 miles without refueling. These trucks need an energy source that can provide the required range while maintaining efficiency and power. Unfortunately, the current battery technology has limitations in energy density and capacity, doesn’t make the cut when it comes to long-distance trucking applications. Electric trucks with existing battery technology are mainly useful for shorter-range tasks, such as public transportation and at ports, applications where the trucks can be charged more frequently and travel shorter distances between charging points. These use cases can still benefit from reduced emissions as well as lower operating costs associated with electric vehicles. Conclusion: Rethinking the Future of Long-Distance Trucking All in all, The green hydrogen debate highlights the importance of evaluating the practicality and sustainability of different energy sources. While it may seem great to slap the latest tech into everything, there’s a lot more at play than it may seem. While experts like David Cebon present compelling arguments against hydrogen trucks, it’s critical to explore alternative solutions that will meet the demands of the trucking industry while maintaining environmental responsibility. As this new tech finds its footing across industries, it’s certainly not the last time we’ll be hearing about it and the future of its innovation is worth keeping your eyes on. All in all, the green hydrogen discussion emphasizes the significance of assessing the practicality and environmental impact of various energy sources. While it might seem appealing to integrate the latest technology into everything, there’s a lot more to consider first. While future experts such continue to put forth persuasive reasons for and against hydrogen trucks, it only emphasizes the need to remain open to any and all options that can address the trucking industry’s needs without sacrificing our commitment to the environment. So, as green hydrogen technology makes its way into different sectors, we can be sure that this won’t be the last time we hear about it. It’s definitely worth keeping an eye on. Before You Hit The Road… If you made it to this part of the article, we’d just like to take a moment to thank you for taking the time to read it. Be safe out there and as always, If you’re in search of CDL A, B, or warehouse positions, check out our open positions. And if you need staffing solutions for commercial driving or industrial positions, be sure to explore our offerings.

Ponzi Schemes & Ghost Drivers: Unforgettable Stories In the Trucking World

Another Week of Unforgettable Stories Welcome to another edition of our weekly hits in trucker news, where we bring you the most important and intriguing stories affecting the trucking industry. This week, we’re covering a range of captivating topics, from the excitement of the 2023 PKY Truck Beauty Championship at the Mid-America Trucking Show to the controversial amendments in trucking liability bills and the bold steps towards zero-emission transportation solutions. These stories are bound to grab your attention, as they shed light on the industry’s ongoing transformations and challenges. Stay with us as we dive into the world of trucking and explore the latest developments that are shaping the industry. Polishing for Perfection: PKY Truck Beauty Championship Kicks Off MATS 2023 The 2023 Mid-America Trucking Show (MATS) in Louisville, Kentucky, may not kick off until Thursday, but the excitement is already beginning to build in Lot J. If you find yourself behind the West Wing of the Kentucky Expo Center, you’ll be face to face with the 2023 PKY Truck Beauty Championship, taking place through Saturday. This event is attracting truck enthusiasts who absolutely cannot wait to witness this years sure-to-be amazing lineup of trucks in the competition. Truck owners have worked diligently, polishing their prized vehicles and preparing for the event’s judges to take a closer look at their pride and joy before deciding the champions at the awards ceremony on Saturday morning. The PKY Truck Beauty Championship is renown for showcasing a diverse range of trucks, from brand-new, top of the line, models to the more antique classics that evoke the nostalgia that makes our industry so special. With dozens, if not hundreds, of trucks have already entered into the competition, attendees can expect a fascinating display at the 2023 MATS event. You don’t want to miss the chance to marvel at these incredible trucks and see who takes home the top prizes in this captivating contest. If you’re interested in checking out some of the vehicles that have already made their way to lot J, check them out here: Check out the early arrivers here! Forward or Back? Iowa House Adjusts Trucking Liability Bill This story is a quicker one as it’s still unfolding, but the situation is certainly worth keeping an eye on. In a potentially controversial move, the Iowa House voted 58 to 42 to amend a potentially harmful reform bill that has its sights set on accountability amongst the dangers faced by trucking companies and their relationship with those on the roads. The bill raises the cap on lawsuit damage awards to $5 million for Iowans injured in motor vehicle crashes, more than double the Senate’s $2 million cap. Beyond that, the new bill would exempt trucking companies from liability for negligence in hiring employees while maintaining their responsibility for negligence in training them. Essentially, trucking companies are responsible for proper training of employees, but what that employee does is up to them. One Iowa State Representative Sami Scheetz acknowledged that the bill was “significantly better” after the amendment, but insisted it is “still a terrible bill.” Scheetz and Representative Megan Jones went on to share their personal experiences with tragic accidents involving commercial vehicles to place emphasis on the necessity of litigation in some cases. The bill is headed back to the Senate for another vote on the new damages award amendment, but the debate over its merit is certainly far from over. Check out more here! Behind the Wheel of Deceit: Michigan’s Multi-Million Dollar Trucking Ponzi Scheme  A Michigan man identified as a “recidivist fraudster” has pleaded guilty to multiple charges related to several trucking-related fraud schemes. These schemes defrauded investors and the U.S. government of millions of dollars. Franklin Ray, 51, of Canton, Michigan, admitted guilt on March 28 to four counts of wire fraud, including one count while released on bail, two counts of wire fraud affecting a financial institution, and one count of aggravated identity theft. These charges are tied to Ray’s fraudulent activities involving CSA Business Solutions LLC and another Michigan-based trucking company. Between June 2020 and April 2022, Ray orchestrated four separate fraudulent schemes, which included two PPP frauds and a $40 million Ponzi scheme. Ray continued his fraudulent activities even after his arrest in March 2022, swindling investors of nearly $2 million while on bail. Ray falsely claimed to have purchased over 2,000 trucks using investments, but in reality, CSA Business Solutions LLC operated only a few trucks with minimal revenue from trucking activities. Ray also pleaded guilty to charges related to fraudulently obtaining $1.9 million in COVID-19 relief loans for the two trucking companies. Ray’s fraudulent schemes also involved inducing a New York City-based real estate company to pay $175,000 in startup costs for a joint venture that never materialized. The U.S. Attorney’s Office asserts that Ray continued operating the truck investment scheme even after his arrest in March 2022. Ray now faces a maximum sentence of 20 to 30 years in prison for the wire fraud charges, with an additional mandatory two-year sentence for aggravated identity theft. He has agreed to forfeit $42,128,912 and pay restitution to the victims. Check out the full story here! Dodging the Rules: ELD Vendors Accused of Facilitating ‘Ghost Co-Drivers’ Insiders have accused some Electronic Logging Device (ELD) vendors of exploiting loopholes in the Federal Motor Carrier Safety Administration’s (FMCSA) technical specifications to allow trucking companies and drivers to add “ghost co-drivers” to bypass hours-of-service (HOS) rules. A recent example surfaced with a driver using ELD Rider software, which allowed a ghost co-driver to be added within 15-20 minutes after contacting the company. This enabled the driver to have nearly 10 hours of additional driving time and extended their driving cycle before taking a federally mandated break. FMCSA has started to crack down on ELD providers that do not meet federal requirements, as they have removed five devices from their registry this year, which is more than in the previous four years. While the agency did not confirm…

Racing Clocks: How Good Intentions Plague An Industry of Independence

Safety: Not So Simple Recently, new light has been shown on the trucking industry and how it has been grappling with the unintended consequences of the Hours of Service (HOS) regulations and Electronic Logging Devices (ELDs) in the years since their introduction. Initially implemented to enhance safety and reduce driver fatigue, these changes have left truck drivers feeling shackled and forced to race against the clock, ultimately compromising the flexibility and freedom that drives so many to a career on the road. This was further emphasized in a 2019 study led by Scott from the University of Tennessee. The study found that the ELD mandates actually worked in the opposite direction, resulting in an unintended increase in unsafe driving behavior, leading to little or no improvement in overall crash rates for small fleets and owner-operators. Struggles of the Open Road Being out on the open roads of this country, truck drivers often work in dynamic and uncontrolled environments, making their profession uniquely challenging at even it’s most basic level. Their battles with inconsistent sleep schedules are not well-studied and have forced regulators to instead rely on sleep studies conducted on factory workers. Beyond sleep, some truck drivers are even exempted from overtime. This being due to the Fair Labor Standards Act (FLSA) and specifically the Motor Carrier Act (MCA) exemption. This exemption applies to drivers, driver’s helpers, loaders, and mechanics whose duties affect the safety of operation of motor vehicles in transportation on public highways in interstate or foreign commerce.  The exemption is frustrating for many truck drivers are who regularly face with unpaid waiting times at warehouses or even cruising for scarce parking spaces. Believe it or not, an American Trucking Associations study put an actual number on it, revealing that they spend nearly an hour each day just looking for parking. To take this perspective even further, according to research for an article we published earlier this year, there are roughly 1 parking space for every 11 drivers on the road. The fact that truck drivers are not entitled to overtime pay essentially reduces the value of their time to a free commodity. Although they still legally receive at least the federal minimum wage for all hours worked, it raises concerns about their compensation. It’s crucial to remember that this exemption applies specifically at the federal level, and individual states may have their own labor laws offering additional protections, including overtime pay, for truck drivers. This complex situation highlights the need for a closer examination of truck drivers’ working conditions and compensation. ELD: The Best of Intentions The introduction of Electronic Logging Devices (ELDs) was initially seen as a potential game-changer in the trucking industry. The idea was simple: by tracking drivers’ waiting time at customer warehouses, trucking companies could demand fair compensation for the time employees spent waiting to be loaded or unloaded. This, in turn, could have alleviated some financial pressures faced by truck drivers and created a more equitable working environment. However, implementing these changes has been far more complex. If retailers and manufacturers were to start compensating trucking companies for drivers’ waiting time, the increased costs associated with this shift would likely be passed on to consumers. This could lead to a surge in the prices of goods and services across the board, impacting the economy and consumers’ spending habits. On top of that, the pressure to maintain low costs and remain competitive may also prevent trucking companies from insisting on compensation for detention time. This would leave drivers in a difficult situation, still struggling with unpaid waiting hours and the resulting financial consequences of losing out on a good contract. As a result, the potential benefits of ELDs in reducing detention time and improving drivers’ working conditions have yet to be fully seen, and until then, the trucking industry continues to grapple with finding an optimal solution. Taking A Different Toll Truckers have long been an example when it comes to freedom, the profession has always emanated a certain sense of freedom. The introduction of the ELD mandate, however, has taken a toll on drivers’ sense of independence and job satisfaction. Although there is no definitive evidence that a significant number of skilled truck drivers have left the industry due to the ELD mandate, many have openly threatened to do so. This has led to a high turnover rate in the trucking industry, compelling companies to increase salaries to retain and attract drivers. High turnover rates in the trucking industry pose a serious problem. Training new drivers after they receive their Commercial Driver’s Licenses (CDLs) takes several weeks and can potentially impact safety. This is a truly slippery slope, as it turns out that high turnover rates at trucking fleets negatively affect the company’s safety scores. In light of the mounting list of challenges, the trucking industry continues attempting to strike a delicate balance between maintaining safety standards and addressing the unique challenges faced by truck drivers. Once this is accomplished, it will ensure a safe and sustainable environment for the future of the industry while respecting the needs and well-being of those who keep the wheels turning. Before You Hit The Road… We hope you enjoyed this week’s roundup of important trucker news! As always, we want to hear your thoughts and opinions on these stories, so be sure to leave your opinion in the comments below. Together we can stay informed and engaged. Don’t forget to check back next week for another edition of our weekly trucker news roundup. If you made it to this part of the article, we’d just like to take a moment to thank you for taking the time to read it. Be safe out there and as always, If you’re in search of CDL A, B, or warehouse positions, check out our open positions. And if you need staffing solutions for commercial driving or industrial positions, be sure to explore our offerings.

Simulators, Scams and Sustainability: Unforgettable Stories In the Trucking World

Another Week of Unforgettable Stories Welcome to another edition of our weekly hits in trucker news, where we bring you the most important and intriguing stories affecting the trucking industry. From a Nebraska couple sentenced for embezzling thousands of dollars from drivers, to a major acquisition in the US trucking sector, and the innovative trucking simulator setting high school students up for success, these stories are bound to grab your attention. Stay with us as we dive into the world of trucking and explore the latest developments that are shaping the industry. Nebraska Couple Sentenced for Embezzling $140K from Drivers Owners of B&B Midwest Trucking, a Nebraska-based company, have been sentenced for failing to pay over employment taxes to the Internal Revenue Service (IRS). William H. White and Sarah A. White, the husband and wife who owned the company, withheld federal income taxes and FICA taxes from employees’ paychecks between 2015 and 2018, totaling $144,220.31 for B&B and $281,827.44 for another of their companies, 419 LLC. Instead of paying the taxes on time, the couple used the funds to pay other creditors and for personal expenses. William White was sentenced to a year and a day in prison, followed by three years of supervised release, while Sarah White received three years of probation and a $10,000 fine. They were also ordered to pay $426,047.75 in restitution. The employer share of payroll taxes was paid before sentencing. According to the U.S. Attorney’s Office for the District of Nebraska, the Whites had sufficient funds to pay the taxes but chose not to, gaining an unfair competitive advantage over other businesses. The IRS Criminal Investigation’s Field Office wants to remind business owners that they have a significant duty to collect and turn over all IRS withholding taxes, and those who fail to do so will be prosecuted to the fullest extent of the law. This case serves as a reminder that not paying taxes can result in severe consequences, including criminal charges, imprisonment, and fines. To read more about this story, click here. Trucking Company Owner Reunited with $39,500 After Seizure by Phoenix Police Jerry Johnson, the owner of a North Carolina-based trucking company, has finally been reunited with $39,500 that Phoenix police seized through civil asset forfeiture in 2020. Johnson was accused of being part of a money laundering operation and had his cash confiscated after police found the money split between his carry-on and checked baggage at Sky Harbor Airport in Phoenix. However, Johnson was never charged with a crime related to the money. Under civil asset forfeiture laws, the government can seize property it believes is connected to a crime, even if no one is charged, and it’s the responsibility of the property owner to hire an attorney to get it back. The Institute for Justice, a libertarian legal advocacy group, took up Johnson’s case, and the Arizona Court of Appeals ruled in May 2022 that Johnson could contest the seizure. Prosecutors moved to dismiss the case in February, and Johnson got his money back. Although Johnson’s money has been returned, the case isn’t over yet. The Institute for Justice is still fighting over whether the state should pay him standard interest on the money and whether he’s owed attorney fees from the period before the group began representing him pro bono. The ordeal has created a significant financial burden for Johnson and his family, and he missed out on business opportunities because the money was held in a government account for nearly three years. To read more about this story, click here. Major Takeover in US Trucking: Knight-Swift’s Acquisition of US Xpress Knight-Swift, the largest player in the US truckload industry, is set to acquire US Xpress in a deal worth about $808 million, the biggest takeover in US trucking in years. According to the two companies, US Xpress will add about $2.2 billion in annual revenue, a boost of around 30%, to Knight-Swift’s turnover, with $1.8 billion generated in the truckload segment. The smaller carrier has struggled in recent years, with a net deficit of $40.5 million in 2022 and a restructuring plan to reduce costs by $25 million a year. The acquisition is an opportunistic move for Knight-Swift, and a rare opportunity for shareholders in US Xpress to get a generous return on their investment. The deal is expected to close by the end of the second or early in the third quarter, and US Xpress will continue as an independent brand. Despite the high purchasing price and outstanding debt, some observers believe the takeover could prove a bargain for the larger player if it manages to turn US Xpress around. As headwinds for US truckload operators are not expected to disappear in the near future, pundits have predicted more consolidation in the coming months. Knight-Swift’s acquisition of US Xpress affirms its interest in growth through acquisition, with president and CEO David Jackson signaling that it won’t be the final move of the company this year. To read more about this story, click here. Steering Success: How A Trucking Simulator is Setting Students Up For Success Richland School District One in South Carolina is offering a unique program for high school students to help them get a commercial driver’s license (CDL) and jumpstart their careers. Eau Claire High School is leading the way with a 45-student program that recently received a big boost by installing a brand new trucking simulator. Students can now learn space management, speed management, and hazard prevention without the risk of damaging a vehicle or themselves. After completing the program, students will have hands-on training and experience that could give them a competitive advantage in securing a job. Rick Todd, president of the South Carolina Trucking Association, says trucking is universal and a skill needed across the country, adding it can be a lucrative job with salaries of up to $100,000. Companies are always trying to up their game and get the best drivers they can find. For Keshawn Hair, a student…

A New Team: The Bipedal Robot Redefining Logistic Automation

Move over, Iron Man, because there’s a new superhero in town: Digit, a bipedal robot from Agility Robotics! The logistics and transportation industry is already witnessing the transformative power of automation and autonomy, with autonomous trucks leading the charge. In fact, we’ve covered a handful of these advancements on our blog this year. Once again, we’re thrilled to discuss another area experiencing an onslaught of innovation – bipedal robots and their impact on logistics and supply chain management. ProMat 2023 This week logistic pros and enthusiasts will attend ProMat 2023, the biannual trade show and exhibition taking place in Chicago, IL. This event showcases the latest manufacturing, distribution, and supply chain solutions and technologies. Industry professionals from manufacturing, logistics, warehousing, and transportation gather to learn about cutting-edge trends and innovations. Among the many impressive exhibits appearing, one particularly exciting attraction that has caught the attention of many is Agility Robotics and their unique bipedal robots. Agility Robotics Agility Robotics was founded by Dr. Jonathan Hurst and Dr. Damion Shelton a duo based out of Albany, Oregon. The company has already made waves based on their unique take on specializing in designing and building advanced robots for various commercial applications. The twist? They have legs. Their flagship product, the Cassie robot, is designed to operate autonomously and navigate complex environments with ease. Agility Robotics has attracted significant attention and investment from diverse industries, such as logistics, e-commerce, and healthcare, due to their groundbreaking technology and the potential to transform various parts of the industry from warehouse work to delivering packages. Taking the Stage This year’s ProMat is slated to be one for the books as it will finally showcase Agility Robotics’ latest bot, Digit. Digit is the team’s latest rendition of a bipedal robot and it is quickly becoming the go-to solution for numerous arms of our industry. At this week’s event, Digit will demonstrate its logistic capabilities in a replica warehouse. This is expected to be a very interesting and inspiring display of technology since unlike other robots we’ve become used to, Agility Robotics’ creations aren’t designed to simply mimic human movements. Instead, they’re built to work alongside humans, complementing human labor rather than striving to replace it entirely. Meet Digit While we wait for the full display later this week, let’s discuss what we already know about Digit. For starters, Digit is compact, strong, and versatile, capable of carrying up to 16kg (35lbs) and working for up to 16 hours in a 24-hour period. Even more impressive robot can autonomously connect to its docking station to recharge, eliminating the need for costly retrofitting. It’s just like a Roomba! As for walking capabilities, it’s actually able to move in any direction, traverse unstructured terrain, and detect and navigate around obstacles, including people. This is a game changer because it opens a door for true collaboration between human workers and their automated counterparts. Especially since Digit can pick up and put down objects of varying sizes and weights, making it an even more valuable asset in logistics and transportation. With its wide range of capabilities, it’s no surprise that Digit is rapidly becoming the robot of choice for many industries. As we continue to explore advancements in automation and autonomy, it’s evident that Agility Robotics is worth keeping your eye on as they seem to be spearheading a new movement and mindset in innovation within logistics and transportation. Live Stream Update: For those interested, a livestream of the Digit Demo at ProMat 2023 will be streamed on YouTube later today. Be sure to check it out! That’s All For Now As automation and autonomy continue to revolutionize these sectors, bipedal robots like Digit have the potential to play an increasingly important role in supply chain management. With its unique design, versatility, and ability to work alongside humans, Digit represents a new era of automation that complements human labor rather than replacing it. We hope you enjoyed this week’s roundup of important trucker news! As always, we want to hear your thoughts and opinions on these stories, so be sure to leave your opinion in the comments below. Together we can stay informed and engaged . Don’t forget to check back next week for another edition of our weekly trucker news roundup. If you made it to this part of the article, we’d just like to take a moment to thank you for taking the time to read it. Be safe out there and as always, If you’re in search of CDL A, B, or warehouse positions, check out our open positions. And if you need staffing solutions for commercial driving or industrial positions, be sure to explore our offerings.

Hauntings To Hazmat: Unforgettable Moments In The Trucking World

A Quick St. Paddy’s Day Thank You! Before we get into another wild ride in the trucking industry this week, we’d like to take a minute to wish you a Happy St. Patrick’s Day! Today, we celebrate our unrivaled road warriors and logistics experts who keep the world moving. Thank you for your dedication and hard work! Wishing you a day filled with good luck, fewer potholes, and smooth travels. Stay safe this weekend & cheers from The Optimum Logistic Team! Onto The News! A rising number of fatal crashes calls for action through a new Roadway Safety Action Plan that utilized data to identify crash hotspots and aims to eliminate deaths and serious injuries on Knoxville’s roads. Emergency crews responded to a hazardous material spill at an East Tennessee truck stop, meanwhile a highway safety advocacy group is demanding action to improve safety standards to prevent events like this from taking place. And to top it all off, for those who love a little strangeness, a truck driver’s dashcam captured a mysterious ghost-like figure on an eerie Arizona highway. Buckle up and join us as we dive into the latest news from the world of trucking! New Plan To Eradicate Fatal Crashes in Knoxville Knoxville, a picturesque East Tennessee city, has been plagued by a rising number of fatal and serious crashes. With 30% of these accidents occurring on 12 specifc roadways, the Knoxville Regional Transportation Planning Organization (TPO) is taking action. They’ve developed a Roadway Safety Action Plan, bringing together engineers, planners, law enforcement, community members, and other organizations to make Knoxville’s streets safer for everyone. While still acknowledging that humans make mistakes, the plan aims to eliminate deaths and serious injuries on Knoxville’s roads by addressing the factors contributing to accidents. For example, planners are examining roadway curves and roadside conditions to prevent crashes caused by drivers losing control and veering off the road. The TPO’s plan uses a data-driven approach, identifying and ranking crash hotspots based on the number of accidents per mile. This includes high-crash areas both in and around the city, popular areas such as like downtown’s Henley Street, Broadway and Chapman Highway, as well as Illinois Avenue in Oak Ridge, which lies on Knoxville’s outskirts. The next step will be securing funding to implement the plan and begin the work of making Knoxville’s streets safer. The TPO is also issuing some public through surveys to gather feedback and help achieve their zero-fatality goal. Ellen Zavisca, the TPO’s principal transportation planner, remains optimistic that they can prevent fatal and serious crashes, forever changing the lives of Knoxville’s residents for the better. Read the full story here! Highway Haunting: Truck Driver Captures A Spooky Sight on Dashcam Picture this: you’re driving alone on a desolate Arizona highway at 2:30 a.m. when you suddenly see a mysterious figure appear on the side of the road. That’s exactly what happened to truck driver William Church, whose dashcam captured a creepy, ghost-like figure on Arizona State Route 87 between Phoenix and Payson! With no other cars around, Church and the many viewers of his unique footage have been left wondering if this eerie encounter could be something supernatural… Arizona State Route 87 has a long and deadly history, with many fatal car accidents occurring on the 96-year-old road. Constructed in 1927, the highway stretches over 272 miles from the north end near Second Mesa to the south end near Picacho. Some locals have even come to believe that the road could be haunted, with Valley Chevy Dealers in Phoenix dubbing it one of Arizona’s “most dangerous roads” due to its looping turns and beeline-like route. Captured by a Nexar dashcam, which is designed to record drives for security reasons, the six-second clip reveals a translucent figure resembling a person standing in the roadway. Church pointed out that you can even see the lines through the figure’s legs, adding to its ghostly appearance. With no other cars on the road and the highway’s spooky reputation, it’s no wonder people are discussing the possibility of a supernatural occurrence. While we may never know for sure if William Church’s sighting was a ghost, it’s clear that this spine-chilling encounter will leave viewers questioning the unknown. Hazmat Leak At East Tennessee Truck Stop Emergency crews responded to a hazardous material spill at a truck stop on Watt Road in Knoxville. A semi-truck began leaking some kind of dangerous substance, prompting the Loudon County Sheriff’s Office, county EMA, and fire crews to respond along with Knox County Rural Metro. The hazmat teams worked to clean up the spill and people were urged to avoid the area and take alternate routes if possible. Update: The quick response from multiple emergency crews shows just how seriously they take these kinds of incidents. Authorities have already identified the material as Peroxyacetic Acid. This multi-purpose antimicrobial agent, surface cleaner, and sanitizer is currently used across many different industries. While it is safe while stabilized, when it’s in its purest form, it can be corrosive. Two passerbys who witnessed the acid’s “vinegar-like” odor actually ended up driving themselves to the hospital to get checked out. Highway Safety Advocacy Group Calls for Crackdown on Trucking Industry From a train derailment in East Palestine to a semi-truck rollover in Tucson, Arizona, we’re seeing more and more that there is a growing issue with hazardous material spills. Scary, right? Well, the Truck Safety Coalition (TSC) is demanding that U.S. Transportation Secretary Pete Buttigieg take action. Their goal is to improve truck safety standards and prevent dangerous crashes, while simultaneously putting public safety ahead of corporate profits. Okay, sounds great, but how exactly do they plan to achieve this? The TSC has a list of recommendations for the Department of Transportation (DOT), and they’re not holding back: Requiring Automatic Emergency Braking (AEB) on all commercial vehicles. Research shows AEB could eliminate over 40% of large truck rear-end collisions. The European Union has been requiring AEB on heavy trucks since 2013. Mandating…

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