Trucking news and briefs for Wednesday, March 29, 2023: ACT: Freight downcycle closer to end than beginningFreight volumes and rates declined in February, but the freight downcycle is closer to the end than the beginning, according to the latest release of ACT Research’s For-Hire Trucking Index. Rate trends should begin to recover as soon as traction on freight volumes is established, ACT said, and slower capacity growth this month is a hopeful sign the bottoming process is closer, as fleets begin to respond to softer market conditions. ACT’s Trucking Volume Index was in contraction territory for the eighth month of the past 11 in February at 41.3 (seasonally adjusted) from 51.6 in January. Volumes remained soft amidst a market of mixed economic signals, ACT noted. “The soft freight market persists as inflation continues to impact consumers’ purchasing power, and recent bank failures and job cuts make recession more likely,” said Tim Denoyer, vice president and senior analyst at ACT Research. Pricing Index weakness continues, decreasing 6.3 points, to 39.3 in February (SA) from 45.6 in January. This is only the fourth time in the index’s history that prices have been in the thirties. “The cure for low prices is low prices, and we currently estimate spot rates are 16% below fleet operating costs, which should expedite this bottoming process,” Denoyer added. “Even as freight demand fundamentals will likely remain soft, seasonal increases in TL volumes as capacity slows and eventually tightens will build the bottom of the spot rate cycle in the next couple of months.” ACT’s Capacity Index declined by 3.7 points month over month to 51.0 in February, indicating slower growth. Capacity has improved in terms of both equipment and drivers the past year, with improvements in the supply chain and as drivers have shifted to larger, well-capitalized fleets after the sharp fall in spot rates. ACT said slower capacity growth this month is a key sign the bottoming process is happening, as fleets begin to respond to softer market conditions. After rallying in January, the Supply-Demand Balance reverted looser, falling to 40.1 (SA) in February from 47.0 in January, with the month-over-month declines in both volumes and capacity. “The trucking market has been loose for a full year based on this series,” Denoyer concluded. “Though the loose environment is expected to persist in the near term, we expect less loosening from here.” Teamsters, ABF start work on new dealThe Teamsters National Freight Industry Negotiating Committee (TNFINC) said it met with ABF Freight (CCJ Top 250, No. 18) this week in Arlington, Virginia, to begin negotiations for a new national contract for more than 8,000 members at the company. The current national agreement expires June 30. "We will demand everything our members deserve at the table," said Teamsters National Freight Director John A. Murphy. "Our committee has reviewed hundreds of issues based on thousands of responses from our members at ABF. Their input has been crucial to our contract proposals and ensuring that our members' voices come first in these negotiations." The negotiating committee is made up of leaders from around the country as well as rank-and-file members committed to securing a strong new agreement. Shippers’ conditions declined in JanuaryFTR’s Shippers Conditions Index (SCI) fell in January to a reading of 5.4 from the December 10.3. December’s SCI had reflected robust market conditions for shippers, which softened a bit in January as looser capacity was the only factor more favorable month over month. The January SCI, exclusive of the December reading, was still the strongest since May 2020. The SCI is forecast to remain stable into 2024. “The Shippers Conditions Index is likely to hold firm unless overall economic conditions deteriorate significantly from present levels,” said Todd Tranausky, vice president of rail and intermodal at FTR. “Looser truckload capacity, slowing imports and improving rail service should all support stable to improving shippers’ conditions through the balance of the year.” The Shippers Conditions Index tracks the changes representing four major conditions in the U.S. full-load freight market: freight demand, freight rates, fleet capacity, and fuel price. The individual metrics are combined into a single index that tracks the market conditions that influence the shippers’ freight transport environment. Chipman Relocation announces new leadershipChipman Relocation & Logistics, a full-service moving, storage and logistics company, has announced the transition of the Chipman organization to its third generation. Justin Chipman, who has been serving as the President & Chairman of the Board since 2015, has been named Chief Executive Officer. Under his leadership, the company said it will continue to strategically position its core focus and drive the organizational core values, which are designed to promote a better customer experience, drive growth, and to be the employer of choice in the industry. John Chipman Jr. will continue his role as Executive Vice President, a position he has held since 2018. He will continue to lead and guide the organization in areas of legal, risk, and organizational representation within UniGroup and in the industry. As the Senior Chairman of the California Moving & Storage Association, he is interested in advocating for improvement in the moving and storage industry. Chipman Relocation & Logistics was founded in 1939 with full-service facilities in San Diego, Los Angeles, San Francisco, Napa, Sacramento, Portland, and Seattle. Shell company Lelantos looks to enter trucking with truck purchaseLelantos Holdings recently announced that it has acquired 15 trucks as part of the company’s four-step approach to entering into the shipping and logistics business. The completion of this initial asset purchase will provide Lelantos with a cash-flowing business model that is intended to complement its current energy division, as well as deliver an increased asset valuation, the company said. Lelantos has also submitted its supplemental nonshell report with OTC Markets with the intent to remove the Company’s “Shell” designation. The initial assets were acquired from TK Zarro LLC. All assets initially acquired hold an approximate total valuation of $1,144,730 million. The additional three phases of the company’s plan to enter the shipping and logistics business include acquiring 18 tractor-trailers, a full freight brokerage business and a fuel program business from the seller. “We are excited to add additional assets to our company, propel past the shell status and provide value to both the company and shareholders,” said CEO Nathan Puente. “This, along with the acquisition of Lelantos Energy and the many projects under development, will help cement our future growth and achieve our goals of being an established and profitable company.” https://ift.tt/OB8G5ld
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Technology news and briefs for the week of March 26, 2023: Trucker Path offers bundle for smaller fleetsTrucker Path, a mobile app for North American truckers, has combined multiple products to create an affordable package for small- to mid-size fleets. The Essentials bundle includes truck-safe navigation and routing, ELD, load board and direct-to-app dispatching solutions. “Our new Essentials package includes everything a small- to mid-sized carrier needs to efficiently and effectively grow their business,” said Trucker Path Chief Marketing Officer Chris Oliver. “Not only does Essentials save our customers 35% compared to the cost of buying individual products, but it also provides an advantage when it comes to support and coordination, and seamless interoperability from a single provider.” Included is the Geotab ELD with electronic DVIR capabilities; the TruckLoads load board, offering unlimited access to search, bid and book loads quickly and easily; a fully integrated, easy-to-use software to dispatch loads directly to the drivers’ Trucker Path app; and TruckerPath truck mapping and navigation. Fleets using other brands of ELDs to meet regulatory requirements can also take advantage of the Essentials bundle from Trucker Path without its ELD solution. Cover Whale expands truck driver coverageCommercial trucking insurance provider Cover Whale Insurance Solutions Inc. has partnered with TrustedChoice.com, a digital marketing platform for independent agents and brokers, to expand truck driver coverage. With access to TrustedChoice.com’s insurance marketplace and more than 240,000 independent insurance agents, Cover Whale can deliver its coverage to thousands of commercial truck drivers across the country. In addition, independent agents who don’t currently have access to Cover Whale for their clients now have a digital path to the company and its products through their TrustedChoice.com membership. “Our team is always looking for new ways to connect insurance agents with truck drivers,” said Cover Whale CEO Dan Abrahamsen. “This partnership enables us to deliver instant quotes to more agents with trucking clients, and more coverage to America’s safest drivers and small fleets. TrustedChoice.com’s vast network also gives us more opportunities to deploy our Driver Safety Program to make roads safer for everyone.” Haul Hero launches new navigation platformHaul Hero, a mobile platform that initially focused on providing real-time cost-per-mile calculations and expense management, has expanded with a new navigation platform that it unveiled recently during the Mid-America Trucking Show in Louisville. The new navigation platform is free to all Haul Hero subscribers and features turn-by-turn directions, rerouting, parking, weigh stations, stops and more. A superhero subscription is also available with features that include weather routing, severe warnings and the actualizer, which calculates real-time load cost per mile. Superhero accounts also receive detailed monthly activity statements highlighting monthly miles and fuel and rig costs. Additionally, Superhero users will soon be introduced to features like wind advisory, traffic incidents and Haul Hero’s exclusive ‘voice-to-action’ hands-free integration. The voice-to-action integration allows drivers to engage the essential features of the app through voice commands, enabling drivers to bypass typing information into fields such as setting up profiles, entering load pick-up and drop-off locations and capturing expenses. Haul Hero is a free app available in the App Store and Google Play. Ezlogz integrates Drivewyze PreClear, Safety+Ezlogz, a provider of fleet management solutions for trucking companies and owner operators in the U.S., has partnered with Drivewyze, which offers weigh station bypass and driver safety services, to help its customers save time and money and improve safety outcomes. Ezlogz has integrated with Drivewyze to provide its customers with Drivewyze PreClear weigh station bypass and Drivewyze Safety+ services to its platform. Since no transponders are required, activation of Drivewyze PreClear on the Ezlogz platform can be done in minutes. Drivewyze transmits safety scores, registration and tax compliance information to the weigh station, which then calculates the information against the bypass criteria established by its state or province. If the carrier and vehicle pass the criteria, the driver receives permission to bypass the site at one mile out. The better the fleet’s safety score, the more bypasses typically granted. The service is offered at more than 880 locations in 46 states and provinces. Drivewyze Safety+ provides drivers with real-time weather alerts and in-cab safety alerts for upcoming dangerous curves, low bridges, high speeding citation areas and more. Drivewyze’s back-office tools also allow fleets to create their own customized driver alerts, and its safety analytics allow fleets to monitor driver behavior and help in driver coaching. https://ift.tt/OB8G5ld ARKO Corp., one of the largest convenience store operators in the U.S. with 3,200 locations under various brands, on Monday issued a letter urging the Travel Centers of America’s Board of Directors to consider ARKO’s proposal to acquire TravelCenters. BP Products North America agreed in February to a $1.3 billion deal to acquire TravelCenters of America Inc., the operator and franchisor of the TA, Petro Stopping Centers and TA Express travel center brands. The acquisition is valued at $86 per share. About a month later, ARKO proposed to acquire TravelCenters for $92 per share. In a statement released by the company Tuesday morning, TA said following a comprehensive review with its financial and legal advisors, the TA Board unanimously concluded that ARKO’s proposal did not constitute a superior proposal and could not reasonably be expected to lead to a superior proposal. "Among the reasons the Board determined that ARKO’s proposal was neither a superior proposal nor likely to lead to a superior proposal was the high level of execution risk resulting from ARKO’s failure to obtain committed financing and that ARKO’s sub-investment grade credit rating was not attractive to Service Properties Trust (SVC), the landlord of most of TA’s properties," the statement read. ARKO contends that it has completed 23 transactions since 2013, and one pending and expected to close in the second quarter of 2023, and in all that time "ARKO has never required any financing conditions and has closed every acquisition it has put under contract. ARKO’s proposal to TravelCenters offers no financing-related conditions." The BP transaction has already been unanimously approved by the TA Board of Directors, but in the process of selecting an acquisition partner TA said it, along with its advisors, engaged with multiple potential buyers who the TA Board believed could "close with cash on hand or otherwise had committed financing." In addition, in order to meet SVC’s minimum credit criteria for the new tenant and guarantor of the leases between TA and SVC, "only parties that had a minimum investment grade credit rating of BBB/Baa2 were invited into the process." BP is financing the transaction with cash on hand and has an investment grade credit rating of A3/A-, TA said. ARKO requires third party capital to close any potential acquisition and its sub-investment credit rating of B+/B2 is several notches below BBB/Baa2. Subject to shareholder and regulatory approval, TA and BP are targeting closing the acquisition by mid-year. https://ift.tt/OB8G5ld San Diego Gas & Electric (SDG&E) on Monday unveiled four public, direct current (DC) fast chargers at a truck stop just north of the Otay Mesa Port of Entry – the first of its kind to open at a truck stop in California to serve medium- and heavy-duty vehicles. Installed at Truck Net, a full-service truck stop near the U.S./Mexico border, the 250-kilowatt (kW) chargers can provide up to 250 miles per hour of charging for a passenger car, can charge a typical medium-duty box truck from 20%-80% in about an hour, and fully charge from empty to 100% in about two hours. [Related: California will be allowed to set its own emissions limits] "Air pollution doesn't recognize national boundaries, and to accommodate the transition to zero-emission trucks on both sides of the border, it's critically important that we rapidly scale up the charging network," said California Energy Commissioner (CEC) Patty Monahan. "The California Energy Commission is helping fund this project and others across the state to build a better and more equitable charging infrastructure system for both cars and trucks." The Otay Mesa Port of Entry is the busiest commercial border crossing in California, processing nearly one million commercial trucks and five million privately owned vehicles annually. Idling vehicles waiting to cross the border is a key contributor to air pollution in the San Diego region. While these chargers are designed to provide high power charging for trucks, delivery vans, buses and other large vehicles, they can also be used to charge passenger cars. "Reducing air pollution and tailpipe emissions are top priorities for our region and California especially in equity priority communities, and SDG&E is committed to building the infrastructure needed to enable businesses and residents to adopt electric vehicles and other clean technologies," said SDG&E CEO Caroline Winn. "We all share the goal of building a cleaner, more sustainable and healthier future." San Diego County Board of Supervisors Chair Nora Vargas, who represents Otay Mesa and serves on the California Air Resources Board and the County Air Pollution Control District board, in addition to being chair of the San Diego Association of Governments (SANDAG) board, emphasized the importance of reducing emissions in border communities and communities of color that have historically been overburdened by pollution due their proximity to high traffic corridors. "As a fronteriza and someone who has experienced first-hand the air pollution associated with long lines of idling vehicles waiting to cross the border, I am thrilled to see the electric vehicle chargers installed at this truck stop," said Supervisor Nora Vargas, chair of the San Diego County Board of Supervisors. "This is a true community infrastructure solution that proves that through public-private partnerships, we can improve poor air quality for families and children and promote economic prosperity for the binational region." The chargers were funded by a $200,000 grant through the CEC's Clean Transportation Program. Now in its 14th year, the program has provided more than $1 billion to alternative fuel and vehicle technology projects that deliver health, environmental, and economic benefits to communities. Funding for the program is scheduled to phase out at the end of the year. SDG&E built the underlying infrastructure tying the chargers to the grid, as part of its Power Your Drive for Fleets program. The program connects fleet operators with resources and financial incentives to easily and cost-effectively design and install charging infrastructure for medium and heavy-duty fleets. The project helps support Gov. Gavin Newsom's executive order requiring sales of all new passenger vehicles to be zero-emission by 2035 and medium and heavy-duty vehicles (Class 2b-8) to be zero-emission by 2045 where feasible. According to the CEC, nearly a million battery-electric cars have been sold in California and nearly 2,000 zero-emission trucks and buses are on the road today. The state also has more than 80,000 public and shared private EV chargers. The vast majority, about 90%, are Level 2 chargers, which provide 14-35 miles of range per hour of charging. The remaining 10% are DC fast chargers. https://ift.tt/OB8G5ld This is one of three installments in CCJ's What Drivers Want series. Two other articles in the series are "Pay and respect top influences on why drivers leave a carrier" and "Why many drivers aren't looking forward to retirement". You can download the full results of our What Drivers Want report here. A nice truck is a perk, but it's not a significant bargaining chip when trying to sway a would-be driver away from another fleet, according to the results of CCJ's most recent What Drivers Want survey. Just 2% of company drivers cited a new/newer model truck as the main reason they would consider changing jobs and driving for another fleet, but that doesn't mean they would be satisfied rolling around in bone stock equipment. "I need a radio I don't have to mess with to keep me informed and entertained," said company driver Steve Hearne, "(and) I need a seat that won't break my back and give me Charlie horses." What do drivers want? Find out with this comprehensive research from the editors at CCJ. Download to access insights on driver pay, why they switch fleets, family life/home time and more. Special seat that improves comfort for long hours of driving was the top (62%) equipment feature drivers said was important to them; a full 20% higher than having a late model truck and having a large sleeper. Just behind a nice seat, with 56%, was an auxiliary power unit (APU). When asked to rank them in order of importance, the seat and APU, again, were ranked 1 and 2, respectively, followed by a large sleeper and late model truck. Satellite radio rounds out the Top 5. "Compared to the cabovers of the '70s, '80s and '90s, trucks have improved to make our lives better for living," said company driver Ron Moore. "I am driving a beautiful burgundy with a cream stripe, new KWW 990. Compared to crawling into a coffin, the large sleeper is nice." Download CCJ's 2022-2023 What Drivers Want survey results here.An APU was particularly in demand with the youngest group of survey respondents; 100% of drivers age 34 and under cited it as important. While complex technology made the list of things that cause drivers frustration, a communication platform that keeps them connected with the office ranked sixth (24%) as a feature drivers felt was important. "Good communication decreases stress," said company driver Robert Jenkins, "and comfort in driving decreases stress." Company driver Cliff Sees said he likes having a record of conversation with his dispatcher while company driver Micael Harmon added "reliable communication at all the times would be number one on my list." The whole world seemingly awaits trucking's transition to zero emissions but that enthusiasm doesn't translate to the men and women behind the wheel. Almost half (49%) of all respondents to CCJ's most recent What Drivers Want survey said they didn't care one way or the other about battery electric or hydrogen pownertrains and just 11% said that if their fleet bought one, they would want to drive it. Those that did care about zero emission trucks claim to care a lot; 40% said they would quit before driving one. Maybe unsurprisingly, the youngest group of respondents – those age 34 and younger – were more favorable to electric powertrains, with 27% wanting to drive it and only 18% willing to quit over it. Why do fleets struggle to recruit and retain drivers? Actual drivers weigh-in. https://ift.tt/b6gB4cP Trucking news and briefs for Tuesday, March 28, 2023: Another ELD removed from FMCSA’s approved devices listMotor carriers using the All-Ways Track ELD are required to stop using the device and replace it with a compliant ELD by May 26. The Federal Motor Carrier Safety Administration removed the device from its list of registered Electronic Logging Devices on Monday because it no longer complies with the minimum requirements for ELDs. The agency didn’t specify which requirements the device fails to meet. The All-Ways Track ELD is the sixth ELD to be revoked by FMCSA, and the fourth this year. FMCSA will be sending an industry email to let motor carriers know that all who use All-Ways Track ELD must take the following steps:
If All-Ways corrects the identified deficiencies, FMCSA will place the ELD back on the list of registered devices and inform the industry and the field. However, FMCSA strongly encourages carriers to stop using the device and replace it with a registered ELD to avoid compliance issues in the event that the device’s deficiencies are not addressed in time. [Related: Third ELD revoked by FMCSA in last two weeks] FMCSA denies broker group’s petition to remove transparency regsIn a letter filed to the docket of the Transportation Intermediaries Association’s 2020 request to remove certain regulations pertaining to brokered transaction transparency, the Federal Motor Carrier Safety Administration sided with carriers and owner-operators and denied the petition. TIA requested in November 2020 that FMCSA rescind 49 CFR 371.3(c) concerning the rights of parties to a brokered transaction to review the records of the transaction. TIA argued that the regulation, established in 1980, doesn’t apply in today’s marketplace. The group added that the spot market is “one of the most transparent marketplaces in the world,” noting that load boards, the internet and rate quotes in person-to-person communications within the industry “provide the rate transparency that was intended by 49 CFR 371.3 when commissions paid by carriers to brokers were common.” In denying the request, FMCSA said TIA’s request “does not contain adequate justification to initiate rulemaking,” adding that the agency “believes that elimination of the records disclosure provision would be contrary to the stated transportation policy goals in 49 USC 13101, including promotion of fairness and efficiency in the transportation industry.” TIA’s petition also asked FMCSA to develop guidance related to “dispatch services,” which FMCSA said was covered in interim guidance issued late last year on the definitions of “broker” and “bona fide agent” that also considered the definition of a “dispatch service.” The Owner-Operator Independent Drivers Association in 2020 petitioned FMCSA to improve broker transparency, requesting that brokers provide transaction information automatically within 48 hours of the completion of contractual services and that brokers be prohibited from including any requirements that a carrier waives their rights to access the transaction records. [Related: FMCSA proposing new broker, freight forwarder financial responsibility regs] Navistar recalling 5,800 International trucksNavistar is recalling approximately 5,808 model year 2020-2024 International HX trucks because the grille surround may corrode and detach from the truck, according to National Highway Traffic Safety Administration documents. A detached grille surround can fall to the roadway and create a road hazard. Dealers will replace the grille surround, free of charge. Interim owner notification letters instructing owners to inspect their grille surround before driving their trucks are expected to be mailed May 15. Owners will receive a second notice once remedy parts become available. Owners can contact Navistar's customer service at 1-800-448-7825 with recall number 23507. NHTSA’s recall number is 23V-170. In a separate recall, Navistar is recalling approximately 24 model year 2023 International HV, HX, LT, RH and Lonestar trucks. In the affected units, the Intellipark Tractor Park Valve Module (PVM) may intermittently become stuck in the un-parked position and fail to move into the park position when the park switch is activated, which could cause the truck to roll away. No remedy has been established at this time, according to the recall documents. Interim notices advising owners on what action they should take when applying the parking brake until the remedy is complete are expected to be mailed May 15. Second letters will be mailed once the remedy is available. Owners may contact Navistar's customer service at 1-800-448-7825 with recall number 23508. NHTSA’s recall number is 23V-171. Hub cap issue prompts Volvo recallAn issue in which the hub covers do not properly fit on the hub and can detach from the truck has prompted a recall of approximately 726 model year 2024 Volvo VNR, VNL, and VHD trucks. Dealers will remove the hub covers, free of charge. Owner notification letters are expected to be mailed May 5. Owners can contact Volvo Trucks' customer service at 1-800-528-6586 with recall number RVXX2302. NHTSA’s recall number is 23V-173. Peterbilt 579 models recalled over parking brake issuePaccar is recalling approximately 25 model year 2023-2024 Peterbilt 579 trucks with the same parking brake issue as some of the International trucks being recalled. In the affected Peterbilts, the Intellipark Tractor Park Valve Module (PVM) may intermittently become stuck in the un-parked position and fail to move into the park position when the park switch is activated, causing a potential rollaway. Dealers will replace the PVM with a new corrected part, free of charge. Owner notification letters are expected to be mailed May 19. Owners may contact Paccar’s customer service at 1-940-591-4220 with recall number 23PBC. NHTSA’s recall number is 23V-185. https://ift.tt/b6gB4cP Might truck manufacturers lure more customers to a growing number of hydrogen options by building their own hydrogen fueling stations? It’s a question that CCJ posed to various hydrogen experts following Nikola’s recent news announcing its fourth hydrogen station in California. Nikola aims to open 60 stations by the end of 2026 through its HYLA brand, more than doubling the current number of hydrogen stations in the U.S., which the Department of Energy currently lists at 55 (all of which are in California). Nikola reports that its stations will not only serve customers using the Nikola Tre fuel cell electric vehicle (FCEV) but also trucks from other manufacturers. So far, the Arizona-based startup is pleased with the results. "The HYLA launch has been a success and our customers are pleased that we are bringing a full solution to them, including the FCEV and infrastructure, and can now see how adoption could work in the early years of the transition to zero-emissions," said Cary Mendes, Nikola's president of energy. [Related: Hydrogen infrastructure bill reintroduced] Srikanth Padmanabhan, president of Cummins’ engine business, the largest of the company’s five business segments, views Nikola’s hydrogen station rollout as a positive start that could help encourage hydrogen truck sales among fleets concerned with fuel availability. Cummins fuel cell powertrains and 15-liter hydrogen engines are scheduled to enter the market in 2024 and 2027, respectively. “It's chicken or egg, right? Eventually, people will figure out who needs to set up the infrastructure and who needs to set up the equipment themselves, and I think it'll sort itself out in a while,” Padmanabhan said. “But until such time I think people are going to try this because if there is demand and there is no supply, it won't work. Or if there is too much supply and not enough demand for the use of the fuel, then that will be a problem as well. Early on, I think this is how people will try it.” Cummins is no stranger to alternative fuels. The company’s recently launched clean energy subsidiary Accelera markets battery packs, fuel cells, ePowertrain systems and electrolyzers, which are used to produce hydrogen. Does Accelera have plans to roll out its own hydrogen stations? Accelera’s 20 megawatt HyLYZER PEM electrolyzer system in Quebec is the largest electrolyzer in the world. Plus, Cummins website shows a hydrogen pump with Cummins branding. However, at this point the company told CCJ that their 60 electrolyzer projects around the globe support onsite hydrogen production only and that they "do not provide the station." Padmanabhan said it’s too early to determine all the viable paths for getting hydrogen to market. “It'll take a while before it settles down to say that it will be fuel providers and that it will be infrastructure providers, and then there'll be people that will provide the equipment that will use those fuels,” Padmanabhan said. As the North American Council for Freight Efficiency gears up to release its report early next month on hydrogen fuel use in trucks, NACFE executive director Mike Roeth endorsed the idea of OEMs opening up their own hydrogen stations to help spur clean truck adoption. “Vehicle OEMs helping with the very early deployment of their hydrogen trucks with fueling solutions is really important,” Roeth said. “This is very early and can be viewed as a way to support demos and field tests with these solutions. There are so many things yet to learn and decide with respect to hydrogen trucks and their fueling that we need to start doing it to help refine how this will actually occur. Down the road we will look back and see many, many ‘phases’ of hydrogen truck deployments.” It worked for TeslaBill Elrick, executive director at the Hydrogen Fuel Cell Partnership, formerly the California Fuel Cell Partnership, pointed out how Tesla helped enable sales of its EVs by rolling out its own brand of chargers across the country. He thinks that fuel cell manufacturers might also benefit from that same approach, albeit it with some challenges. “I'd say take a look at Tesla. That's how they got on the map. They knew charging was a problem so they provided that,” Elrick said. “They've also shown how it's really challenging. ‘Do we open it up to other people or not? How big do we build it? Do we use the same plug?’” When it comes to deploying hydrogen stations, Elrick sees startups like Nikola having an advantage over well-established OEMs. “They’re not bound by their history. A startup like Nikola can be anything they want to be, so it's probably easier for them as opposed to a [legacy truck manufacturer] or anybody who's been around for a hundred years to say, ‘I'm going to provide the fuel too.’ It’s creating a whole new widget – and challenge and business – that's quite likely needed. And at the same time, do we want to get into it?” [Related: Cummins CEO sees engine use declining amid push for alt fuel] Elrick said that legacy companies have had longstanding partnerships with large fuel companies that could prove advantageous when it comes to pairing up fuel cell deployments with hydrogen station rollouts. “[Legacy OEMs] are so well connected,” Elrick said. “Why would they go compete against somebody who's been a partner over the decades?” Hyliion, a startup that’s pursuing both Class 8 natural gas hybrids and fuel cells through a recently announced partnership with Hyzon, is not looking to deploy its own hydrogen stations. “I think for us, it's not a smart use of the capital that we have to go try to do something like that,” said Hyliion CEO Thomas Healy. “With hydrogen, if fuel cell vehicles are your sole business then you're going to have to solve the infrastructure problem, because it's kind of a chicken or egg situation of which comes first.” Amgad Elgowainy, senior scientist and distinguished fellow at Argonne National Laboratory who leads the electrification and infrastructure group with a focus on hydrogen and electrification applications, views OEM hydrogen production as “possibly” a productive path for hydrogen truck adoption. “We see a lot of like industry trying to vertically integrate basically to be independent,” Elgowainy said. “It would make sense for some to do a partnership. For others, maybe depending on their plans, they’d rather be vertically integrated.” Whatever the path, Elgowainy said hydrogen production technology stands at the ready. “Whether it is electrolyzer or whether it is reformation, the technology is there today. Some might be appropriate for certain scale, others may be appropriate for other scales. You have to consider the availability of your energy supply chain, cost of the energy supply chain and carbon intensity of your energy supply chain. All of this will be important for sustainability, whether economic and environmental among others.” https://ift.tt/b6gB4cP What do drivers want? Find out with this comprehensive research from the editors at CCJ. Download to access insights on driver pay, why they switch fleets, family life/home time and more. This is one of three installments in CCJ's What Drivers Want series. Two other articles in the series are "The truck and equipment specs drivers prefer" and "Why may drivers aren't looking forward to retirement". You can download the full results of our What Drivers Want report here. More pay. More home time. Respect. A clear career path that moves them from the cab and possibly to the office. The answer to what truck drivers want from a potential employer/carrier is "all the above." Throwing more money at more driver applicants might be the lowest of the low-hanging fruit, but it's not the be-all, end-all when it comes to why a driver would join any given fleet over thousands of others, according to the results of CCJ's most recent What Drivers Want survey, a poll of more than 800 leased owner-operators and company drivers. Two of the top three concerns among drivers are pay related: paying bills each month (no. 1) and saving for retirement (no. 3). Health was no. 2 among all respondents. "When you drive a truck, you have a lot of difficulty taking off for doctor visits and revisits, labs and testing," said private fleet driver Tim Ahrens. "We drivers just put off addressing our health concerns until it’s too late to stay healthy." Leased owner-operators ranked saving for retirement ahead of health by two percentage points, and that retirement savings ranks so high is alarming considering that the average age of our survey respondents was 60 years old (59 years for leased owner operators and 60 for company drivers), and almost 70% have been in the business for more than 20 years. "Listen to those who came before you," company driver Tim Martin warned for new entrants. "Save your money for early retirement." If there's good news it's that the thing drivers dislike most about the job (35%) is something fleet employers can do little about: regulations make it harder to work and make a living. "If they just let me and others work in a manner that is good for us most of us know how far we can go and when to rest," said leased driver Douglas Van Ausdal. "The 70-hour rule in eight days is nuts. Let us have a 14-hour day, 11-hour drive time and do away with this 70-hour stuff, then you don't need a reset. Keep the 30 (minute) break in because big companies will push their drivers, as they do anyway." Second among the unpopular parts of the job, with 20%, was a lack of respect/appreciation for drivers. "Trucks are wanted nowhere, but everyone wants what we haul," said leased specialized owner-operator Donna Orlando. "The new driving force is disrespectful to communities. They leave trash everywhere they go. The general public is selfish – me first mentalities – and should be better educated about the larger vehicles they share the road with. Lack of law enforcement in the roads has made it more dangerous out here. Society has lost their selfish minds." Third on the list of dislikes was a tie (9%) between not making enough money and frustration with new and complex technologies. Why do fleets have a hard time finding and keeping drivers?The search for drivers can, at times, feel like an installment of the Indiana Jones franchise, but according to the results of CCJ's most recent What Drivers Want survey, it boils down to just a few factors. Download CCJ's 2022-2023 What Drivers Want survey results here. Among company driver respondents, 62% said fleets don't pay enough, and leased owner-operators (59%) agreed that was the biggest reason fleets can't find drivers to hire. Next (55% company drivers, 58% leased owner-operator) was a lack of respect for drivers and the job they do, or failure to treat them as part of the team. Coming in third (52%) among company drivers was home time. Leased owner-operators ranked home time fourth (45%), behind a lack of support for drivers in dealing with shippers, law enforcement, etc. (46%). Company drivers ranked lack of driver support fourth (49%). When it comes to retaining drivers, pay (64%), again, is the top reason fleets struggle, according to 64% of company driver respondents. Leased drivers, who ranked pay as the top reason fleets can't find drivers, ranked a lack of respect as the top reason (61%) fleets struggle to retain them. The leased owner-op group ranked pay second (57%). Company drivers agreed respect was important, but ranked it the no. 3 reason fleets lose drivers, behind a lack of home time (57%). "If a company can't retain drivers then it's because drivers are unhappy at the company," said company driver Andrew Callen. "The company should make it a point to figure out why their drivers are unhappy and make changes at the company. Then the company will no longer have an employee retention problem." Unsurprisingly, both driver groups said being offered more money would be the main reason (35%) they would consider changing jobs and drive for another fleet. Having the flexibility to choose their own routes and hauls tied with being shown the fleet appreciates the work drivers do and having a team atmosphere at 21%. Home time (14%) fell to the no. 4 slot. Among the things drivers ranked the lowest as a factor when considering joining a fleet are two things most often treated as recruitment carrots: new equipment and sign-on bonuses. In fact, when it comes to making a decision to leave one carrier for another, these two offerings ranked lower than everything else. Nearly a quarter of all respondents (23%) to CCJ's most recent What Drivers Want survey of company drivers and leased owner-operators said they would raise pay if they were in charge of a fleet and could do one thing to attract and retain drivers. Another 18% said they would guarantee pay, loads or mileage to make take home pay more predictable. "I would also fight for my drivers in regard to detention and delays at shippers and receivers," said Callen. What drivers want: truck and equipment specs https://ift.tt/b6gB4cP Trucking news and briefs for Monday, March 27, 2023: ATA lauds Florida for new law aimed at lawsuit abuse reformFlorida Gov. Ron DeSantis on Friday signed a bill into law to reform the civil litigation system in the state. Among other provisions, the new law increases transparency in civil proceedings by curtailing the ability of plaintiffs’ attorneys to introduce fictitious and inflated medical bills at trial. According to the American Trucking Associations, phantom damages are one of numerous tactics “used by the plaintiffs’ bar to create a pervasive climate of lawsuit abuse that has sent insurance rates soaring to unsustainable levels.” “We mean what we said about lawsuit abuse – enough is enough,” said ATA President and CEO Chris Spear. “When the plaintiffs’ bar perverts civil litigation into a profit center to line their pockets, the costs are borne by everyone – not just trucking companies, but consumers too in the form of higher insurance rates and higher prices for everyday goods.” Florida follows a growing number of states who have enacted other and similar lawsuit abuse reforms, including Iowa, Louisiana, Missouri, Montana, Texas, and West Virginia, ATA said. “It is a historic day in Florida,” said Alix Miller, President and CEO of Florida Trucking Association. “For decades, the trucking industry has been driven out of business because unscrupulous attorneys were allowed to take advantage of an unfair judicial system. With the signing of this legislation into law, Florida is taking a major step in shutting down billboard lawyers and strengthening our supply chain and economy.” [Related: Two states looking to limit nuclear verdicts] New York legislators propose increased speed limitsA New York legislator has introduced a bill that would increase the speed limit by 5 mph -- from 65 to 70 mph -- on portions of a number of major highways in the state. The bill, if approved and signed into law, would bring New York into line with most other states that have a speed limit of 70 mph. Assemblyman Angelo Santabarbara, a Democrat from a district west of Albany, introduced the legislation in response to changing transportation technology. “My bill will bring New York in line with the vast majority of other states that already have speed limits of 70 miles per hour or higher,” said Santabarbara in a statement on his website. “The fact is technology has changed and more people are comfortable driving at a higher speed on the highway. We have better roads and modern engineering that has made today’s cars safer and easier to drive. This small change to our state’s speed limit would acknowledge those advancements and adjust to what most drivers comfortably drive at on major roadways across the country.” New York capped the maximum speed limit at 65 mph in 1995. Thomas F. O’Mara, a Republican from the state’s Southern Tier, introduced a companion bill in the state senate earlier this year. Autonomous vehicle bill defeated in KentuckyLegislation in Kentucky that would have legalized fully autonomous vehicles in the state has been defeated at the committee level, according to the Teamsters union. The Teamsters said a “last-ditch effort” to get the language of the bill attached to other legislation on the Senate floor was also voted down. The bill would have established a regulatory framework for fully autonomous vehicles that established various requirements for autonomous vehicles and automated driving systems. The Teamsters were opposed to the legislation, Schneider recognizes company’s safest driversSchneider National (CCJ Top 250, No. 9) is set to honor 250 drivers that have achieved career milestones, safely driving millions of miles without a preventable accident. In a series of banquets across the U.S., the carrier will celebrate Million Mile Driver Awards and Consecutive Safe Driving Awards, each signaling the achievement of milestones in drivers’ careers. The Million Mile Driver Award is earned by Schneider drivers who have transported freight over one, two or three million miles and remained accident free. In 2022, 95 drivers either joined the ranks or achieved a new milestone. In addition, 120 drivers earned the Consecutive Safe Driving Award for remaining accident-free for milestones ranging from 10 to 30 years. Additionally, at a special event at its Green Bay, Wisconsin, headquarters, the carrier honored drivers inducted into the company’s Haul of Fame – a designation given to those who have three million safe driving miles and/or 20 consecutive years of safe driving. To permanently honor the recipients, plaques with their names are installed on the Haul of Fame wall at Schneider’s headquarters. This year, 35 drivers met the criteria for the first time or had their plaque updated to reflect a higher-level award. “Schneider Haul of Fame drivers – and all of our award recipients – reflect our ongoing commitment to safety,” said Schneider President and CEO Mark Rourke. “Receiving these prestigious awards is no easy feat and we are proud to celebrate the outstanding successes of the drivers inducted this year. On behalf of Schneider’s 17,000 associates around North America, we celebrate and thank these award-winning drivers and their commitment to be the best in the business.” As of January 2023, Schneider has nearly 900 active company drivers who have received Million Mile Driver or Consecutive Safe Driving Awards. https://ift.tt/b6gB4cP In-house fleet maintenance refers to a company’s decision to handle 90% or more of their vehicle maintenance and repairs internally. Outsourced fleet maintenance involves hiring a third-party provider to manage these tasks. Companies with longer trade cycles (or larger fleets) tend to prefer in-house fleet maintenance, while companies with multiple OEM’s, a multi-location footprint, or those leasing equipment prefer outsourcing. In-house fleet maintenanceThere are benefits and challenges to fleets doing their own maintenance. There are, however, three main benefits to keeping maintenance in-house. • Control: In-house maintenance gives the fleet complete control over the maintenance process (including scheduling), quality of work and cost. • Familiarity: The in-house maintenance team knows the company’s equipment and maintenance history, which can help then identify issues more quickly and accurately. • Cost-effective: In some cases, in-house maintenance can be more cost-effective than outsourcing, especially if the company has a large fleet of vehicles There are also three main challenges to keeping maintenance in-house. • Labor cost: Hiring and retaining skilled technicians can be expensive and can require significant investment in both tools and equipment. • Downtime: When equipment is being repaired or maintained it is not available for use, which can lead to downtime and lost productivity. • Expertise: In-house technicians may lack specialized knowledge or experience to diagnose and repair certain problems. Outsourced fleet maintenanceObviously, there are benefits for fleets to turn maintenance over to an outside service provider. • Reduced Costs: Outsourcing fleet maintenance can reduce labor costs because companies can avoid the need to hire and train in-house technicians. • Flexibility: Outsourcing provides more flexibility in scheduling maintenance and repairs, as companies can work with service providers to ensure equipment is serviced at the most convenient times. • Expertise: Outsourced service providers typically have a deeper level of expertise in fleet maintenance and can provide more specialized services. Too, there are drawbacks. • Loss of control: Outsourcing fleet maintenance means giving up some control over the maintenance process, including scheduling, quality of work, and cost. • Communication: There can be communication issues between the service provider and the company, which can lead to delays and miscommunications. • Quality of work: Companies must rely on the service provider to deliver quality work, which can be a concern if the provider is not up to par. When you look at the way organizations approach fleet maintenance, it’s not a simple decision. Twenty percent of fleets do maintenance in-house, 46% use outsourced service providers, and 34% use a combination of both. Ultimately, the decision to use in-house maintenance, outsourced maintenance, or a combination of the two, depends on a company’s specific need, budget and expertise. Both approaches have their advantages and disadvantages, and companies must carefully evaluate these factors before making a decision.
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April 2023
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