Monthly Archive

Rather than offer a rash of predictions for the coming year, we would like to focus on some key facts that are of importance to shippers and drivers alike.

CSA 2010 is here.  The new safety standard implemented by the Federal Motor Carrier Safety Administration (FMCSA) underwent intense scrutiny in 2010 and prompted serious debate between the FMCSA and the transportation industry.  While we suspect there will be continued discussion in the months ahead, the program has been launched.

In our opinion, there are two sides to consider with CSA 2010. The transportation industry is predicting increased pressure on its labor pool as drivers will be forced out because of the standards of CSA 2010.  The labor market in transportation has been challenged for many years, with an aging population of drivers and fewer individuals interested in entering the profession.  This challenge was somewhat alleviated during the recession, but is expected to resurface as the primary concern for motor carriers in 2011.  On the other hand, increasing safety on the roads should always be a common goal for both motor carriers and the government alike.  The disagreement, of course, begins with whether or not CSA 2010 will in fact impact driver and motor carrier safety. 

Proposed changes in hours of service rules are under scrutiny as well.  The FMCSA proposed new rules on December 23, 2010 with a final rule expected on July 26, 2011.  Again, there is debate between the transportation industry and the FMCSA as to the need for a change.  We will monitor the debate in the coming months and keep you updated as to how pending developments may impact your operations.

Finally, the truck tonnage index increased for the 12th consecutive month in November 2010 (Transport Topics, Jan 3, 2011).  Increased volumes are good news for both shippers and motor carriers and reflect a positive indicator for economic recovery.  Should this level of recovery sustain in 2011, there will most likely be an increase in freight rates as motor carriers readjust their pricing from 2009 and 2010 levels.