Trucking Logistics

Weekly wrap-up: Mega-alliances, LA-LB issues and trucking growth
Issues at the Los Angeles-Long Beach were on JOC.com readers’ minds this week, along with mega-alliances and growth in the trucking industry.

The U.S. Department of Transportation’s Federal Motor Carrier Safety Administration has ordered Ken’s Trucking company, based in Grand Ridge, Florida, to immediately shut down following a federal investigation that revealed numerous violations of safety regulations.

The Teamsters union and safety advocates from the Highway and Auto Safety, Citizens for Reliable and Safe Highways have filed a federal lawsuit against the U.S. Department of Transportation and the Federal Motor Carrier Safety Administration in attempt to force the agencies to issue a rule outlining training standards for entry-level truck drivers.

The Labor Department has awarded $10,225,183 to help 19 states crack down on companies that misclassify workers as independent contractors or fail to report wages that support unemployment insurance.

FedEx Freight, the smallest operating division of FedEx but biggest stand-alone U.S. trucking company, flew higher than the company’s flagship Express division in the last quarter, increasing its operating profit a lofty 70 percent to $168 million on a 13 percent increase in revenue to $1.61 billion.

FedEx
There really was a Christmas in July this year, at least in terms of increased global container business. That bodes well for North American trucking, intermodal rail and package delivery companies now preparing for an influx of freight ahead of the holiday season.

Strong domestic volumes in the air and on the ground delivered double-digit profit growth for FedEx in the first quarter of its new fiscal year.

An influx of freight and higher rates is boosting third-quarter profitability at YRC Worldwide, the company said Tuesday.

Rail service problems are starting to hurt truckers with intermodal operations, especially those such that move refrigerated goods, a transportation analyst says.

Advances in technology and shipper demand are leading trucking companies toward the 'connected enterprise' and closer ties to customer supply chains.