Truck Driver Shortage Drives Up Freight Labor Costs

Truck Driver Shortage Drives Up Freight Labor Costs

According to the American Trucking Associations, the driver turnover rate at large truckload carriers surged to 92% in the third quarter, while smaller carriers reached 74%. Less-than-truckload (LTL) remained relatively stable at 14%. This high turnover reflects challenges in the freight market, including driver shortages and increased competition. Companies need to actively address these issues to ensure supply chain stability and mitigate the impact of driver attrition on their operations. Addressing driver retention is crucial for maintaining service levels and profitability in the current environment.

01/21/2026 Logistics
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US Truckload Spot Rates Hit Multiyear Highs Amid Hurricane Season Ecommerce Surge

US Truckload Spot Rates Hit Multiyear Highs Amid Hurricane Season Ecommerce Surge

A DAT report reveals that North American freight spot rates have surged to multi-year highs due to various factors. The confluence of challenges, including hurricane disasters, the ELD mandate, and the e-commerce peak season, is expected to maintain tight capacity through the end of the year. The close connection between e-commerce and the spot market is also increasingly evident. High demand driven by online retail is contributing significantly to the upward pressure on freight rates and the overall capacity crunch in the trucking industry.

01/21/2026 Logistics Industry Insights
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US Railroads Adapt to Policy Tech and Market Shifts

US Railroads Adapt to Policy Tech and Market Shifts

This paper provides an in-depth analysis of interviews with executives from the Association of American Railroads (AAR), examining the strategic priorities of the rail industry in terms of policy, technology, and market trends. It covers topics such as modernizing regulatory frameworks, infrastructure user-pay principles, market fluctuation analysis, the application of technological innovations, and competition with the trucking industry. The AAR is committed to leading the rail industry towards a safer, more efficient, and sustainable future through policy advocacy, technological innovation, and market analysis.

01/21/2026 Logistics Industry Insights
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TD Cowen Analyzes Freight Market Downturn and Future Trends

TD Cowen Analyzes Freight Market Downturn and Future Trends

TD Cowen Managing Director Jason Seidl provides an in-depth analysis of the current freight market, highlighting the trucking industry's longest downturn. However, he notes positive momentum in industrial data. The analysis delves into the impact of tariffs, nearshoring, and AI, offering insights into the less-than-truckload (LTL) and truckload (TL) market outlook. This piece aims to help businesses understand market dynamics and develop effective strategies to navigate the current environment. It offers a valuable perspective on the factors shaping the freight industry's future.

01/28/2026 Logistics Industry Insights
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California Port Truck Drivers Accuse NFI Subsidiary of Labor Violations

California Port Truck Drivers Accuse NFI Subsidiary of Labor Violations

A class-action lawsuit has been filed against California Cartage Express by port truck drivers in Los Angeles, alleging systemic labor rights violations. The lawsuit accuses the company of misclassifying employees as independent contractors and withholding wages. California Cartage Express has a history of labor-related lawsuits and penalties. Government intervention and a finding of violations could reshape employment practices across the port trucking industry. The outcome of this case could have significant implications for worker rights and the overall labor model within the sector.

01/29/2026 Logistics Industry Insights
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Yellow Corps Bankruptcy Shakes US LTL Freight Market

Yellow Corps Bankruptcy Shakes US LTL Freight Market

The bankruptcy of Yellow Corporation, a century-old trucking company, signifies a reshaping of the LTL market landscape. Mismanagement, debt burden, and labor union conflicts are the primary causes. Freight rates are expected to rise, competition will intensify, and companies like Old Dominion are poised to benefit, while customers relying on low prices will be negatively impacted. Market concentration is likely to increase, and service quality and technological innovation will accelerate. The collapse of Yellow creates both opportunities and challenges within the evolving logistics sector.

01/28/2026 Logistics Industry Insights
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ATA Economist Predicts Freight Industry Trends Amid Economic Uncertainty

ATA Economist Predicts Freight Industry Trends Amid Economic Uncertainty

Bob Costello, Chief Economist at the American Trucking Associations, believes the current economic situation is complex, requiring a deep analysis of drivers like consumer spending, factory output, housing starts, and the inventory cycle. He emphasizes the significant impact of inventory levels on freight volume and expresses optimism about the manufacturing transformation. This article interprets Costello's views from a data analyst perspective, offering freight companies recommendations on optimizing inventory management and expanding diversified business opportunities. The analysis aims to provide actionable insights for navigating the evolving economic landscape.

01/28/2026 Logistics Industry Insights
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GAO Urges FMCSA to Reform Truck Safety Rating System

GAO Urges FMCSA to Reform Truck Safety Rating System

A Government Accountability Office (GAO) report highlights the FMCSA's slow progress in improving the CSA safety measurement system, hindering the effective identification of high-risk trucking companies. The report recommended modifications to the SMS methodology, which the FMCSA did not agree with. Industry associations and experts are urging the FMCSA to re-evaluate and enhance the CSA system to more effectively reduce accident rates and ensure road safety. The current system's shortcomings raise concerns about its ability to adequately address risks posed by unsafe carriers.

01/26/2026 Logistics Industry Insights
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ELD Mandate Raises Freight Costs Strains Supply Chains

ELD Mandate Raises Freight Costs Strains Supply Chains

The Electronic Logging Device (ELD) mandate may lead to a 10%-20% increase in trucking rates, causing higher supply chain costs and potential capacity shortages. The Owner-Operator Independent Drivers Association (OOIDA) has raised privacy and rights concerns about the regulation and challenged its legality. Businesses need to plan ahead, optimize transportation networks, strengthen carrier relationships, and explore alternative solutions to address these challenges. Proactive strategies are crucial to mitigate the impact of the ELD mandate on freight costs and overall supply chain efficiency.

01/28/2026 Logistics Industry Insights
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US Rail Freight Mixed Carloads Rise Intermodal Declines

US Rail Freight Mixed Carloads Rise Intermodal Declines

US rail freight carload volume saw a slight increase, while intermodal volume experienced a significant decrease. Carload traffic was driven by commodities like nonmetallic minerals. Intermodal volume was impacted by competition from trucking. Year-to-date cumulative volume showed growth, but the industry continues to face challenges. The increase in carload is not enough to offset the decrease in intermodal, raising concerns about the overall health of the rail freight sector. Further analysis is needed to understand the long-term implications of these trends.

01/29/2026 Logistics
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