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25 Jan 2016

Truck Tidbits for 2016

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As a result of the passing of the FMCSA Final Rule on Electronic Logging Devices, carriers should begin to add these devices to their vehicles in 2016.

This rule is intended to promote a safer work environment for drivers, as it will provide faster and more accurate tracking of driver activity log data. Carriers must have these devices installed for use by December 2017.

Also, beginning a new year means rate increases and changes in carriers’ rules tariffs. The general base rate increases reported by YRC, UPS and Fedex average 4.9%. Furthermore, several carriers announced a change in their fuel surcharge tables and/or rules tariff. Carriers are finding that the extremely low-cost fuel market is negatively impacting their bottom line. Many shippers are receiving extremely low-cost or waived fuel charges due to the structure that was implemented when market fuel costs were much higher.

Finally, the conversation about truck decking is increasing. Decking allows drivers to place goods on upper decking bars, thereby keeping goods below the bars from being crushed. This can create more usable capacity in a trailer, creating more revenue for trucking companies. For shippers, the benefit is that product can be loaded above the decking bars when the product placed below the decking bars cannot be double stacked by conventional means. Of course, there must be associated changes made to carriers’ rules tariffs to address the use of decking bars. Shippers need to be apprised of this new capability and make sure they are being billed correctly when it is being utilized by carriers.

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