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Trucking Action Plan: What You Need to Know

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On December 16, 2021, the White House announced a comprehensive plan to recruit new truck drivers to help the supply chain recover from the current shortage while improving current working conditions to promote driver retention. This plan, coined the Trucking Action Plan, has been broken down into a series of steps, and the current administration hopes to institute it over the next 90 days.

Many owner operators have been left wondering what this plan is and how it will affect them and the industry they work for. This article will break it all down and explain what drivers can expect to come their way over the next 90 days.

What exactly is the Trucking Action Plan?

Officials describe the Trucking Action Plan as a way to “lay the foundation for a next-generation trucking workforce that will strengthen U.S. competitiveness and support millions of good driving jobs for years to come.” The plan also follows the lead of the recent infrastructure legislation, which passed in November of 2021 and aimed to address current industry concerns.

The current action plan, which will take effect through a series of steps over the next 30-, 60-, and 90- days, offers six key points, including:

  1. Offering trucking industry jobs that appeal to military veterans.
  2. Supporting pilot programs that train and license new drivers to deliver across state lines.
  3. Offering women more professional industry positions.
  4. Instituting more easy-to-install apprenticeship programs.
  5. Funding/providing assistance to states for improving their CDL processes.
  6. Implement sessions with drivers, carriers, and industry unions to discuss concerns and enhance the workforce.

In addition to the current driver shortage and supply chain struggles, the Trucking Action Plan directly responds to a recent poll from the Consumer Brand Association. This poll found that 90% of respondents feel the trucking capacity should be increased in the new year to assist the supply chain demand, and 80% of respondents think their senators should be responsible for fixing current and future trucking industry issues.

Many respondents also gave suggestions on how to solve the most common issues that the trucking industry faces. They include:

  • Allowing reasonable increases to truck weight limits
  • Creating systems that would send empty trucks to available loads
  • Government funding driver recruitment and training programs
  • Offering flexible hours and service requirements to drivers
  • Government funding for the production of new heavy-duty trucks

What changes can we expect to see in the new year?

In the new year, truck drivers and fleet owners can anticipate quite a few changes in the industry. The main changes will affect the recruitment process for new drivers, but owners/operators can also expect significant changes to the workforce, hoping that driver retention will improve.

Recruitment of More Women and Veterans

During the Trucking Action Plan announcement, White House officials discussed that they intend to focus on the potential labor pool of over 70,000 military veterans when it comes to driver recruitment. Currently, veterans equate to more than 20% of the transportation industry. However, the White House plans to increase that number by working with the Veterans Employment and Training Service (VETS), the Department of Veterans Affairs (VA), and other veterans’ service organizations to match military veterans and their spouses with jobs in the trucking industry. A separate task force will also encourage more women to start careers in the trucking industry. 

Reformed Training Programs

Regarding training for these trucking positions, the DOL is working to establish Registered Apprenticeship programs that would allow new drivers to earn compensation as they go through training. The Department of Transportation (DOT) is also working to improve the CDL process by reducing the time between drivers passing their tests and receiving their licenses. On top of that, the DOT hopes to provide grants to states who improve their licensing process by updating their IT infrastructures. For now, the Federal Motor Carriers Safety Administration (FMCSA) will provide over $30 million to help states expedite their CDL process and send all states a “toolkit” on how to complete specific expedite actions. The White House also announced a new pilot program that will allow truck drivers under 21 years of age to drive on interstate highways.

Improved Driver Experience 

On top of recruiting new drivers, the Trucking Action Plan will aim to support the existing drivers by improving the quality of the jobs within the industry. Currently, America’s truck drivers move over 70% of the nation’s goods, but these same drivers lose up to 40% of their drive time due to delays, which means less income. To lessen these losses, the DOL and DOT plan to construct a compensation study to better understand how long drivers are on the road versus how long they spend waiting on loading and unloading processes. These transportation agencies will also begin regular listening sessions with drivers to use the collected feedback to push regulatory action and improve the overall quality of the various trucking industry positions.

Last updated: 12-21-21

 

Want more information like this? Check out these articles:

→ What Truckers Need to Know About the Vaccine Mandate

→ How Does Prop. 22 Affect App-Based Drivers?

→ How the Supply Chain Problem Will Affect the Holiday Season

6 Tips for Driving a Semi-Truck in Winter

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It’s no secret that icy and snow-covered roads can have severe and often unpredictable impacts on traffic conditions. When these winter months roll in, heavy-duty drivers face dangerous and demanding routes, especially when they’re not prepared. Along with winterizing your truck, refreshing your wintery driving skills is crucial for surviving the frozen season. 

When drivers are faced with a winter storm, icy roads, or other frosty conditions, it’s always better to play it safe. Things like taking your vehicle to a trusted mechanic for a thorough check-up or building an emergency kit can genuinely be a lifesaver. However, there are other ways to stay safe while driving your semi this winter. 

In this article, we’ll go over our top 6 tips and tricks for driving a semi-truck safely in the winter.

1. Drive cautiously

When driving on ice- or snow-covered roads, it’s essential to take your time and drive cautiously. If you’re out of practice when it comes to driving in the winter, move slowly and pay attention to the capabilities of your vehicle. For instance, if your semi rides low, it won’t handle snow accumulation well, so it’s best to take it slow to prevent build-up. It’s vital to execute control and deliberate actions when navigating wintery road conditions. Sharp curves, rushed acceleration, and fast braking all result in decreased traction, leading to an accident. Stay alert and maintain a consistent speed while leaving enough distance between you and the vehicle in front of you. The safe amount of space will also help you when you need to use your brake. 

2. Stock up on essentials

With inclement weather being so unpredictable, you must always have the essentials with you. This way, if you get stranded in the middle of these harsh climatic conditions, you will be prepared and safe.

Your emergency kit should include:

  • Tire chains
  • Spare fuel
  • An extra fuel filter and wrench
  • Coolant, washer fluid, and oil
  • Vinegar
  • A flare gun
  • Flares
  • A flashlight and extra batteries
  • A CB radio (if one is not already in your cab)
  • A first aid kit
  • Blankets
  • Hats, scarves, and gloves
  • Snow boots
  • Snow shovel
  • Canned food and bottled water

We also recommend a few bags of cat litter. This unique emergency item can be used as a safe and eco-friendly way to regain traction if your tires get stuck on a patch of ice. Simply throw some litter under your tires, slowly engage your accelerator, and wait for your tires to do the rest.

3. Use your signals

This may seem like a no-brainer, but using your signals can be the difference between a safe ride and a preventable accident. The general rule of thumb is three blinks before changing lanes, but when the weather outside is frightful, stay safe and use five blinks before moving over. It would help if you also used your signals before turning. To give those driving behind you plenty of notice, be sure to activate your signal before you begin slowing down for your turn.

If the weather is too extreme for your comfort level, use your four-way hazard signals and move to the passing lane to allow those around you to pass. Hopefully, doing so will encourage other drivers to exercise caution and prevent a pileup from happening.

4. Let your truck warm up

When the temperatures drop below freezing, it can be hard on your semi’s heavy-duty diesel engine. So, it’s essential to allow your truck time to warm up before taking off on your route. This will prevent your engine from refusing to turn over and promote longevity past the winter months. 

Pro Tip: While your rig warms up, turn on your defroster and let your windshield unfreeze itself. Two birds, one stone. 

5. Be cognizant

As well as driving cautiously, you as a driver should be extra cognizant of those around you while driving through frosty weather. For example, water coming off another vehicle’s tires could indicate just how treacherous the roadways are. If there is a lot of water, the roads are wet, but the streets are freezing over if there is less spray. You should also pay close attention to the streets for black ice.

6. Check your tires, fuel, and lights

Perhaps the most crucial tip happens before you hit the road: check your tires, fuel, and lights. Regardless of the season, truck drivers should be inspecting their tires regularly. However, as the weather grows colder, your tires will need to be examined even more than usual. If your tires are underinflated, damaged, or worn out, it could lead to troubles on the road, such as low traction.

Checking your fuel is another crucial step to staying safe. By keeping your fuel tank filled, you will give extra weight to your rig, which will ultimately help your tires retain traction and stay on the road.

Once you stop for the day, be sure to check and clean your headlights, taillights, and license plate since they will more than likely be covered in a mixture of dirt and snow. For semi-trucks, your lights need to be as visible as possible, meaning your lights need to be clean and functioning correctly.

 

Want more information like this? Check out these articles:

→ Tips for Preparing Your Semi-Truck for Summer

→ How to Stay Safe in Harsh Winter Conditions

→ 7 Crucial Tips for Truck Tire Maintenance and Repair

What Truckers Need to Know About the Vaccine Mandate

On November 4, the Department of Labor’s Occupational Safety and Health Administration announced that employers with 100 or more employees must either ensure the complete vaccination of their staff, or obtain negative COVID-19 test results weekly. This ETS (Emergency Temporary Standard) requires full vaccination for all employees and paid time off for those needing to get vaccinated during their workday. And while the vaccination mandate goes for all covered employers, it does offer the exception for those willing to establish and enforce weekly COVID-19 testing along with mandatory face coverings while at the workplace. However, this alternative still upset those working in the trucking industry and the supply chains, which are currently fragile, leading to several legal challenges.

So, what does this ETS mean for drivers and others in the trucking industry moving forward?

How does the vaccine mandate affect businesses?

When the Biden Administration announced their latest vaccine and testing requirements, many private businesses, including travel-dependent industries, were left worried about the effect the mandates could have on their businesses. Specifically for the trucking industry, many drivers threatened walkouts and resignations to disrupt further the strained supply chains that have been suffering since early this year. However, as previously mentioned, there are a few exceptions to the requirements.

The current ETS regarding COVID-19 requirements for workplaces with over 100 employees include:

  • Businesses must ensure total vaccination for all employees come January 4, 2022.
  • Employers must provide paid time off to their employees obtaining the COVID-19 vaccine(s).
  • On January 5, 2022, all unvaccinated employees must wear proper face coverings while at their place of work, as well as provide weekly COVID-19 tests with negative results.
  • These rulings will supersede any and all state or local laws, including “laws that ban or limit an employer’s authority to require vaccination, masks, or testing.”

Who is exempt from the vaccine mandate?

With the trucking industry facing a severe driver shortage of approximately 80,000 drivers, White House and OSHA officials knew they would need to offer some exceptions. With hopes to avoid further driver depletion and supply chain disruption, which is responsible for things like food, fuel, medicine, and even the COVID-19 vaccine, they developed a shortlist of exemptions. 

These exemptions include:

  • Workers who do not report to a workplace where other people, including employees, clients, and/or patrons, are present.
  • Those who do not interact with persons at their point of departure or destinations.
  • Workers who operate alone (aka drivers who are alone in their cabs)
  • Remote employees
  • Exclusively outdoor workers

To the American Trucking Association’s delight, these exemptions apply to a large portion of the commercial truck driver population and provide a sense of security to the industry as a whole. Overall, the mandate would only apply to drivers operating in teams or those required to interact with others at their loading or unloading stations.  

What about international and cross-border truckers?

For drivers who cross borders to deliver goods, the mandate requirements are different. As of right now, both the U.S. and Canadian governments are requiring non-citizens to be fully vaccinated, regardless of their reasons for entry. And come January of 2022, the Department of Homeland Security will require all foreign travelers coming into the country to provide proof of total vaccination, an extension to the non-essential traveler requirement, which started in November of 2021. To meet this requirement, one must be fully vaccinated with any vaccine, including Pfizer, Moderna, Janssen/Johnson & Johnson, AstraZeneca, Covaxin, Covishield, Sinopharm, or Sinovac. However, if the vaccine requires two doses, the last dose must be administered within 14 days before entry.

Want more information like this? Check out these articles:

→ Are Truckers Included in the Third Vaccination Group?

→ How Truckers Can Prepare for the Holiday Season Amid COVID-19

→ How the Supply Chain Problem Will Affect the Holiday Season

Older Drivers: How to Stay Safe Behind the Wheel

Taking a break from work

It’s officially the first week of December, which means it’s Older Driver Safety Awareness Week! This national celebration was initiated in 2009 by the American Occupational Therapy Association to start a conversation around older driver safety. According to the CDC, there are currently 45 million motorists over the age of 65. In one year alone, approximately 250,000 of those older drivers were involved in vehicular accidents that resulted in severe injuries, and another 7,700 tragically died in traffic accidents. 

This week of awareness sheds light on those driving for personal reasons as well as our nation’s truck drivers. When long hours on the road are combined with harsh winter weather or age-related medical conditions, heavy-duty hauling can be dangerous to you and those around you. For these reasons, it is vital to recognize when the risks of driving outweigh the benefits and to learn different ways to stay safe in the meantime.

6 Safety Tips for Older Drivers

Older drivers are not only twice as likely to suffer from medical conditions that impair their driving skills, but they are also at a higher risk of getting injured or even dying in a car accident. However, these numbers don’t mean that those 65 and older have to fear getting behind the wheel; they just need to drive more cautiously, practice good judgment, and follow the CDC’s tips for older driver safety.

These CDC safety tips include: 

1. Obey all traffic laws. 

Follow speed limits and traffic signs, wear your seatbelt, and never drive under the influence. This is important for drivers of ALL ages.

2. Only drive under favorable conditions. 

If feasible, only operate your vehicle during the daytime and when the weather is decent. 

3. Keep an open line of communication with your doctor. 

Discuss any medical concerns or issues with your healthcare provider and determine if they could have an adverse effect on your driving. In terms of medication, determine if any potential side effects, such as dizziness or drowsiness, could interfere with your driving.

4. Have your vision and hearing checked at least once a year.

If either is impaired, be sure to obtain the proper prescription for your eyewear or hearing aids. It is imperative that you wear your glasses at all times when operating your semi truck.

5. Plan your route in detail. 

Before hitting the road, make sure you know exactly where you are going, what alternative routes there are, and where rest stops are along the way. It is always a good idea to have an up-to-date map with you as well. 

6. Adapt your truck to fit your needs. 

If allowed and/or feasible, add installable features or adaptive devices to your vehicle to help with proper vehicle maintenance.

By following these tips and regularly assessing your driving habits for any concerning shifts, you can continue driving safely and avoid at-fault accidents. However, if you notice any changes in your reflexes, vision, hearing, or physical or mental well-being, it’s essential that you stop driving and talk with your doctor. 

Click here to learn more about medical conditions that may affect your driving.

Observe Older Driver Safety Awareness Week

This week celebrates the role that transportation plays for older drivers and their communities. To celebrate Older Driver Safety Awareness Week, reach out to your favorite, experienced driver and start a dialogue about their safety and others. Drivers can observe this week by following the top six safety tips as recommended by the CDC.


Pro tip: Use the hashtag #OlderDriverSafetyAwarenessWeek when posting on social media this week!

How the Supply Chain Problem Will Affect the Holiday Season

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Recently, multiple U.S. ports, which move around 70% of all U.S. trade, have reported record-breaking backlogs that have caused widespread shipping delays across the country. Responsible for approximately half of all U.S. imports, the Southern California ports suffer the most, with over 60 filled cargo ships currently waiting to ship goods. However, other smaller ports throughout the country are also feeling the weight of this issue, including the Port of Savannah, which has over 20 cargo ships waiting to ship.

With the holiday season rapidly approaching, many wonder how this supply chain problem will affect the spirit of the season and if anything can be done to limit the overall impact of this predicament.

→ What We Can Learn From Amazon Prime Day

What’s causing the supply chain problem?

In comparison to 2017 and 2019, the world’s most influential ports experienced above-average wait times and doubled the amount of time for container turnaround in 2021. For example, at the Southern California ports, it took a single ship approximately 6.4 days to dock and unload, as opposed to the standard average of 3.6 days, nearly five days longer than multiple ports, including a 24/7 port in Asia. Recently, these wait times have increased even more, with some ships waiting as many as three weeks. 

So, what’s responsible for this uptick in times and averages? The Managing Director of Global Energy Strategy and Digital Intelligence Strategy at the RBC Capital Markets found that most container ships carry around 30% more goods than before due to the intense rise in e-commerce. Another cause is the current employment shortage that is crippling many industries worldwide. Both Long Beach and Los Angeles ports found that they rely on approximately 28% fewer employees at their unloading docks. Pair this dip in employment with the increased freight movements, and you get a supply chain gridlock.

Those working through the supply chain crisis suggest that the only way to reverse the issue is for consumers to reduce the number of purchases they’re making significantly. However, industry professionals fear that the exact opposite will occur as the holiday shopping season commences.

→ Why Owner/Operators Should Run Hard This Holiday Season

How will this impact the holiday season?

With a highly-anticipated increase in in-store and online shopping just around the corner, companies are preparing themselves by stocking up in hopes of avoiding any significant inventory depletions. But with supply chains suffering, most, if not all, industries are expected to be impacted globally. For instance, the US Toy Association, which represents a total of 950 toy firms and sells around $3 billion in toys each year, is anticipating a significant setback in product delivery due to California’s clogged port system. 

Outside of the country’s ocean-side ports, many states and their companies struggle with congestion surrounding trucks and freight rails. However, thanks to solid, annual contracts with dedicated shippers, larger retailers won’t need to worry as much as smaller companies. So, how are companies, big and small, preparing for the holiday shopping season?

→ How Truckers Can Prepare for the Holiday Season Amid COVID-19

What can we do to prepare?

Acknowledging that the current situation shaking supply chains is not easily fixable, the President of the United States is working with America’s ports, shipping facilities, and companies alike to prepare for what is expected to be a long holiday season. The President announced that the Port of Los Angeles will commence 24/7 operations, unlocking an additional 60 hours of work. Major shipping companies, such as Walmart, Target, Samsung, Home Depot, FedEx, and UPS, will also increase working hours as we move into the winter seasons. The Biden administration enacted this plan to increase productivity and product movement and relieve the bottle-necked supply chains. When it comes to truck drivers and trucking companies, the administration encourages increased productivity, the ability to unionize, and wages. Biden followed this statement by ensuring federal support would be supported if needed, but he urged companies to step up and help this initiative.

Moving forward, the administration hopes to review the “just-in-time inventory” standards and “invest in greater resilience to resist the kind of supply chain shocks we’ve seen year after year, whether it’s weather, climate change, or cyber-attacks.” Biden also encouraged U.S. companies to limit their reliance on foreign countries and supply chains and instead bring this vital production to America. 


→ Long-Term Effects of the Pandemic on the Transportation Industry

6 Tips for Starting Your Own Trucking Business

Have you ever thought about starting your own business? How about starting your own trucking business? If you answered yes, you are in luck because there’s never been a better time to get started.

As the popularity of online shopping rises and the world’s shipping demands rapidly increase, owners and operators alike can anticipate more opportunities on their horizons. To meet the growing demands of consumers, the American Trucking Association (ATA) estimates that the trucking industry would need at least 900,000 new drivers on the road. These factors, plus the current driver shortage, strong freight market, and increased transportation rates, equal an abundance of opportunities for those wanting to start their own trucking business.

So, how exactly do you get started?

6 Tips For Starting Your Own Trucking Business

While running your own fleet operation can come with a number of enticing benefits, it can be challenging to get everything started if you don’t have the proper tools for success. 

Below, we’ll break down the steps you need to take and discuss how to create a solid trucking business.

1. Plan and prepare.

Not surprisingly, starting a business takes a significant amount of planning and preparation, regardless of having zero industry experience or years under your belt.

Some things to think about and plan for include: 

1) The name of your trucking business

Choosing a proper name for your business is crucial. Once you’ve decided on a name and checked to ensure another company is not using it, be sure to acquire a DBA if you chose a “fictitious name” or an LLC if you are operating under your name and/or professional alias. 

2) What’s your target market

Establishing your trucking business as a “niche carrier” (e.g., local hauler vs. refrigerated hauler) is vital if you want to avoid competition, optimize your opportunities, and streamline the costs and resources you’ll have to prepare for.

If you’re stuck deciding on your company’s niche, ask yourself:

  • Which industries, companies, and/or products do I find interest in? Is it in my target location? What’s my competition, if any?
  • What does this niche require in terms of product and logistics? Am I capable of meeting these requirements?
  • Who would my customers be? How will they benefit from me versus another company? How would I benefit from them?

3) Identify your rates

Deciding on your company’s rate can be a challenge. Your rate should generate profit, cover any costs, and compete with any neighboring competition.

To calculate your rate, follow these steps:

  • Choose your desired area and freight lane
  • Go to the local load site and find 10 loads going in the same direction
  • Contact the brokers of the 10 loads and inquire about how much they are paying
  • Calculate the average amount and add 10-15% to determine the price shippers are billed
  • Now, repeat these steps for shippers going in the opposite direction

2. Obtain the proper paperwork.

As a business owner, it’s your responsibility to obtain the proper permits and legal documentation needed to operate. This paperwork will vary based on the type of niche your company is.

Potential permits and licenses include:

  • US DoT and Motor Carrier (MC) Authority Numbers
  • Unified Carrier Registration (UCR)
  • International Registration Plan (IRP) License Plate
  • Heavy Highway Use Tax Return (Form 2290)
  • International Fuel Tax Agreement (IFTA) Permit
  • BOC-3 Form
  • Weight/Distance Travel Permits
  • Standard Carrier Alpha Code (SCAC)
  • Electronic Logging Devices

3. Create a business plan.

For any business, a detailed business plan is an essential tool for success. A comprehensive business plan should detail sales and marketing strategies, operational activities, a pricing breakdown, your fleet management plan, company goals, a resource breakdown, and any other business processes that will help keep you organized as your business grows. 

A complete business plan may also include:

  • The company description
  • A market analysis and service business analysis
  • The company’s sales strategy and financial projections
  • A personnel plan with management and organization details
  • An executive summary
  • Any key activities, partnerships, & resources
  • Your customer segments
  • Any value propositions
  • Your company’s cost structure

4. Purchase company assets and insure them.

If you have substantial funding, now is the time to purchase your company assets, including your commercial vehicles. And while there is nothing wrong with getting the best deal, don’t neglect the quality of your purchases. When getting started, paying a higher price for a brand-new truck may not sound appealing; however, this will save you money down the road with less required maintenance and fewer repairs.

If you choose to buy a used heavy-duty truck, you should investigate the vehicle’s maintenance history and look for/at:

  • Signs of damage
  • Rust or deterioration
  • Proper tire tread
  • Mileage and other gauge readouts

Once you have purchased your assets, be sure to insure them immediately. By obtaining insurance, you protect yourself and your company against financial burdens and risks, including vehicle damages and employee injuries.

5. Hire your employees.

Who you bring onboard is arguably one of the most important components to growing your business. There are a few ways to handle the hiring process. Still, it’s recommended to go through certified screening procedures to determine if a potential employee holds any violations, crash reports, or unfavorable record hits.

Certified screening procedures include:

  • Running the applicant’s CSA profile and a thorough background check
  • Conducting a detailed in-person interview
  • Completing on-the-job tests and evaluations

6. Now, grow your business.

Now that most of the nitty-gritty details are taken care of, it’s time to grow your business! For optimal profitability, diversify your business and never allow a single client to account for over 20% of your revenue, meaning you should have at least five consistent clients. If you need more clients, you can use online tools, including freight boards, a company website, industry networks, and/or social media. With your company’s website and social media accounts, be sure to keep things professional, up-to-date, and consistent with relevant content like services, hours of operation, and company details. If you post any photos and/or videos, only use high-quality content and take the opportunity to interact with your followers any chance you get.

Other tools trucking companies use for growth and success include: 

  • Fleet management software
  • An ELD solution
  • Real-time GPS tracking, geofencing, and facility insight reports
  • AI-powered dashcams

These tools can optimize your company’s time, cut down excess expenses, help improve your driver’s productivity and safety, simplify insurance claims, and protect your business. Plus, they keep downtime to a minimum and keep clients happy, encouraging them to spread the word about your company.

Get started with Mission Financial.

When starting your own trucking business, it’s essential to obtain proper coverage. At Mission Financial, we not only offer direct lending, but we also offer dealership lending. Our specialized loans cover first-time owners/operators, drivers with limited experience, and owners/operators with bad credit, bankruptcies, child support, or tax liens, plus small fleet loans. 

To obtain a loan from Mission Financial, you will need to complete and submit three online forms, including a credit application, vehicle spec sheet, and sales order.

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