At the CSCMP conference in early October, a trucking company owner said in order to reduce the shortage of trucks, the industry needed to increase driver wages – his take was $85-$100K. This is not out of line with what I hear Walmart is paying but it is a large jump for most shippers. This same carrier spoke of converting his for hire fleet to dedicated. I have written in the past how dedicated fleets take capacity out of the ecosystem and are generally less efficient. This is in direct contrast to another speaker on the same panel that made the point that one way to overcome the shortage of trucks is with increased supply-chain efficiency. With 3-4% fewer trucks on the road today than before, the recession there is a real need to do something.
According to one of my contacts, Intermodal service to the West Coast has deteriorated with transit times increasing. Can anyone confirm this?