Trucking

Roading and Rolling: Supreme Court COVID decision. Fares will increase.Increased consumer confidence

The Supreme Court ruled on Thursday about the Biden administration’s vaccination obligations. (Photo: Shutterstock)

Supreme Court blocks COVID vaccine obligations to large corporations

On Thursday, the Supreme Court ruled 6 to 3. Block enforcement of vaccines or test requirements For large private companies with over 100 employees.Prior to the decision, the Occupational Safety and Health Administration issued new guidance outlining mandatory vaccine requirements. It does not apply to solo truck drivers.

In an unsigned opinion, Supreme Court wrote, “Parliament has undoubtedly empowered OSHA to regulate occupational hazards, but not the agency to more broadly regulate public health. Employers with more than 100 employees. Requesting immunization of 84 million Americans selected solely because they are working for is certainly in the latter category. “

CEO and President of American Trucking Associations Chris Spear said “Today, ATA has won a huge victory on behalf of the truck industry and workers and employers everywhere,” he added. “Trucks are at the forefront of the pandemic as a whole, with PPE, pharmaceuticals, food and clothing. , Fuel, and even the vaccine itself. Thanks to this ruling, our industry will continue to offer important medicines as our country recovers from the pandemic and advances the economy. “

Next step

Expect more analysis and reporting on the impact of this decision in the coming days. One truck driver was exempted, but the impact of vaccine mandates on all businesses with more than 100 employees affected warehouses, retail, logistics, and other parts of the supply chain. rice field. Expect future executives to hear revisions and explanations on vaccine and testing requirements as companies navigate the tricky topics of vaccination and government regulation.

Cass index of fares rising 25% in 2022

Wednesday report from Cass information system I saw the data for December Transportation costs increased 7.7% year-on-year and spending increased 43.6%... Due to the capacity limit of the port chassis and the congestion of the railroad, the total load capacity of the truck has increased. Half of the index fare.

Tim Denoyer, ACT Research, “There are signs that all shortage mitigation was beginning to appear before the Omicron wave, but as 2022 begins, the industry’s capacity challenges are exacerbated again. Absenteeism is a transport company driver, maintenance There is a surge among staff and management personnel, and the impact of the latest COVID variants on factory workers can delay the recovery of equipment production. “

To the moon

Private consumption continues to be the main driver behind the rise in transportation costs. Despite the turmoil caused by the recent surge in COVID cases with Omicron variants, product demand remains strong in early 2022.

In addition, inflation is just as worrisome among executives and buyers.

Currently, we are in a feedback cycle where transportation costs are high as consumer demand causes an increase in cargo volume and the market capacity supply cannot meet the new demand. These higher costs are returned to consumers seeking more income by taking advantage of the highly competitive labor market.

Market Updates: Consumer Confidence Increases Amid Inflation Concerns

Consumer Confidence Index Indicates whether you are optimistic or pessimistic Consumers are associated with their expected financial situation.Understanding this indicator is useful for personal consumption It currently accounts for 68.8% of GDP as of the third quarter of 2021.

Lynn Franco, Senior Director of Economic Indicators On the conference boardStates: Towards 2022, both confidence and consumer spending will continue to face headwinds from rising prices and the expected winter surge in pandemics. “

Spending is the lifeblood of the economy, and knowing how confident consumers are can be a leading indicator of future spending. This is important for logistics and supply chain professionals. This is because higher spending increases cargo demand, which can affect rates and volumes.

(Source: FreightWaves TRAC).

FreightWaves TRAC Lane Spotlight: Baltimore to Chicago

Commentary provided FreightWaves Daily Watch

Overview: The spot rate is increasing. Capacity is expected to be even tighter as outbound denials increase by 6.9% w / w.

highlight:

  • Baltimore’s outbound bids have increased by 45% w / w, indicating that demand for outbound capacity has increased significantly since last week.
  • Baltimore’s headhole index has risen by 10% w / w, indicating that the inbound and outbound volume imbalances are widening.
  • Baltimore’s outbound bid denials increased by 6.9% w / w, indicating that capacity was likely tightened at w / w.

What does this mean to you?

Carrier: Stay firmly at your rate coming out of Baltimore. With the headhole index increasing by 10% w / w and the rejection already increasing by 6.9% w / w, price dominance could shift further in your favor. Freight Waves’ TRAC spot rate has already hit a monthly high and is expected to rise further in the coming days.

Truck driver to use Cocaine than marijuana, Survey Results (FreightWaves)

There is a big shortage of truck drivers Causes of supply chain disruption and high inflation (Forbes)

It takes “dramatically long” time for imports to arrive in the United States So that the bottleneck bites. (FreightWaves)

Public Sector Initiatives to Promote Truck Parking Face pass full of hurdles (FreightWaves)

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