CH's slash & burn?
Got this today in the AHERN ADVISORY
IRS instituting a crackdown on independent contractors.
Many trucking companies continued to struggle; approximately 1,500 – 2,000 additional trucking companies went out of business.
This created a tremendous truck shortage, with approximately 260,000 trucks being taken out of our system in a 2 year period;
To complicate matters, banks continued to put their “strangle hold” on releasing working capital to small businesses.
CSA 2010 was implemented, which will certainly impact the (already dwindling) driver/truck shortage, and create additional demand for trucks in a system that’s already struggling.
The good news for the trucking industry is that;
Capacity shortages equals opportunity.
Capacity will continue to be an issue.
Freight rates, for the next 12 – 18 months, should continue to rise, and;
Shippers are already starting to experience a lack of truck availability.
Perhaps the law of supply & demand do not influence CH Robinson.