WHAT'S UP, DOC?
A sampling of recent news reports and information of interest to the world of transportation
Diesel Fuel Prices: Since peaking at 4.764 last July the Diesel Fuel Index has dropped more than fifty percent to begin 2009 at 2.291. The last time it was this low was more than three years ago. Who knows what the future may hold?
LTL'S Future?: In spite of the drop in fuel prices, the LTL sector is hurting. With the drastic drop in the world-wide economy, most carriers probably have an over-supply of equipment and employees to handle the dwindling number of shipments. Yellow Roadway has negotiated a significant reduction in wages in their Teamster Contract and will cut wages for their non-union employees as well. This type of cost-cutting could well spread throughout the industry, as we get deeper into the current recession.
Rate Increases: Annual rate increases are still the norm. Both FedEx and UPS began this new year by publishing increases for both package and LTL shipments.
|