Alabama Trucker, 2nd Quarter 2020

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ROUNDUP T RU C K I N G I N D U S T RY

partnered with Protective Insurance Co. to expand the availability and supply of hand sanitizer to truckers along major U.S. freight corridors. National ATA and ABF Freight have procured more than 500 gallons of hand sanitizer produced by Hotel Tango Distillery in Arlington, Va. The sanitizer will be distributed in 55gallon drums to locations in eight states, including Alabama. Truck drivers will be able to refill their personal supplies at no cost. “Protecting America’s truck drivers and ensuring they can stay safe and healthy while on the road, is paramount,” said National ATA President Chris Spears. “While we continue to work with federal agencies on the strategic distribution of PPE, we’re also taking our own initiative — partnering with industry allies — to build supply networks for drivers to tap into.”

ABF Freight’s Ronald Hicks (left) of Birmingham delivers a supply of sanitizer to the Alabama Dept. of Transportation's I-20 Scale House in Heflin, Ala. ALDOT's Steve Clay accepts the delivery on behalf of the state.

Sanitizer is available at Alabama State Scale House on I-20 near Heflin, Ala. Tuckers will also have access to refills at the following additional locations: Colorado—Travel Centers of America, 5101 Quebec St., Commerce City, Colo. Indiana—Stoops Freightliner-Quality Trailer, 1851 West, Thompson Rd., Indianapolis, Ind. Iowa—Iowa 80 Truckstop Fuel Center, 390 W Iowa 80 Rd., Walcott, Iowa Ohio—Jet Express, 4518 Webster St., Dayton, Ohio Pennsylvania—Sideling Hill Rest Stop, Pa. Turnpike Milepost 172.4 East & West Bound, Waterfall, Penn. New Jersey—Molly Pitcher Rest Area, Exit 8A NJ Turnpike Texas—Loves Travel Center #719, 1610 Cotton Gin Rd., Troy, Tex.; Flying J #726, I20, Exit 472, 7425 Bonnie View Rd., Dallas, Tex. 34

ATA study shows driver pay increased in 2019 The American Trucking Associations released the latest version of the association’s Driver Compensation Study, which showed average driver pay, including bonuses, rose nearly $6,000 in 2019 since the last study in 2017. “These results show that fleets did exactly what we would expect them to in the face of a tightening market for drivers—they raised pay and increased benefits in order to attract talent,” said ATA Chief Economist Bob Costello. According to the survey, which was based on data from 2019, the average pay for truckload national, irregular route solo van drivers was roughly $58,000, up $6,000 from 2017. “We saw large carriers hire more entry-level drivers in 2019, including drivers directly from driver training school, which lowered the average pay for these carriers, but they did not reduce pay rates. It was just a different driver experience pool,” Costello said. Fleets responding to the survey also reported offering significant benefit packages in order to attract drivers including paid leave, insurance, meals and other incidentals and retirement plans. For example, more than 90 percent of truckload carriers, less-than-truckload carriers and private fleets surveyed offered drivers paid leave and health insurance. “What these figures show is that being a truck driver can be a path to a middle-class lifestyle for millions of Americans,” Costello said. “With the long-term impacts of the COVID-19 pandemic and subsequent economic crisis not yet fully clear, we can say that a career in trucking could be a wellpaying solution for some of the millions of Americans who have lost their jobs so far this year.”

Trucking leaders ask Congress to suspend federal excise tax on equipment Dozens of business organizations and policymakers sent a joint letter to Congress in April asking for a suspension of the 12 percent federal excise tax (FET) on the purchase of new heavy-duty trucks and trailers until the end of 2021. The letter argues the suspension of the FET would spur sales of newer cleaner trucks, which would retain jobs in the trucking sector and help rebuild our economy. The letter cited dire predictions of truck and equipment sales declines in 2020 by 50 percent due to the pandemic. In March, alone, Class 8 truck orders dropped by 52

percent compared to last year. Additionally, as a result of government-ordered closures, truck manufacturing plants and truck dealers have either suspended or scaled back operations. “To jumpstart the economy after the pandemic, a suspension of the burdensome FET, which increases the cost of new heavyduty trucks and trailers by $22,000 on average, would immediately spark the purchase of heavy-duty trucks and trailers,” the letter states. “In turn, this would help save or bring back the livelihoods of the 7.8 million Americans employed in jobs related to trucking.” The letter also stated that in addition to saving jobs, a suspension of the FET would spur sales of today’s cleaner and safer heavyduty trucks and trailers by making them more affordable during this difficult economic time. “Over the past two decades, the trucking industry has made strong environmental gains, and today’s heavy-duty trucks are cleaner than ever before,” it states. “Cleaner fuel and engines utilizing advanced technologies have combined to reduce nitrogen oxide emissions by 97 percent and particulate matter emissions by 98 percent. Since 2010, more fuel-efficient diesel trucks have saved 101 million barrels of crude oil and reduced CO2 emissions by 43 million tons.” The American Trucking Associations is a member of the coalition that issued the letter, and its President Chris Spear told Transport Topics back in April that trucking businesses have been greatly affected by the economic shutdown. “Truckers aren’t looking for a bailout as they keep America moving during these challenging times and prepare for our eventual recovery,” he said, “but a tax holiday on the antiquated federal excise tax would be good medicine to help with liquidity and to stimulate the purchase of newer, safer trucks and trailers.” The coalition’s letter offered that another benefit of the suspension of the tax would also encourage the sale of newer trucks, which have the latest safety technologies that help reduce roadway crashes and related injuries and fatalities. During this crisis, the nation has been more dependent than ever on trucks for the delivery of goods and critical medical supplies, yet the average age of a truck on the road today is almost 10 years old. “We believe the suspension of the FET can help both in keeping the nation well supplied and in rebuilding America’s vital trucking industry and related employment,” the letter states. A LABAMA T RUCKER • 2 ND Q UARTER 2020


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