SOLUTIONS through INNOvaTION
Hendrickson understands the medium- and heavy-duty trucking industry and the challenges it faces every day. We are poised to supply Solutions through InnovationTM by drawing on our 100 year legacy of superior design, quality manufacturing and superb customer service. We deliver lightweight, durable, innovative suspension systems and components required to carry freight around the globe. Hendrickson looks forward to serving the medium- and heavy-duty commercial vehicle industry today and for the next 100 years.
sePteMBer / OCtOBer 2014
CONTENTS ADVERTISERS A One Financial .................................. 27 Benson Tire .......................................... 19 Bloomfield Truck Stop .......................... 21 Castrol Heavy Duty Lubricants ............. 7 Espar Heaters ....................................... 11 G & G Trucking Solutions .................... 31 Glasvan Great Dane ......................... 13 Hendrickso......................................2,3 Howes Lubricants ................................ 9 J D Factors ........................................... 17 Kriska Transportation ............................ 5 Mercado Capital Corporation ......... 15, 41 Michelin...............................................47 National Safety Code Complaince ....... 33 Neetu Dhaliwal - Remax ................... 39 Peterbilt ............................................... 48 Quick Truck Lube ................................. 35 RD Truck & Trailer Repair ............... 29
08 14 18 24 30 32 36 38 40
Forest Fire Season mOsm jMglW dIAW A`gW dw
Sales – Taking a Technical Approach sylz Bwv iv`krI nUM vI qknIk dI loV hY
UNDERCUTTING IN TRUCKING tr`ikMg ‘c Gtw-Gtw ky kImq dyxI
Understanding Torsional Vibrations Managing Your Financial Affairs in Difficult Economic Times. What is E Manifest / ACI ? eI mYnI PYst/ ey sI AweI
cargo claims is my bank really the right choice for me? Are you hauling General Freight ? kI qusIN jnrl Bwr FoNdy ho?
Sarnia Service Centre .......................... 21 Tiger Tool ........................................... 45 Volvo..................................................23
Home Work Life Balance
TECH TID-BITS by JAG DHATT
11 Roadcheck 2014: Total inspections increase, OOS rates decrease. 13 Vehicle-to-Vehicle Communications Technology 17 Trucking Invests $7.5 billion a Year in Safety 22 Class Preliminary 8 Net Orders Strong in a Historically Weak Month 26 TransForce Owned Carrier Raises Driver Pay 27 CASE accreditation For Mack and Volvo Training Programs 28 Solid Growth for “entire freight economy” out to 2025 31 Basic Skills Driver Training Debate Opens – Again.
Advertise in: tr`kW vwly vIrW dw mYgzIn
driverless Truck September / october 2014
KRISKA_DESI SEP14_Sukhinder_8.25x10.875_8.25x10.875 14-08-07 3:10 PM Page 1
ATTENTION Owner Operators, Kriska Offers: • Fuel cap $.47 per litre • Paid: plates, decals, satellite, tolls and bridges • Insurance paid through Safety and Performance Program • Earn $1.25/mile on our Regional Board
Daimler Future Truck 2025 NATIONAL TRUCKING WEEK September 7-13 “Kriska supports my family life – the management is understanding and they know their business. Kriska has an excellent safety rating which makes it easier when dealing with scales and the MTO.
Sincere Thanks to all our hard-working Drivers!
–– Sukhwinder Sodhi, 15yr Owner Operator
“The Difference Is In Our People” A PROUD CANADIAN CARRIER SINCE 1978
For additional information E-mail or Call Kriska Toll Free:
email@example.com / 800.461.8000 Ex 5252
Kriska is a premier provider of asset-based transportation services
KRISKA: ON THE ROAD, ONLINE!
September / october 2014
Transportation / Logistics / Warehousing
Editor’s Note / sMpwdkI
Don’t Lose Your Head in a Difficult Situation… When I was a teen, my mom said the above lines to me and initially, the words were diﬃcult to completely understand; until, she explained them to me in simple terms. She said that our brain controls our body and our actions, and this is the only part of our body that thinks. During a diﬃcult time, we invest even more concentration to get out of the situation, and if you get upset, your brain can’t think properly and can’t give you the right decision. Rather, with an upset mind, most people make a dilbag (ron) dhaliwal wrong decision, which usually only makes the situation worse. Since the day my mom explained this to me, I’ve kept that principle in mind and whenever I get into such a situation, the ﬁrst thing I say to myself is, “Keep yourself calm and don’t lose your head;” so far, have been able to successfully get out of these situations. In our industry, we spend most of the time on the road, usually under pressure to reach our destinations on time. At the same time, we have to deal many ignorant moves by other drivers that drive us crazy. We may also have issues with our dispatchers, shippers, or receivers. But remember that if there is a problem, there is also a solution and our priority should be to keep our head calm and ﬁnd the right solution to solve the problem. We are here with the September/October issue of Desi Trucking Magazine and in this issue we have included articles on various subjects. One of our articles deals with the problem of undercutting of prices and although this is an issue in almost every industry, it is very prevalent in trucking. Let’s do the math? You can work 8 hours for $20/hr or work 20 hours for $8/hr. You need money to pay the bills but at the same time, you need quality time for yourself and your family. The choice is yours. As always, I wish you good luck and say, “God always bless Truckers.”
Publisher JGK Media inc. | 1-877-598-3374 (desi) editor-in-Cheif dilbag (ron) dhaliwal Associate editor Jagmohan singh Advertising & sales Jag dhatt Art director Avee J Waseer it Manager raj sidhu Cover design www.spicyCreatives.com Contributing Writers Ken Cooke, Pash Brar, Jag dhatt, Mike Howe, dara nagra, ray Gompf, Ken davey, sonia nanda, dr. Jagdeep Kaur translator Onkar singh saini
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JAG dHAtt Corporate VP
national & Western Canada
Cell: 604-767-4433 e: firstname.lastname@example.org
Cell: 416-875-3820 e: email@example.com
Address: #235 - 8138, 128 street, surrey BC v3W 1r1
Address: 160-2, County Court Blvd. #128 Brampton, On L6W 4v1
All rights reserved. no material herein or portions thereof may be printed without the written consent of the publisher. disCLAiMer: JGK Media inc. assumes all advertisers to be reliable and responsible for any and all liability for their claims. the publisher reserves the right to refuse any advertisement it may find unfit for publication. the opinions expressed in articles and features are of the writers and may not be those of the publisher. tHe PUBLisHer AssUMes nO resPOnsiBiLitY OF AnY Kind.
PUBLiCAtiOns MAiL AGreeMent #42226512
Postmaster if undeliverable Canadian Address to #235-8138 128 st., surrey BC v3W 1r1
sePteMBer / OCtOBer 2014
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sePteMBer / OCtOBer 2014
Forest Fire Season
Forest Fire Season Forest fire season is upon us. As I write this the wild fires in British Columbia are
burning areas about the same size as many countries in the world and the smoke from these fires is contaminating breathing air right across Canada. While other provinces have yet to have too many critical fires burning, there certainly will be huge tracts of land the will succumb to fire over the next few months. These fires are a natural occurrence that leads to a regeneration of plant and animal life in the affected area and while we see the fires as a disaster, especially when people’s homes and businesses are destroyed. But in reality, the fires are just nature reclaiming it’s rightful place. While we as a society fight these fires and justly so, to protect our investments, there is always a huge amount of smoke and ash that can also have devastating results in far flung places from the fire source.
so, why is this even relevant for trucking and truckers? Many of the routes, in Canada, on which we must travel and spend hours, even days, constantly breathing the smoke and ash from these fires is critical to our health. Many of us will have to subject ourselves to the results of these huge fires and for many of us breathing problems, even death, could 8
be a result. By constantly breathing the smoke and ash, especially in the most polluted areas, our carbon monoxide levels increase. We can get to the point where we become overly tired and simply go to sleep and not wake up and they find us after the fire and bury us. We need to be able to protect ourselves from the effects of the smoke inhalation. When you find yourself in such a situation, as they will arise faster than you can imagine, stop and get a towel; soak the towel in water to the point where the towel isn’t dripping but is very wet. Wrap this wet towel around your face from just below your eyes and wrapped well around your neck. Breathe through the towel. It will help remove the ash from the air and take much of the smell of smoke away. It will ease the awful taste in your mouth and down your throat. The get yourself through and out of the smoke affected area as quickly and safely as you can. Once out of the smoke, depending on your ability to breathe and recover, take a few hours to breathe clean air and rest. This should clear your lungs and you should be able to continue. Do not accept another load that is going to put you back into a smoke and ash affected area until you are certain your lungs can handle to situation. If you have any breathing difficulties as part of your everyday life, such as
G. Ray Gompf asthma, then you may actually have to seek medical care before continuing anywhere and possibly for a prolonged period of time. In my driving history, I have suffered through two major forest fires. Back a few decades ago, there was a forest fire that went through Northern Ontario and burned thousands of hectares of bush on Highway 17 from Raith to Kenora. While the fire was dangerous, it was the smoke that did the most destruction. I made it safely into Winnipeg through the fire on one day and then had to make the return trip back east the next. Being young and foolish, I assumed I’d have no problem. If I could make it through once, I could make it through again. Not so. The second day of breathing constantly, the smoke and ash from this fire almost killed me. I had to seek medical attention on the return trip and was hospitalized in Thunder Bay for two days basically on oxygen to help me recover. My carbon monoxide levels were at such a level, they wondered why I was alive. The second one was in Virginia and West Virginia. I was on a trip from Burlington, North Carolina to Edmonton, Alberta. I was aware there was a problem in Virginia and West Virginia before I left, but this was one of those hot loads that just had to be there as quickly as I could get it there, no excuses. So, I was prepared but still shocked sePteMBer / OCtOBer 2014
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Forest Fire Season at what lay ahead. Not an hour along the highway I started to smell the smoke, but it was not heavy or even visible and I was just barely aware of the smell. But having remembered that other experience in a forest fire, I was determined to make it through and not just survive but thrive. As soon as I became aware of the smell of the smoke, I did the towel thing. It helped a lot. As I progressed along the road, I started to see the flames in the bush on either side of the road. After about an hour and a half of driving through the fire, then I reached the heavy smoke. It was thick and yellow and heavy. Even with the wet towel, I gagged. I could feel my headache progress from a mild pounding to a feeling as if I was being hit with a sledgehammer from inside my skull. I knew I couldn’t last much longer but I also knew if I stopped it would get me so I forced myself to go on. After another hour or so, I was finally out of the thick smoke and into clean air again. Again, I had to seek medical attention but this time I wouldn’t let them admit me to hospital. I got treated with some oxygen and after about two hours of treatment, I left and kept going. I shouldn’t have left North Carolina until the forest fire was over, or I should have taken a much longer route to the destination. I did make it to Edmonton on that trip but it had taken quite a toll on my well-being. The whole point to this story is that forest fires are part of nature. We have to be able to get the job done no matter what. We make it through blizzards and just complain. The blizzard doesn’t stop us from breathing but fire and smoke can take that ability away. Recovering from smoke inhalation takes considerable time. Even when we feel better, we haven’t recovered fully. Our lungs are weak after such exposure and that makes us much more susceptible to infections and serious problems. The thing is you will be exposed to such disasters just because of what we do for a living. Make sure when you are exposed you mitigate the damage done you yourself and make sure you take the time to recover properly. And don’t go back into the fire zone anytime soon. Dispatchers. Make sure you consider the drivers under your control and don’t allow them to make a return to a fire zone for a considerable time. Even when the fire is out, there is that smell that will last for months. Just that smell can be devastating to someone whose lungs have been challenged and compromised by forest fire smoke. 10
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September / october 2014
Roadcheck 2014: Total inspections increase, OOS rates decrease. The total number of commercial vehicles inspected in Roadcheck 2014 rose to near-record levels, while the number of vehicles ordered out of service for major safety violations dropped for the third consecutive year, according to the latest figures from the Commercial Vehicle Safety Alliance. CVSA’s annual Roadcheck campaign occurred June 3-5 this year, as certified inspectors across North America completed 73,475 truck and bus inspections during the 72-hour enforcement campaign, as stated in a press release issued Wednesday afternoon. The campaign saw a total of 49,656 North American Standard Level I inspections, in which vehicles and drivers are assessed for violations of federal, state or Canadian provincial safety regulations. Of the Level I inspections conducted in Canada and the U.S., 23 percent were found with out-of-service violations, compared with 24.1 percent of the 47,771 vehicles given Level I inspections in 2013. The overall percentage of drivers who were ordered out of service rose slightly to 4.8 percent, up from 4.3 percent in 2013. There were a total of 72,415 driver inspections. This could be a result of the adjustment to HOS rules. In addition to those violations, CVSA inspectors issued 825 seatbelt violations. An added area of emphasis in this year’s campaign was hazardous materials/dangerous goods regulatory compliance. A total of 5,738 inspections included HM/ TDG during this year’s event, with 919 (16.0 percent) found with vehicle OOS violations and 172 (3.0 percent) with driver OOS violations. Brake adjustments and brake systems once again were the most common violation resulting in a vehicle being placed out of service, and account for 46.2 percent of all OOS violations issued. Hours-of-service violations were the most common violation resulting in a driver being placed out of service, accounting for 46.5 percent of all driver violations. CVSA estimates that for this year’s International Roadcheck, more than 10,000 CVSA and FMCSA inspectors participated at approximately 2,500 locations across Canada and the United States.
placed out of service (2.4 percent were out of service in 2013). Passenger-carrying vehicles: 96.1 percent of drivers had no OOS violations, and 3.9 percent were placed out of service (3.1 percent were placed out of service in 2013).
Vehicle results for 2014 were as follows: • All inspections that included vehicles: 81.3 percent of vehicles had no OOS violations, and 18.7 percent were placed out of service (20.6 percent were out of service in 2013). • Level I inspections: 77.0 percent of vehicles had no OOS violations, and 23.0 percent were placed out of service (24.1 percent were out of service in 2013). • Hazmat inspections: 84.0 percent of vehicles carrying hazmat had no OOS violations, and 16.0 percent were placed out of service (16.5 percent were out of service in 2013). • Passenger-carrying vehicles: 90.7 percent of vehicles had no OOS violations, and 9.3 percent were placed out of service (7.1 percent were out of service in 2013).
Facts at a glance: 2014 driver inspection results (per CVSA): • All inspections that included drivers: 95.2 percent of drivers had no OOS violations, and 4.8 percent were placed out of service (4.3 percent were out of service in 2013). • Level I inspections: 96.0 percent of drivers had no OOS violations, and 4.0 percent were placed out of service (4.3 percent were out of service in 2013). • Hazmat: 97.0 percent of drivers carrying hazmat had no OOS violations, and 3.0 percent were September / october 2014
by JAG DHATT
ccording to Volvo, the new 2016 VN series A highway tractor will deliver even better fuel efficiency, and thus
the trailer gap. In addition, Volvo is building upon its XE – eXceptional Efficiency – packages with improved gearing modifications to further boos fuel economy. Finally, depending on the rear-axle load, the new overdrive system can sense and lock out the 12th gear and provide performance and fuel-efficiency of direct drives.
hree new UPS centres will be opening T in BC in order to expand its operations in Canada and support new jobs. The three
o you want to design and build your own D Model 579? It’s pretty straight forward, according to Peterbilt.
and then save and email an image of it to your nearest Peterbilt dealership. Just like online automobile configurators, each time a selection is made, the screen shows an updated image based on the user’s choices. Options for configuration include sleeper or day cab, interior trim packages, exterior colour, axles, aerodynamic fairings, bright options, and performance levels for the MX-13 engine.
president Michael Tierney said, “Expanding our service in BC and across Canada is fueled by market opportunity and customer demand. UPS continues to invest in new capabilities and network capacity to secure customers’ confidence and enable their long term growth.” The expansion and opening of the four centres will represent a multi-million dollar investment and will provide about 80 jobs. The planned expansions are expected to be completed by November of this year.
savings, as compared to earlier models. Changes to the bumper, chassis, and roof fairing designs will reduce air turbulence around the vehicle exterior and will improve air flow under the truck, around the tires, and in
Simply use the new configurator tool at www.peterbilt.com and from there, pick a colour, select sleeper or cab, and fine tune your PACCAR MX-13 engine. According to those who have used it, the new online configurator tool is fun, immersive way to build your custom Model 579. From the comfort of your own home, customize your truck virtually
or 2015, Freightliner Trucks has announced FWestport that the Cummins ISX12 G
heavy-duty natural gas engine will be available as a factory-installed option for the 114SD severe-duty truck in 2015. This natural gas engine coupled with the severe-duty truck will be ideal for jobs such as mixer, crane, and sewer vac. Ratings of up to 400 hp and 1450 ft-lbs of torque will come from this
arrier Transicold, a company built on helping C improve transport and shipping of temperature-controlled cargoes, says its new APX
remote panels add convenience and efficiency for refrigerated transport. These remote panels, now placed in locations more easily accessible to operators, are available in two configurations: “flush-mount,” designed for mounting inside the trailer near the doors and, “surface-mounts,” for
12-liter natural gas engine, which can operate on compressed natural gas (CNG) or liquefied natural gas (LNG). The 114SD was available with a CNG option with the 9-liter Cummins Westport, but a larger displacement engine was needed for severe jobs. Freightliner has sold more than 3500 natural gas-powered trucks since 2008 and this is another addition to an already successful fleet.
use on trailer exteriors. Both configurations of panels include the same dashboard display – a large, backlit screen, lined by labeled controlled buttons and menu keys – which makes operation easy and intuitive. These new panels incorporate the same plug-and-play control setup of Carrier Transicold’s latest units by using CAN bus communication protocols.
centres are slated for Kamloops, Nanaimo, and Comox; in addition, the Kelowna office will also be expanded and upgraded. UPS Canada
uilding on its already existing MP8 platform, Mack has announced a new 505-hp Mack MP8, called the 505C+. This new engine will be churning out a whopping 1,860 ft-lb of torque and should increase fuel efficiency.
Mack says the engine, “is ideal for long-haul applications, especially those in mountainous terrain,” where extra power and torque is necessary. Now available for order and delivery, the new engine is available in the Mack Pinnacle Axle Forward and Axle Back models. leetCor Technologies, Inc. will acquire ComFDecember data from Ceridian LLC for $3.45 billion by of 2014. This merger is a natural one
and FleetCor.’s CEO, Ron Clarke, is very excited about bringing the two companies together. FleetCor is a global provider of fuel cards and
workforce payment products to businesses while Comdata provides fleet, virtual card, and gift card payment systems to over 20,000 customers. Comdata has about 1,300 employees and does over $54 billion in payments annually. The acquisition of Comdata by FleeCor follows a trend of companies investing heavily in the fuel card business. 12
September / october 2014
U.S. Department of Transportation Annouces Advance Notice of Proposed Rulemaking to Begin Implementation of Vehicle-to-Vehicle Communications Technology WASHINGTON – The U.S. Department of Transportation’s (DOT) National Highway Traffic Safety Administration (NHTSA) August 20, 2014 released an advance notice of proposed rulemaking (ANPRM) on vehicle-to-vehicle (V2V) communications technology. “Safety is our top priority, and V2V technology represents the next great advance in saving lives,” said U.S. Transportation Secretary Anthony Foxx. “This technology could move us from helping people survive crashes to helping them avoid crashes altogether – saving lives, saving money and even saving fuel thanks to the widespread benefits it offers.” The report includes preliminary estimates of safety benefits that show two safety applications - Left Turn Assist (LTA)
and Intersection Movement Assist (IMA) – could prevent up to 592,000 crashes and save 1,083 lives saved per year. Put another way, V2V technology could help drivers avoid more than half of these types
of crashes that would otherwise occur by providing advance warning. Additional applications could also help drivers avoid imminent danger through forward collision,
blind spot, do not pass, and stop light/stop sign warnings. “By warning drivers of imminent danger, V2V technology has the potential to dramatically improve highway safety,” said NHTSA Deputy Administrator David Friedman. “V2V technology is ready to move toward implementation and this report highlights the work NHTSA and DOT are doing to bring this technology and its great safety benefits into the nation’s light vehicle fleet.” The information sent between vehicles does not identify those vehicles, but merely contains basic safety data. In fact, the system as contemplated contains several layers of security and privacy protection to ensure that vehicles can rely on messages sent from other vehicles.
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Five southern Ontario locations.
sePteMBer / OCtOBer 2014
sales – Taking a Technical aPProach sylz Bwv iv`krI nUM vI qknIk dI loV hY
in today’s competitive world the trucking industry needs to understand and apply formal sales strategies to monitor the profit-
ability of their freight orders. Selling-Chain Management is an application framework that helps sell better, more effectively and across all channels by establishing linkages between previously disconnected sales functions within a company. The focus of sales processes is to secure a customer relationship for the longer term and earn their trust for more customer referral business opportunities. Every company needs to re-evaluate their selling strategies based on the economic environment and changes in customer demands. There are tremendous changes which are affecting the way traditional selling used to work. Now, the focus is on the buyer, what they want, when they want it, and how they want it. Software suites need to support these requirements by providing such functionalities as sales lead management, configuration, dynamic pricing, order entry, order management, product catalog, available to promise, proposal & quote and commission. SCM is an integrated order acquisition strategy set in a multi channel environment. The complete integrated selling chain application architecture breaks the departmental walls and supports complete order life cycle that involves Inquiry/Prospect, Customization, Commit and Order processes. The goals of SCM business strategy are to: • Make the ordering process easier for the customers • Add value for the customers • Make it easy to order customized products • Increase sales force effectiveness • Coordinate team selling There are a number of business forces driving the need for implementing scM. some of these forces are: • The rise of the Self-Service Order • The excessive cost of Presales technical support 14
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gwhkW leI Awrfr dyx dI ivDI nUM sOKw bxwauxw gwhkW dI AihmIAq nUM smJxw vsqW nUM vDIAw bxwaux leI ivDI nUM sOKw bxwauxw ivkrI sMgTn nUM pRBwvSwlI bxwauxw ivkrI tIm dw qwlmyl r`Kxw
keI ibzns Adwry hn jo AYs sI AYm dIAW SkqIAW dI loV mihsUs kr rhy hn aunHW ‘coN ku`J hyT ilKIAW hn: • • •
sYlP srivs Awrfr dw auBwr pRI syl qknIkI shwieqw dw vwDU Krcw Awrfr ‘c glqIAW dIAW vD rhIAW kImqW sePteMBer / OCtOBer 2014
There is no such thing as a stupid question
PwienYNisMg qy spirMg pRmoSn! tRylr au~pr isr& pihlI Aqy Aw^rI ikSq hI idE (O.A.C) tr`k LIz au~pr ryt G`t kIqy (O.A.C)
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sePteMBer / OCtOBer 2014
Sales – Taking a Technical Approach • The increasing cost of order errors • The proliferation of channels • The increasing complexity of products • The rise of deregulation and mergers and acquisitions • The increasing of online sales through IRM (Internet Relationship Management) The elements of an SCM infrastructure include: • Sales Configurator: For complex order processes involving build-to-order products, configuration is a basic prerequisite for doing business. Modern system configurators are designed to go beyond checking to see whether a product is configured correctly. They embrace the needs of the customer and enable a sales force to generate requirement-based configurations and quotes. • Pricing: Selling complex products requires effective pricing configuration support. Pricing configuration and update management tools assist companies with developing, managing, and deploying complex pricing and discounting structures to their selling channels. • Proposal and Quote Generation: This includes opportunity creating and tracking, interactive needs assessment, automatic quote generation and proposal wizards. • Commission and Contract Management: There are three core modules: incentive design, incentive processing, and incentive analysis. Compensation design, planning, contract management and processing are the most complex, error-prone and time consuming areas. • Order Entry and Management: The order entry and acquisition process goes through a series of steps like: 1. Identify potential customer 2. Understand customer needs 3. Validate needs with customer 4. Develop alternative scenarios 5. Translate into production terms 6. Determine configuration, cost and price 7. Determent terms, availability and delivery 8. Present Bid/Proposal to customer 9. Evaluate and revise bid 10. Prepare Order • Internet Relationship Management (IRM): It helps deliver targeted, dynamically generated content to a company’s customers. It is used to manage customer interaction and for deriving revenues. SCM applications are attempting to solve problems in: 1. 2. 3. 4.
Standardizing best selling practices Closing more sales Increasing average order size Multi channel selling
A multi channel selling infrastructure is necessary for a company to manage all facets of the order process. Following this process, companies attract new prospects by providing them with easy access to product and service information before they buy. After the sale, the same level of service builds the type of loyalty that turns customers into company advocates, resulting in up-selling and cross-selling opportunities, as well as new customer referrals. This way, CRM and SCM really helps the company to attract customers, make sales, and then retain them as lifetime customers. 16
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Trucking invests $7.5 billion a year in safety The American Trucking Associations (ATA) told Congress today that the trucking industry invests more than $7.5 billion every year in preventing crashes on US highways. “The trucking industry places safety at the top of its priority list,” ATA executive vice-president Dave Osiecki told the Senate Commerce Committee’s subcommittee on surface transportation and merchant marine infrastructure, safety and security. “Our industry spends more than $7.5 billion each year on safety, and that investment is making a difference.” He pointed out that over the past decade the number of large trucks involved in fatal crashes has dropped 17% – even with the industry operating an additional 2.7 million trucks and driving an additional 54 billion miles. “More trucks, billions more miles, fewer
crashes.” The $7.5 billion in investments goes towards things like safety training, safety-related bonuses and safety technologies. Osiecki said the investments are only part of the solution and called on the federal government to do more to address the causes of crashes. “Driver error causes most crashes. More specifically, driver mistakes and driver misbehaviours – by both professional drivers and passenger vehicle drivers,” he said, pointing out that behaviour and actions of car drivers contribute significantly to truck crash numbers. “If the regulatory, enforcement and safety program lens is focused properly on the most common mistakes and misbehaviours by all involved in the safety equation, big safety gains are possible.”
new publicly owned bridge connecting Windsor, ont., and detroit. Canada and the U.S. have named the members of the international authority that will oversee the construction of the new publicly owned bridge connecting Windsor, Ont., and Detroit. Canadian Transport Minister Lisa Raitt and Michigan Gov. Rick Snyder made the announcement in Windsor last month. The Windsor-Detroit Bridge Authority (WDBA) will consist of: Kristine Burr (Chair) and Geneviève Gagnon of Canada and Michael D. Hayes, Birgit M. Klohs, and Matt Rizik of the US. A third Canadian member will be named later. The group of six will oversee and approve key steps in the procurement process for the new crossing. It will also monitor compliance of the Windsor-Detroit Authority with the crossing agreement, signed by Canada and Michigan in 2012. Raitt also announced appointments to the board of the authority: Michele (Michael) Cautillo, president and CEO. Cautillo is a civil engineer who has worked as a transportation specialist and partner in Deloitte’s Ontario Infrastructure Advisory and Project Finance group; Mark McQueen, chair of the board of directors; William Graham, and Caroline Mulroney Lapham, daughter of former prime minister Brian Mulroney, as directors. The Windsor Detroit Bridge Authority will be the manager of “all
parts of the project” in Canada and the U.S. once it’s built, Raitt said. It will also set and collect tolls. Canada has agreed to pay for construction of the bridge and will recoup its costs through tolls. Last month, the long-awaited binational border crossing obtained its final approval via permit from the U.S. Coast Guard after a U.S. court rejected a request for an injunction filed by the owners of the existing private Ambassador Bridge. The next step involves securing funding for a U.S. customs facility, along with acquiring land on the American side. A proposal to transfer 301 Detroit-owned properties to the Michigan Land Bank in exchange for $1.4 million from the Canadian government as part of plans for the crossing was delayed Monday, CBC reports. Sources tell The Canadian Press the panel is expected to try to move the project forward, but the proposed New International Trade Crossing will still need $250 million in U.S. funding to build a new U.S. Customs and Border Protection plaza in Detroit. If everything goes smoothly, the bridge is expected to open in 2020.
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sePteMBer / OCtOBer 2014
By: PAsH BrAr
UNDERCUTTING IN TRUCKING tr`ikMg ‘c Gtw-Gtw ky kImq dyxI t here is competition in every industry, including trucking. A very common way of overcoming competition in trucking is to undercut when bidding for the load. By undercutting, I mean to offer a lower price than your competition for a load. This essentially takes that load away from the competition. Now that the load has been obtained by offering the lower price, has it necessarily made that company any money? Often the end result may not be all it seems. When bidding on a load, there are obvious factors that must be taken in to account to earn money. The distance being travelled, fuel being consumed, any extra insurance costs, extra permit costs, time to load and unload, is there a backhaul, pay to the driver, truck and trailer maintenance etc. These factors must be taken in to account for each load bid on. If the price is too low to make money, why would anyone take a load for a loss? There are companies which are taking loads for a loss, and many in the industry are saying it is these companies which are destroying the current trucking industry today. In BC there was a strike in March of 2014 at Port Metro Vancouver due mostly to pay issues. Rates, unpaid time spent waiting and undercutting were the big issues. Hundreds of millions of dollars worth of cargo was left stranded at the docks during the 28 day dispute. In June 2014 there was a strike threatened again because the pay increases promised from the previous dis-
- Pash Brar B.A. Pash is a mobile leasing representative with Auto One Leasing LP in Vancouver. She has a banking, collections and accounting background. She specializes in importing vehicles and trailers from the USA.
tr`ikMg smyq hryk ieMfstrI iv`c mukwblw hY[ ies mukwbly qoN bcx dw sOKw FMg ieh hY ik jdoN Bwr dy BwVy dI bolI dyxI hovy audoN G`t id`qI jwvy[ G`t kImq qoN myrw Bwv hY ik dUjy dy mukwbly BwVy dI kImq G`t mMgo[ ies nwl mukwbly qoN bicAw jw skdw hY[ hux jdoN G`t kImq mMgI geI hY qW kI kMpnI nUM koeI Pwiedw vI hovygw[ nqIjw Aksr aus qrW dw nhIN huMdw ijs qrW dw AsIN socdy hW[ jdoN AsIN iksy lof qy bolI idMdy hW qW swnUM pYsy kmwaux leI bhuq swrIAW g`lW dw iDAwn r`Kxw cwhIdw hY[ ienHW iv`c kIqw jwx vwlw sPr, qyl dw Krcw, bImy dI koeI vwDU lwgq, vwDU primtW dI lwgq, l`dx Aqy lwhux nUM l`gw smW, vwpsI qy lof, fRweIvr dI qnKwh Aqy tr`k Aqy trylr dI sWB-sMBwl ieq Awid[ ijs lof qy vI bolI dyxI hY aus smyN ienHW g`lW nUM zrUr iDAwn iv`c r`Kxw cwhIdw hY[ jy kImq ieMnI G`t hY ik koeI Pwiedw hI nhIN qW nukswn Kwiqr Bwr Fox dI kI loV hY[ ies qrHW dIAW kMpnIAW vI hn ijhVIAW Gwty qy lof FoA rhIAW hn[ aunHW sbMDI ieMfstrI dy lokW dw kihxw hY ik ieho ijhy hI lok hn ijhVy A`j tr`ikMg ieMfstrI nUM qbwh kr rhy hn[ mwrc 2014 nUM bI sI iv`c qnKwh dy mwmly sbMDI port mYtro vYnkUvr ‘qy hVqwl hoeI sI[ ienHW ‘c m`uK msly sn qnKwh dI dr, aufIk smyN pYsy nw dyxy Aqy G`t bolI dyxw[ ies 28 idn dy JgVy dOrwn kroVW hI fwlrW dw smwn bMdrgwhW qy ruldw irhw[ jUn 2014 ‘c hVqwl dI iPr DmkI id`qI jw rhI hY ikauNik jo smJOqw kIqw igAw sI Aqy ijhVw 3 ApRYl nUM lwgU hoxw sI auh lwgU nhIN hoieAw[ bhuq swry kMpnIAW dI nukqwcInI kr rhy hn ik aunHW ny Awpxy munwPy nUM mu`K r`K ky qnKwhW iv`c kIqy vwAdy nUM isry nhIN cVHwieAw[ jdoN G`t qoN G`t kImq qy lof cu`ky jwxy hn qW munwPw k`Fx dw koeI rwh nhIN rih jWdw[ ies qrHW dy hwlwq ‘c ie`k tr`k fRweIvr nUM hI mwr J`lxI pYNdI hY[jy munwPw kmwauxw hY qW fRweIvr nUM pYsy G`t idE[ G`t kImq qy Bwr Fox dw kuhwVw tr`k fRweIvr dy isr qy hI cldw sePteMBer / OCtOBer 2014
ver the years, the trucking industry has changed in its human resources. In the day, truckers were sons of truckers and the teamster mentality was in the blood. I’m not talking about the teamster union, I’m talking about the roots of trucking where horses were the motive power. As the industry moved from horses to engine powered units, those inside the operational part of the industry were inculcated into the industry. They simply learned by osmosis all those things necessary to operate their vehicles safely. Today, instead of innate knowledge handed down from one generation to the next; government regulation and limited knowledge of the equipment have replace
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We strive to give you the greatest quality of service and products, through our commitment to our customers and never settling for good enough. AsIN Awpxy kstmrz nUM sB qoN vDIAw kuAwiltI, srivs Aqy pRofkts dyx leI vcnb`D hW WE STOCK TIRES FOR ALL VEHICLES
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undercutting inTrucking pute settlement were not being honored which should have taken place on April 3. They were accusing companies of not paying the agreed pay increases all to make a profit. When loads are undercut, there are very few ways to now earn a profit, and often it is at the expense of the truck driver. Pay the driver less so the company can earn a profit. The truck driver is who often suffers the wrath of undercutting. Recently in BC a few trucking companies banded together to undercut each of their loads by $400. I have a few drivers working for one of the companies. They immediately left to go work elsewhere and so did most of their colleagues. Other trucking companies were lining up to hire the disgruntled truckers. The drivers I know personally who left are hardworking, honest men trying to support their families. As they told me, they cannot provide for their families by staying with a company who agreed to undercut loads and make them pay for it. Running at a loss was not an option for the drivers. I see the pay statements for all of my drivers. I see pay discrepancies on most of them. The rate does not match what the driver has written on their pay envelope. Drivers tell me that they ask for the rate and are sometimes not even told and have to take a load not knowing if they can cover even their fuel costs. Or they ask one day and its one rate, and the next day the same load is a different rate, and their friend at the same company is quoted another rate entirely for the exact same load. I had to deal with a wife of one of my drivers who was crying her eyes out. She was asking why the company couldn’t just pay her husband who risked his life every day driving to feed their family, honestly. He left that company I’m happy to say along with 14 others. Without drivers, you have no business. With competition everywhere, undercutting is not the only way to get a load and to earn a profit. Whether it’s in trucking or in any business, we all have competition. It’s how we deal with that competition that sets us apart. Prompt courteous service and customer service is an excellent tool. Competition helps businesses to build loyalty to your good service. When others offer the same services you do, you must distinguish yourself. Education and innovation are invaluable. See what competitors are doing right and wrong and learn what you can do to make your business that much better. In trucking it’s your drivers who are your service tools. Educate them and work as a team. Learn your core market with the drivers. They’re the one’s seeing everything on a daily basis. Get their feedback and have them participate in the company. When the drivers are happy and involved, and earning a profit, the whole industry earns a profit.
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Desi Trucking Magazine
sePteMBer / OCtOBer 2014
What is Your Credit Score?
September / october 2014
Class Preliminary 8 Net Orders Vehicle-to-vehicle (V2V) Strong in a Historically Weak Month communications technology COLUMBUS, IN – Demand for commercial vehicles remained at healthy levels in July as 45,400 total NA Classes 5-8 orders were booked. In the ten months since the start of stronger orders last October, NA Classes 5-8 net orders have been booked at an average of 45,200 units per month. Annualized, that represents a total Classes 5-8 order volume of 542,400 units. “In July, historically the weakest month for order volumes, NA Class 8 net orders again rose above expectations to a six-month high 29,900 units,” said Kenny Vieth, ACT’s President and Senior Analyst. “That volume marked an improvement of 12% from June and 70% compared to year-ago July,” said Vieth. “In addition to a continuation of the ongoing strong order trend, some of the nonseasonal strength in July might be related to the rapidly dwindling supply of available build slots in 2014.” Concerning medium duty net orders, Vieth said, “July’s preliminary 15,500 NA Classes 5-7 net orders fell almost perfectly between the May and June volumes. The preliminary result is also middle of the road in terms of comparisons: up 3% m/m, but down 4% compared to year ago levels, making a third consecutive below year-ago reading. Part of the recent occurrence of modest negative y/y comparisons can be chalked up to tough comps: the MD market began to strengthen appreciably starting in April of last year.”
The National Highway Traffic Safety Administration says it will study vehicle-to-vehicle (V2V) communications technology. According to trade media reports, the NHTSA issued an advanced notice of proposed rulemaking that could eventually lead to a mandate for certain V2V technologies in light vehicles. It is thought that V2V technology could be part of future systems aimed at improving passenger car and truck safety via telematics and on-board short-range communications between vehicles on the road. NHTSA said V2V communications technologies that help motorists avoid accidents at intersections could save 1,083 lives per year and prevent up to 592,000 crashes. “This technology could move us from helping people survive crashes to helping them avoid crashes altogether,” said U.S. Transportation Secretary Anthony Foxx in a statement. NHTSA plans to work on a proposed rule on V2V communications for release sometime in 2016, the agency said. Developers are already experimenting and testing V2V technology in the trucking world. California based Peloton Technologies, for example, is developing a system that uses radar-based collision mitigation equipment and V2V communication technology to enable the close-in platooning of two tractor-trailers.
Safety Advisory: Students and Motorists Reminded to Be Safety Conscious In and Around School Zones and Bus Stops WASHINGTON – As a brand new school year begins, the U.S. Department of Transportation’s National Highway Traffic Safety Administration (NHTSA) reminds parents, students and motorists to be alert and to put safety first in school zones and near school bus stops. According to NHTSA data, over the past 10 years, 44 school-aged children and teens between the ages of 5-19 were killed in school zones traveling to or from school.* Out of that number 77 percent (34) were pedestrians either struck by a school bus or another vehicle. NHTSA’s August edition of Safety in Numbers provides the following safety tips: Teach children how to stay safe around a school bus: • Stand at least six feet (three giant steps) from the approaching school bus while waiting at the bus stop. • Wait to board the bus until the driver says it is safe. • When getting off of the bus, cross the street in front of the bus and make sure the bus driver sees you. • Always watch for oncoming traffic when approaching or leaving the bus. How motorists can keep kids safe around the school bus: • When driving in neighborhoods with bus stops, schools and school zones, watch out for children walking or bicycling to school. • Slow down. Look for children walking in the street, especially if there are no sidewalks in the neighborhood. • Remember, children do not easily estimate vehicle speeds and often misjudge when it is safe to cross the street when a vehicle is approaching. • Learn and obey the school bus laws in your state. Obey the “flashing signal light system” that school bus drivers use to alert motorists of pending actions: • Yellow flashing lights indicate that the bus is preparing to stop to load or unload children. Motorists should slow down and prepare to stop their vehicles. • Red flashing lights and extended stop arms indicate that the bus has stopped, and children are getting on or off. Motorists must stop their cars and wait until the red lights stop flashing, the extended stop sign is withdrawn, and the bus begins moving before they can start driving again.
sePteMBer / OCtOBer 2014
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VNX Heavy Haul sePteMBer / OCtOBer 2014
Volvo Trucks. Driving Progress 23
Understanding Torsional Vibrations
Owner - COASTLINE TRANSMISSION
A Powertrain Specialist with more than 35 years of experience
Understanding Torsional Vibrations… The basic function of the clutch on modern heavy-duty diesel engines is to stop torsional vibrations from reaching the transmission and other drivetrain components. In fact 90% of the clutches work cycle is dampening vibrations from the engine to the driveline. This is accomplished with spring dampers in the clutch disc. These coil springs compress with the application of torque and transmit force to the spring covers which are attached to the disc hub, thus transferring vibration free torque to the transmission input shaft. There are three basic categories of torsional rates for clutch dampers: rigid, standard and soft damper. Rigid Dampers have no springs and act as a direct link from the engine to the transmission providing no protection against torsional vibration. Rigid clutch discs are never used in new OEM applications. Standard Dampers include all 10-spring and most 8-spring types. The springs used in these dampers are approximately 1.5” long and do not offer a large amount of protection. While these dampers were completely adequate for most heavy-duty applications several years ago, they are generally incapable of reducing the engine flywheel vibrations developed with modern slow speed electronically fueled engines. The use of standard dampers in heavy duty applications has virtually ceased in modern OEM applications. The trend is to use more capable soft-rate dampers. Soft-Rate Dampers such as those found on Eaton’s new 7-spring Advantage Series® heavy-duty clutches, offer much 24
better protection against engine flywheel induced torsional vibrations. Their springs are generally longer than springs used in standard rate dampers and offer more deflection before coil lock occurs. This larger spring deflection is equated to lower torsional spring rate. With lower torsional rate, the resonant frequency of the complete drivetrain is lowered. Advantage Series® clutches offer the performance, reliability and protection you need to stay productive and profitable. These new industry leading clutches offer advanced features like a new bearing housing design, longer lube intervals, a protected internal adjustment mechanism with a full-round contamination baffle and square adjusting ring threads that reduce the risk of sticking and seizure. Advantage clutches also come with a 2 year warranty backed by the Roadranger® support network. Conclusion - Older style 10-spring clutches are not capable of dampening the damaging torsional vibrations on modern electronic engines. When peak engine torque exceeds the damper capacity, the driveline will be abused. This abuse will cause faster wear and potentially damage your transmission, driveline and differentials. Since damper capacity is a product of the springs, changing the number and type of springs changes the stiffness of the entire system. Maximum drivetrain component life can be achieved by using a clutch that was designed and engineered for your engine. When you need to replace your clutch, phone Coastline Transmission and Differentials at 604-533-4651 and ask us for a quote to install a new Advantage Series genuine Eaton 7-spring clutch. September / october 2014
September / october 2014
TransForce Owned Carrier Raises Driver Pay EAGAN, MN —Canadian trucking giant TransForce has one of their US Companies, Transport America, increasing driver pay for all current and potential drivers. Class of operator Owner Operators Team Drivers Hazmat pay Newly hired drivers Four years experienced drivers
Pay increase +2 cents per mile +1 cent per mile +4 cents per mile up to 40 cents per mile 43 cents per mile
Could this trend be coming to Canada anytime soon? Or will the bean counters at TransForce figure out that being paid by the mile is inherently unfair? TransForce is big enough to effect a major upheaval in the way drivers and owner operators are paid, and make it a fairer playing field, however, will they do so? Two or three cents a mile isn’t going to have TransForce recruiters living the easy life, in fact, it won’t change much at all. Discovering a methodology to pay drivers paying them for all they do, not just the “wheels turning” portion, will.
Changes to Temp Foreign Worker Program Devastates Atlantic Carriers DIEPPE, NB — Truck Carriers in Atlantic Canada are devastated by how quickly the negative effects of the changes made to the Temporary Foreign Worker Program (TFWP) last month has been. “We are in disbelief,” says JeanMarc Picard of the Atlantic Provinces Trucking Association (APTA). “The changes implemented to the Temporary Foreign Workers program by Minister Kenney a month ago are already having an impact on carriers in Atlantic Canada. Applications are being denied or delayed with poor responses from the Department of Immigration on any questions about the program”. “A long-haul truck driver in Atlantic Canada is a high wage occupation because they are paid more than the provincial average
for truck drivers,” Picard says. “Carriers are now faced with a dilemma; they need to fill empty truck seats and there are no drivers to recruit! Parking trucks is now a reality for some carriers, which mean loss of jobs, less tax money coming in and freight contracts being trucked by out of province carriers.” “Now truck carriers are all competing for the same drivers and there aren’t that many of them available,” Picard says. “The Government needs to realize how important the trucking industry is to our economy. Without it, goods don’t move and without drivers, trucks don’t move.” Minister Kenney has called for a phase out “low skill stream” jobs. Obviously, Minister Kenney has no idea of the skill involved in truck driving, or the responsibility placed upon the driver.
14% of Trucks Sold by 2035 Will Run On Alternative Fuel CHICAGO, IL—The number of trucks in use around the world will double between 2014 and 2035, according to Navigant Research, a provider of global clean technology analysis. Not only will there be more trucks on the road, but the worldwide sales of alternative fuel vehicles will climb to 14 percent of trucks by 2035, Navigant predicted in its newest report. “Low fuel costs and advances in infrastructure for both liquefied natural gas and fast-fill compressed natural gas make the fuel competitive in all market segments, including heavy duty long-haul trucking,” said Scott Shepard, Navigant research analyst. “Attractive business cases for medium and heavy duty alternative fuel vehicles are emerging across varying segments of the market.” 26
Medium and heavy-duty vehicles currently represent less than five percent of the total vehicle market, but that’s changing as less expensive alternatives to petroleum-based fuels, such as natural gas, liquefied petroleum gas and electricity make inroads in the market. “Natural gas has a significant advantage over most alternative fuels,” Shepard said. Still, diesel will remain the primary fuel choice for trucks, the report claims, but the percentage of trucks powered by diesel is expected to fall from more than 79 percent in 2014 to 76 percent in 2035. September / october 2014
CASE accreditation For Mack and Volvo Training Programs GREENSBORO, N.C. – The National Institute for Automotive Service Excellence has bestowed Continuing Automotive Service Education (CASE) accreditation upon Mack Trucks Academy and the Volvo Trucks Academy as announced today. The accreditation program stringently reviews the training programs of providers against the industry standard to ensure best practices are being met. Both Mack and Volvo were proud to receive the accreditation. “Receiving CASE accreditation spotlights the high-quality training programs offered through Mack Trucks Academy,” said Stephen Roy, president of Mack Trucks North American Sales and Marketing. “Meeting CASE standards shows Mack’s commitment to developing exceptional training programs to help increase the service and support for our customers while continuing to support our dealers.” The Mack Trucks Academy provides training for 14 different dealership job roles, like parts and service and technician, as well as training for drivers across the US and Canada. Volvo Trucks Academy also provides dealership sales, parts, service, technician and driver training programs both online or at six of their locations in Canada and the US. “CASE accreditation drives continuous improvement of our instructional program and differentiates us within the heavy-duty truck industry,” said Göran Nyberg, president, Volvo Trucks North American Sales & Marketing. “Exceptional training is vitally important for the success of our dealer network and drives a greater value of ownership for our customers. Accreditation also validates the quality of training we provide to customers who operate their own service networks.”
Lubrication Basics Seminars from FLO Components MISSISSAUGA, Ont. – FLO Components has announced its upcoming 2014-2015 Lube Basics seminars schedule. The seminar will cover the basic principles of friction -- wear and tear, grease properSeptember / october 2014
ties and lubrication. The seminars to be held in cities across Ontario are designed to help people avoid common lubrication failures by making them lubrication specialists. “Each 1-day seminar will have a balance of theory and practical – 50% of the time will be your traditional in-class training, 50% will be more ‘hands on’ training,” said Gabriel Lopez, FLO’s marketing specialist. “These seminars are designed and presented as an unbiased, 3rd party, vendor neutral lubrication training program – we don’t bring people there to sell them on our products, we teach them what they need to know about dealing with everyday lubrication issues, so when they apply what they learn, their payoff is immediate and permanent.”
The dates and locations of the seminars are as follows: September 24, 2014 Holiday Inn Sudbury (D1696 Regent St) SUDBURY November 20, 2014 TownePlace Suites by Marriott (550 Harbour Expressway) THUNDER BAY December 4, 2014 FLO Components office (50 Admiral Blvd) MISSISSAUGA February 11, 2015 Location To Be Determined KITCHENER.
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for “entire freight economy” out to 2025
American Trucking Assns. Overall U.S. freight tonnage will rise nearly 25% and revenues from that freight will surge above 70% over the next decade, per the latest long-term freight forecast released by the American Trucking Assns. (ATA). The ATA U.S. Freight Transportation Forecast to 2025 predicts further growth not just for trucking industry, but for the entire freight economy, according to ATA chief economist Bob Costello. “We continue to see growth for the entire freight economy– but we also see that trucking will maintain its position as the nation’s dominant mode of freight transportation,” Costello commented. Forecast was produced by ATA in collaboration with IHS Global Insight. Findings of the long-range freight outlook include: • Overall freight tonnage will grow 23.5% from 2013 to 2025 and freight revenues increase by 72% • Growth in overall freight volume is pegged at 2.8% per year from 2014 to 2019, then it tapers off to 1.0% during the next six years, through 2025 • Trucking’s share of freight tonnage will increase from 69.1% in 2013 to 71.4% in 2025 • Rail intermodal tonnage will grow 5.5% annually through 2019 and 5.1% a year through 2025— yet rail market share will shrink from 14.5% of all tonnage in 2013 to 13.8% in 2025 Forecast also breaks down freight movements regionally, by both percentage of inbound and outbound tonnage. “Truck freight generated nearly $682 billion in revenue last year, which is a new record,” stated Costello in introductory remarks to Forecast. “According to IHS Global Insight,” he continued, “total truck tonnage, including for-hire and private carrier operations, hit 9.68 billion tons in 2013, the highest level since 2008. As of last year, total tonnage was up 13.6% from the low in 2009.” 28
Costello remarked that “despite the slow [economic] recovery so far, the long-run [freight] outlook still remains bright for nearly all modes.” He added that key contributors to the projected “robust growth” will involve “many factors,” including trends in manufacturing, consumer spending and international trade. Trucking trends the report highlights: • Trucking will increase its share of the freight pool because trucks dominate the transportation of general commodities— and those will continue to grow at a faster rate than bulk commodities. Trucking will also gain from rising U.S. crude oil and natural gas production • As demand/production of key truck-oriented commodities improves, trucking’s market share of tonnage should expand to 70.9% in 2019 and to 71.4% by 2025 • Trucking’s share of total revenue is estimated to reach 81.5% in 2025, vs 81.2% in 2013 • Truckload volume will expand 3.5% per year from 2014 to 2019 and then by 1.2% per year from 2020 to 2025. This projection reflects the anticipated performance of key commodities and freight-market segments • Truckload carriers are seen as increasing their use of railroads to handle intermediate and long-distance trailer hauls through the forecast period • Less-than-truckload (LTL) volume is forecast to rise from 145.0-million tons in 2013 to 177.7-million tons in 2019 and then to 204.6-million tons in 2025— which would translate into an average annual growth of 3.8% from 2014 to 2019 and of 2.5% during 2020 to 2025 • Private-carrier volume is expected to expand by 3.0% per year in 2014 to 2019 and then by 1.0% per year in 2020 to 2025 • The private-carrier share of total transportation volume is forecast September / october 2014
Desi News to “hold steady at 34.9% throughout the forecast period-- compared with 34.4% in 2013 the 75-pg report sums up the basis for its rosy forecast by pointing to numerous positive factors that are expected to play out over the next eleven years. For starters, Forecast expects U.S GDP to improve in the years ahead, with growth of 2.9% realized in 2014 to 2019 and of 2.4% in 2020 to 2025. “The domestic economy remains the driving force behind the performance of the nation’s freight pool, with foreign trade playing a secondary, but significant and growing role,” the report’s authors assert. What’s more, they contend that “if we are right about the future path of the U.S. and global economy, the nation’s freight pool could grow by 23.5% over the 12 years from 2014 through 2025.” More specifically, per the report, a “cyclical snapback” in housing and construction from 2014 to 2016 will help support freight tonnage growth of 16.6% from 2014 to 2019. In addition, it noted that general commodities will continue to expand at a “faster pace” than bulk commodities.
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As for the negative side of things, the authors of Forecast point out that, “Healthy long-term growth in the United States cannot be maintained without healthy spending on the transportation infrastructure, state-of-the art equipment, and technology.” They conclude by stating that their forecast “remains vulnerable to ‘shocks to the system,’ such as a territorial dispute with China involving its neighbors or the United States; a worsening of the already dicey situation in the Middle East; an oil supply crisis that would send crude-oil prices spiraling higher, or [the occurrence of] major natural disasters.”
The Speed Limiter debate goes into high gear.
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WASHINGTON -- Initiated in March 2011, the federal notice of proposed rulemaking by NHTSA responds to a petition by the American Trucking Associations and Roadsafe America to cap the top speed of newly manufactured trucks at 68 mph. FMCSA joined the process in May 2013 by adding a retrofit provision for existing trucks. The NHTSA and FMCSA notices are technically separate, but their dates are synched up to advance simultaneously. Both agencies submitted their proposals to the Office of the Secretary of Transportation on Aug. 8, and both target a publication date of Dec. 12, 2014. Once an NPRM is published, the federal agencies are required to open a public comment period – in this case for 90 days. Join our group:
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Managing Your Financial Affairs
Managing Your Financial Affairs in Difficult Economic Times. The trucking industry is unique in a lot of ways, but the economic impact on everyone is very similar. According to Stats Canada’s 3rd quarter report, Canada’s household debt has reached a record high, in part to stagnant income and individuals taking on more debt. The head of the Bank of Canada, Mark Carney, finds this to be worrisome and he has issued a warning. The question is how to deal with uncertain economic times, especially when the USA situation and European crises is at a level never seen before. There are simple solutions to keep in mind. Start with your personal budget, there’s your monthly income and your monthly expenses. There are easy-to-use budget sheets available on a number of websites. If you need one just e-mail me with your e-mail address and I will send you one. Due to the low interest rates and holiday season, people attempt to use credit cards. It’s OK to use credit cards if you know you will be able to pay the full amount when you receive your bill. Otherwise, you will be facing hefty interest rate charges and it takes longer to pay off. So try to use cash, debit card instead of cards. It’s the best time to look at your mortgage rates and if your renewal time is within 6 months, try to re-negotiate with your financial institution for lower rates. Pay yourself first, at least try to save 10% of your earned income for rainy days and to create a nest egg. Take full advantage of tax efficient investing such as Registered Retired Savings Plan (RSP), Spousal RSP, and TFSA accounts. Make sure you are protecting the most valuable assets – that’s your ability to earn income and that’s you. Make sure that you have protection in case of disability, critical illness, and/or death. If you happen to have a group benefit plan from your employer, try to understand what you’re covered for. Many drivers travel outside of Canada. It’s vital that you have travel insurance in case of an emergency such as an accident and/or sickness. If you are unsure of any of the plans and coverage’s make sure to consult with a qualified financial advisor. Drivers sit for long durations while driving. Ensure your truck seats and your postures are correct and adjusted to your comfort. This will enable you to drive your routes without any back discomforts. Whenever you have a coffee or lunch breaks during your driving hours be sure to do some simple stretches and short walks. Taking care of simple things provide you with piece of mind and quality of life. Positive thoughts and a good attitude go a long way.
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Basic Skills Driver Training Debate Opens – Again. Federal Motor Carrier Safety Administration has taken its first step forward in years on the issue of entry-level driver training. The administration announced Tuesday, Aug. 19, that it will seek input from stakeholders on what a possible training rule should look like, but will gather that input a little differently than it typically does. FMCSA published a notice in the Federal Register to announce that the administration is exploring the feasibility of using a “negotiated rulemaking,” which involves hiring a “convener,” which is a type of
moderator, who will meet with stakeholder groups and report their talking points back to the administration. FMCSA would then use the convener’s report to develop a final rule. This process differs from the standard “notice of proposed rulemaking” and request for public comments that typically precedes a final rule. The history of driver training for truckers – and the lack of a specific behind-the-wheel standard for new drivers – goes back decades. FMCSA came close with a 2007 proposed rule to set classroom and behind-thewheel standards for entry-level truckers, but the proposal never made the transition to final rule. Congress approved a highway bill in 2012 that included a provision to require the administration to issue a final rule on driver training. FMCSA officially scrapped its 2007 proposal in 2013 and started over in the process.
Brake Safety Week scheduled for Sept. 7-13 It’s that time of year again. The Commercial Vehicle Safety Alliance’s Brake Safety Week will run Sept. 7-13. sePteMBer / OCtOBer 2014
During the week of Sept. 7, CMV inspectors will be checking brake systems on trucks and buses across the country. From the CVSA press release, inspectors will be looking for loose or missing parts, air or hydraulic fluid leaks, worn linings, pads, drums or rotors, and other faulty brakesystem components. In addition, inspectors will check the antilock braking system indicator lights. As needed, measurements of the pushrod stroke will be taken. Any trucks found to have defective or out-of-adjustment brakes will be placed out of service.
Ten undisclosed jurisdictions will also be testing overall braking efficiency using performance-based brake testing equipment. All brake checks during the campaign will be Level IV inspections. In some cases, Level I inspections may be conducted. Back in May of this year, the spring brake check took 9.5 percent out of service for brakes out of adjustment; 8.5 percent out of service for brake component violations; and 15.2 percent out of service for any type of brake violation, according to the CVSA website.
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G &G Trucking Solutions • Incorporation Registration • IFTA Registration • IRP Registration & Revenue C.V.O.R. Registration • U.S. D.O.T. & MC Registration • C-TPAT • Drug Testing
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•Fuel Tax Report & File Mileage Report for (KY, NY, NM, OR) •Monitor & Update Driver Qualification File • Log Book Auditing •Setting Up Equipment/Maintenance Files •Mini Audit prior to your Ontario/USDOT Audit
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•Dangerous Goods Certificate •Hours of Services Courses •Pre Trip & Safety Classes •Professional Driver Training Program www.gandgtrucking.ca E: Truckingsolutions@gmail.com
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What is E Manifest
What is E Manifest / ACI ? Regardless of how often carriers cross the Canadian or US border with commercial goods, they require an electronic entry to the CBSA and CBP with a bar code, which is called E-Manifest. What is E-Manifest? The Canadian Border Services Agency (CBSA) and US Customs and Border Protection (CBP) are committed to delivering a reliable and efficient commercial border process to provide tangible benefits to the trade community. E-Manifest is a virtually paperless process that starts before shipments reach the border. The collection and risk assessment of advance commercial information, sent electronically to the CBSA and CBP, allow low-risk shipments to be identified prior to arrival and be processed in a more efficient manner upon arrival at the border.
What will happen if a carrier does not submit an E-Manifest? If a carrier is non-compliant to the mandatory E-manifest services, CBSA and CBP will issue monetary penalties. Drivers may also be turned back from the border. When does the carrier have to submit the shipment information with CBSA and CBP? Carriers have to submit the shipment information with CBSA or CBP before the arrive at the border. It should be done at least one hour before the driver reaches the border. What are the requirements for border crossing? Coming into Canada: In order to set up an E-Manifest portal user account with CBSA, carriers require a Carrier Code. A carrier also has to get printed bar-coded labels called PARS. These
bar-coded labels include the carrier code with a unique shipment number to create a cargo control number. An administrative penalty of $1,000 will be imposed on carriers if bar-coded labels are not presented with their shipments upon arrival at the Canadian border. Coming into the United States: In order to register with the CBP, carriers are required to have a Standard Carrier Alpha Code (SCAC). This is a unique two-tofour-letter code used to identify transportation companies. A carrier also has to get printed bar-coded labels with the SCAC code and unique shipment numbers to create a shipment control number. These are also called PAPS Labels. Where can I get more information and applications for an E-manifest portal log in? Call us at our toll free number 1-800965-9839.
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kof nMbr huMdy hn ijs ‘qy iSpmYNt nMbr huMdw hY ijs nwl kwrgo kMtrol nMbr bxwieAw jWdw hY[knyfw dI srh`d ‘qy phuMcx smyN jy iSpmYNt bwr kof lybl qoN ibnw hY qW kYrIAr nUM 1000 fwlr dw jurmwnw huMdw hY[ AmrIkw nUM jwx vyly sI bI pI nwl rijstr hox leI kYrIAr nUM loV hY stYNfrf kYrIAr AlPw kof (AyY sI ey sI) dI tRwsportySn kMpnIAW dw pqw lwaux leI ieh do qoN cwr A`KrW dw vriqAw jwx vwlw v`Krw kof hY[ kYrIAr nUM AYs sI ey sI nwL ipRMtf bwr kof lybl dI loV hY [ ienHW Cpy hoey bwr kof lyblW ‘c kYrIAr kof nMbr huMdy hn ijs ‘qy iSpmYNt nMbr huMdw hY ijs nwl kwrgo kMtrol nMbr bxwieAw jWdw hY[ienHW nUM pYps ( pI ey pI AYs) lybl vI kihMdy hn[ eI mYnIPYst jW portl lOg sbMDI vDyry jwxkwrI lYxI hovy qW ik`QNo imlygI? swnUM 1-800-965-9839 tol PRI nMbr ‘qy Pon kro
eI mYnI PYst/ ey sI AweI knyfIAn jW AmrIkw dw bwrfr krn vwly kYrIAr ijhVy kmRSl vsqW dI FoAw FuAweI krdy hn, nUM sI bI AYs ey Aqy sI bI pI leI ielYktROink AYNtrI dI loV hY ijhVI bwr kof vwlI hovy Aqy ijs nUM eI mYnIPYst kihMdy hn [ ies dw igxqI nwL koeI sbMD nhIN ik ikMnI vwr bwrfr kIqw hY[ kI hY eI mYnIPYst? knyfIAn bwrfr srivs eyjMsI (sI bI AYs ey) Aqy XU AYs kstmz AYNf bwrfr eyjMsI (sI bI pI) ies g`l leI vcnb`D hn ik bwrfr pwr krn sbMDI vDIAw BrosyXog Aqy vpwrk Aml ApxwieAw jwvy ijs nwL vpwrk kimaUntI nUM Tos lwB pRwpq hovy[ eI mYnIPYst Asl ‘c kwgz rihq pRxwlI hY ijhVI ik iSpmYNt dy bwrfr ‘qy phuMcx qoN pihlW hI SurU ho jWdI hY[ibjleI XMqrW rwhIN sMBwvI Kqrw Aqy kmRSl jwxkwrI pihlW hI sI bI AYs ey Aqy sI bI pI AiDkwrIAW kol phuMc jWdy hn ijs nwL G`t Kqry vwlIAw vsqW dI pCwx krky bwrfr nUM CyqI pwr krn 32
September / october 2014
NSC Compliance Services ¡
New company complete permit set ups
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amrIkn trwikMg kMpnIaF nUM GbrfAux dI loV nhIN We help you in:
Ÿ Paperwork for getting loads to Canada and back to USA Ÿ FMCSA/US DOT Audits Ÿ CSA Monitoring Ÿ All Permits and authorities
National Safety Code Compliance Service Call: 1-800-965-9839 ext. 2
Surrey, BC: #4 - 8333 130th Street n�Ph: 604-507-7736 n Fax: 604-507-7742 Abbotsford, BC: 2633 Montrose Ave. n Ph: 604-755-4230 n Fax:604-755-7816 Bellingham, WA: 1313 E Maple St., Suite #219 n Ph: 360-543-5608 sePteMBer / OCtOBer 2014
Daimler Future Truck 2025
Daimler demonstrates its driverless
itruck n the ‘70s classic movie, “Duel,” a seemingly driverless tanker terrorizes an innocent salesperson driving to his next call along a remote stretch of highway. Could a driverless big rig – minus the stalkerish behavior – be part of our future?
Daimler Trucks thinks so. In fact, it’s betting big on it and showed its ante with the introduction of its Future Truck 2025 in Germany. Using the truckmaker’s Highway Pilot system, the prototype semitruck is capable of driving itself while hauling a full load at speeds exceeding 50 mph, according to the company. “The truck of the future is a Mercedes-Benz that drives itself.” Dr. Wolfgang Bernhard, the member of Daimler’s Board of Management responsible for Daimler Trucks and Buses, at the debut of the truck earlier today. Much of the focus on driverless vehicles spotlighted smaller, passenger cars. However, there is nothing to suggest similar technologies couldn’t be applied to commercial trucks. “Autonomous driving will revolutionize road freight transport and create major benefits for everyone involved. With the Future Truck 2025, Daimler Trucks is once again highlighting its pioneering role in innovative technologies and opening up a new era in truck transport. We aim to be the number one manufacturer in this market of the future, which we believe will offer solid revenue and earnings potential.” Dr. Wolfgang Bernhard suggested that autonomous trucks will change the role of drivers in the future and eliminate the shortage of drivers in Europe. There are plenty of potential benefits to be gleaned from a driverless semi-truck. Truck makers and suppliers have been developing new safety systems aimed at helping drivers be safer and offset issues, such as drowsy driving, that impact road safety. For example, the Lytx DriveCam system could reduce the number of fatal bus and truck crashes by at least 20%, saving more than 800 lives a year, by allowing companies to retrain drivers to avoid risky behaviors while behind the wheel. In fact, Bernhard noted that an autonomous vehicle could allow truckers to take on new roles while still in the cab of a truck. “It will not only free them from having to perform monotonous 34
tasks; it will also give them more time for tasks that were previously handled by office workers at shipping companies,” he said. “In other words, it will be possible for truckers to advance to new positions as transport managers, making truck driving a more attractive profession. Autonomous driving could thus help to resolve the shortage of truck drivers.” Google and several other U.S. manufacturers are in various levels of testing autonomous vehicles. Some expect these vehicles to be on U.S. roads within the next five to seven years and state and local governments are in the process of establishing the “rules of the road” for these vehicles. However, the Future Truck represents a new movement in the segment. Right now, Mercedes seems to be focusing its energy on developing the truck for use in European Union countries. In fact, the truck has already taken an initial trip on a highway near Magdeburg, Germany. The purpose of the introduction today was “establish an ongoing dialogue with all stakeholders about the conditions for transport in the future, in which self-driving trucks will play a major role,” the company said. Bernhard suggested that legislative issues regarding the use of autonomous trucks need to be at the forefront of trade and commerce discussions because the technology is developing so quickly. Also “developing” is the growth of truck traffic in the EU. A recent study conducted by ProgTrans AG predicts that freight transport volumes in the EU will increase by approximately 20% by 2025 with trucks accounting for about 75% of all freight transported by road in the EU. The volume of road transport in Germany alone will increase from 3.7 billion tons today to nearly 5.5 billion tons by 2050, according to the country’s Ministry of Transport and Digital Infrastructure.
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sePteMBer / OCtOBer 2014
fymlr iPaUcr tr`k 2025
fymlr iPaUcr tr`k 2025 fymlr v`lNo ibnw fRweIvr tr`k dI pRdrSnI g`l 70 ivAW dI hY jdoN ie`k mUvI AweI sI ifaUl Aqy ies ‘c ie`k tYNkr tr`k ibnw iksy frweIvr qoN c`l irhw sI [ hor qW hor ijs qrHW ieh bhuq vDIAw c`l irhw sI ie`k sylzprsn bhuq hYrwn sI ik ieh iks qrHW ho skdw hY[ auh socdw sI ik kI ies qrHW nyV Biv`K ‘c hoxw sMBv ho skygw jdoN ik ibnw iksy Kqry qoN ies qrHW koeI v`fy tr`k c`l skxgy[ pr fymlr tr`k kMpnI dI soc hY ik ies qrHW ho skdw hY[ soc hI nhIN ies qrHW dw kMm ies kMpnI v`loN ipCly idnIN jrmnI ‘c kr ivKwieAw Aqy Awpxy iPaUcr tr`k 2025 dI pCwx krweI[ kMpnI Anuswr aunHW dw ieh prototweIp sYmI tr`k ‘c ieMnI smr`Qw hY ik ieh pUrw Bwr l`d ky ibnw frweIvr qoN hweIvyA ‘qy vDIAw FMg nwL 50 mIl pRqI GMtw dI spIf qoN vI v`D ‘qy jw skdw hY[ ies mOky ‘qy fymlr borf dy pRbMDkI mYNbr fw: volPgYNg brnwrf jo ik fymlr tr`k Aqy b`sW dI dyK ryK krdw hY ny ikhw ik ieh mrsIfz bYNz dw ieh tr`k Awpxy Awp c`ldw hY[ ibnw frweIvr qoN c`lx vwLy ijnHW vhIklW v`l vDyry iDAwn id`qw jw irhw hY aunHW ‘c CotIAW pYsMjr kwrW Swml hn[pr ies g`l qoN byiDAwnw nhIN hoieAw jw skdw ik ies qrHW dI qknIk kmRSl tr`kW ‘c nhIN ApxweI jw skdI[ volPgYNg dw kihxw hY ik ibnw frweIvrW qoN c`lx vwly vwhnW nwl Bwr Fox dI ieMfstrI ‘c kRWqI AwvygI Aqy ies qrHW ies nwL ie`k nUM nhIN sgoN hr ie`k nUM Pwiedw hovygw[aunHW ikhw ik iPaUcr tr`k 2025 ilAwaux nwL fymlr tr`k ie`k vwr Pyr nvyN tr`k Xu`g ‘c tr`k tRWsportySn ‘c nvIN qknIk ilAwaux ‘c mu`K BUimkw inBweI hY[ aunHW ny A`gy ikhw ik swfw inSwnw hY ik AsIN ies ieMfstrI ‘c mohrI rol inBwauNdy rhIey Aqy ies ‘c kMm krn vwilAW leI vDyry lwB dw sb`b bxIey[ aunHW A`gy ikhw ik ibnw frweIvr qoN c`lx vwLy tr`kW nwL Biv`K ‘c fRweIvrW dI BUimkw hI bdl jwvygI Aqy XUrp ‘c tr`k fRweIvrW dI Gwt dw tMtw mu`k jwvygw[ ibnw fRweIvr qoN c`lx vwLy sYmI tr`kW dy bhuq swry Pwiedy hn[ tr`k bxwaux vwLy Aqy ienHW nUM splweI krn vwLy ies qrHW dy syPtI isstm bxw rhy hn jW lwgU kr rhy hn ijnHW nwL frweIvrW nUM Pwiedw vI ho skdw hY Aqy tr`k clwauNdy smyN aUNGx Awid vrgIAW sm`isAwvW jo A`j k`lH sur`iKAw nUM Kqrw hn, qoN vI bicAw jw skdw hY[ sePteMBer / OCtOBer 2014
imswl vjoN iltks fRweIvkYm isstm nwL b`sW Aqy tr`kW dy iBAwnk hwdisAW dI igxqI 20% q`k Gt skdI hY[ies qrHW swlwnw 800 dy krIb lokW dI jwn bcweI jw skdI hY [ brnwrf dw kihxw hY ik Awpxy Awp c`lx vwly vhIklW ‘c jdoN tr`kr kYb ‘c hoxgy auh hor kMm kr skxgy[ aus dw kihxw hY ik frweIvrW nUM hor kMm krn dw smW iml jwvygw ijhVw kMm iSipg kMpnIAW jW hor dPqrI kMm krn vwilAW nM krnw pYNdw hY[ ies qrHW dy hwlwq ‘c tr`krW nUM hor vDIAw kMm krn dy mOky imlx nwL auh A`gy qr`kI krdy hoey tRWsport mYnyjr q`k dy Ahudy ‘qy phuMc skxgy[ies qrHW ies ik`qy ‘c vDyry lok vI Awauxgy Aqy tr`k fRweIivMg ‘c fRweIvrW dI Gwt vI nhIN rhygI[ AmrIkw dy bhuq swry vhIkl bxwaux vwLy Aqy gUgl vwLy ibnw frweIvr dy vhIklW sbMDI pUrI qrHW jWc kr rhy hn[ ku`J lokW dw iKAwl hY ik ies qrHW dy vhIkl AmrIkw dIAW sVkW ‘qy Agly pMj jW s`q swl q`k sVkW ‘qy Aw jwxgy[ies kwrn styt Aqy lokl srkwrW ienHW vhIklW leI sVkI inXm bxwaux leI vI l`gy hoey hn[ ies dOrwn iPaUcr tr`k v`loN ies Kyqr ‘c ie`k nvyN AMdoln dI AgvweI kIqI jw rhI hY[ ies dy nwL hI mrsIfIz kMpnI v`loN XUrpIn XUnIAn dySW ‘c ies qrHW dy tr`k clwaux leI koiSSW kr rhy hn[Asl ‘c ies qrHW dy tr`k clwaux dw qjrbw jrmnI dy mYgfbrg Sihr dy hweIvyA ‘qy kIqw vI jw cu`kw hY[ kMpnI dw kihxw hY ik ies qrHW dI jwx pCwx dw mMqv ibnw fRweIvr dy tr`kW dI ieh jwxkwrI Awx vwLIAW Biv`K dIAW hwlqW sbMDI cwnxw pwauxw sI[ brnwrf v`loN slwh id`qI hY ik ies qrHW dy pRbMD leI pws kIqy jwx vwLy kwnUMn nUM bxwaux qoN pihlW ieMfstrI Aqy srkwr ivcwly pUrI qrHW slwh krn dI loV hY[ XUrpIn XUnIAn dySW ‘c tr`k tRYiPk dw vDxw vI ivcwr dw ivSw hY[progtRWs ey jI v`loN kIqy gey ie`k AiDAn Anuswr ienHW dySW ‘c 2025 q`k mwl Fox dw kMm 20% q`k vD jwvygw Aqy kyvl tr`kW rwhIN hI mwl Fox dw kMm ies smyN dOrwn 75% q`k vD jwvygw[ minstrI AwP tRWsport AYNf ifjItl ienPRwstrkcr Anuswr ij`QoN q`k sVkI tRWsport dw sbMD hY jrmnI ‘c sVkI FoAw FuAweI A`j dy 3.7 iblIAn tn qoN vD ky sMn 2050 q`k 5.5 iblIAn tn ho jwvygI[ 35
Claims Drivers must be
very diligent when they sign for cargo at both the pickup and the delivery points. As a driver, you are expected to not damage, and even protect your cargo. Most carriers have trained their drivers to secure cargo properly, operate special equipment, like reefers and heaters and how to properly sign bills of lading. However, if you haul enough freight enough miles, something is going to get broken. Either you or you and your company may be held responsible. Over the years a large body of legal precedence and statute law has been established around the carriage of goods. Legal presidents are laws that are created when judges decide cases. Statute law is Law created by legislators. When companies want to be very specific they enter into a contract and agree to what law is to be enforced . claims involve a 3 types of law. Here is some interesting background for drivers on how liability for claims is determined. In both Canada and the USA, the claimant is not required to prove the carrier was negligent- that is- actually did something wrong. The fact the goods are damaged is all the evidence needed to make the trucker responsible. The rules are slightly different in Canada and the USA with the main difference that in Canada, a truckers’ liability is a little more limited. If the shipment crosses the - Ken Davey border, it may
take a team of lawyers to determine if domestic Canadian law can apply. Typically USA law applies regardless of the direction of the goods or where the owner of the goods resides. In Canada, most provinces regulate “conditions of carriage” based on a national standard approved in the 70’s. You can come across them, usually printed on the back of a Bill of Lading. They set out how claims are handled when more that one carrier is involved. They also hold the carrier liable for damages to the goods it transported, without proof of negligence, unless it can prove it was not negligent. There are few exceptions. Uniquely in Canada, liability is limited. The value of any lost or damaged goods is limited to the lesser of $2.00 per pound (4.41 per kg) computed on the weight of the shipment or the commercial value at the time and place of shipping. Of course, the shipper can declare a value that exceed the 2.00 per pound limit, and the carrier can make additional charges for assuming this additional risk. Still no carrier is bound to carry articles of extraordinary value, and if the value is not disclosed, the applied valuation is at 2.00 per pound. In Canada used or uncrated cargo can move at the “owner’s risk of damage”. A driver should make sure to make this notation on the bill of lading that used or uncrated goods are moving When goods are moving at owners risk, the risk only covers risks incidental to the transport, like for example if a knob or handle broke off of
a small machine. The carrier is still liable for any losses caused by negligence, for example a roll over or fire that destroys the small machine. In the USA Cargo claims are administered as per the Carmack Amendment to the interstate commerce act. It is found in Title 49 of the United States Code. The Carmack Amendment holds the carrier liable for damages to the goods it transported, without proof of negligence, unless it can prove it was not negligent and/or that one of the basic exceptions applies. Unlike Canada, there is no statutory limit to the value of cargo under the Carmack amendment so any limit on the trucker’s liability would have to be specifically stated in a contract. Further, instead of valuing product at time and place of shipping like in Canada, the Carmack amendment does not specifically say how value is determined. From my experience and from what I have read about court cases the value of the goods is usually interpreted to be the difference between the market value of the property in which it should have arrived at the destination, less the market value of the goods in the actual condition in which it arrives. The 5 basic exceptions to trucker’s liability are: 1. An act of God 2. An inherent nature or vice of the goods 3. An act of the shipper 4. An act of the public enemy 5. The authority of law These same basic protections, with September / october 2014
Cargo Claims slightly different wording, are present in the Canadian, Conditions of Carriage. With small differences the rest of what follows applies to both countries. Drivers must be very diligent when they sign for cargo at both the pickup and the delivery because liability for the for cargo is assumed to be the carrier. In order to claim for cargo damages, all a company has to do is show the good were in good condition when given to the carrier and that they were is a bad condition when given to the consignee. Then, they have to document the amount of loss. In the event of non-delivery, the loss is total. Therefore, what you write on a bill of lading at pick-up or delivery is crucial. Let’s say you have a shipment of boxed carbon. Some of the boxes contain diamonds, some of them contain coal. If you make a delivery, and the consignee marks 2 boxes damaged without noting, a model number or a description of exactly which 2 boxes were damaged, your company could pay for damaged diamonds when coal was actually damaged. For the same reasons notations like “Shippers load and count”, “sealed load “ and “said to contain” are very important. Exact piece counts and cargo temperature records are also very important. Your company only has 3 choices when dealing with a cargo claim. They can pay the full value of the cargo claim or deny liability based on one of the five exceptions or pay a limited amount based on, in Canada 2.oo per lb or in the USA a contracted limit. Lastly, it is hard to think of this kind of legislation as protecting truckers, but that is what it does. A contract can overrule any provisions of the Carmack Amendment or the conditions of carriage. Contract language, for example, can be used to incorporate conditions or to waive any rights or responsibilities outlined under Carmack. The waiver must be in writing, and if waived, parties are left to the terms of the contract rather than established law. Consequently, whenever something is added by a shipper to a bill of lading or a separate contract is necessary to govern the relationship between the shipper and carrier, like for example a brokerage agreement, it typically removes a protection of the carrier. For example, by Statue law, a trucker is not required to deliver a shipment in any specific time frame other than Due Dispatch. However as soon as someone puts on a bill of lading, “must deliver by” then the “deliver by time” becomes a term of the contract and the trucker may have to pay a claim because they deliver late. September / october 2014
ie`k frweIvr vjoN quhwfy qoN Aws kIqI jWdI hY ik qusIN kwrgo nUM fYimj nhIN sgo protYkt krogy[ bhuqy kYrIArz ny Awpxy frweIvrj nUM trYf kIqw hoieAw hY ik kwrgo nMU ikvyN sur`iKAq r`Kxw hY, Kws aupkrx ikvyN vrqxy hn ijvyN rIPrz Aqy rItrz Aqy loifMg ib`lw nUM ikvyN pVqwl krky hsqwKr krny hn[iPr vI jdoN kwPI Bwr kwPI dUr lY ky jwvogy qw kuJ nw kuJ qw tu`t hI jWdw hY[ies vwsqy quhwnUM qy quhwfI kMpnI donW nUM ijMmyvwr TihrwieAw jw skdw hY[smyN smyN qy ies sbMDI kwnMUnI FMg qrIky hod iv`c Awaudy rhy hn[klysz bwry iqMn prkwr dy inXm hn[ knyfw Aqy XU.AYs. ey dono dySw iv`c klymYNt nUM kYrIAr dI lw-prvwhI dI swbq krn dI loV nhIN hY[ tr`kr nUM ijmyvwr Tihrwax leI iehI sbUq kwPI hY ik vsqUAw fYmyj hoeIAw hn[XU.AYs.ey nwloN knyfw iv`c ieh ijMmyvwrI kuJ sImq hY[knyfw dIAw bhuqIAw proivMsz 1970 iv`c lwgU kIqIAw hoeIAw “kMfISnz AwP kYryj” nUM AwDwr mMn ky cldIAW hn[ieh Awm qOr qy lYifMg ib`l dI bYNk qy CpIAw huMdIAw hn[ieh ieh vI dsdIAw hn ik ie`k qoN v`D kYrIArz dI sUrq iv`c klymz ikvyN hYfl krny hn[ iksy lOst jW fYmyjf vsqU qy knyfw iv`c vYlXU do fwlr jW G`t pRqI pOf Bwr Anuswr imQI jWdI hY[ ieh iSpmYt smyN dy Bwr Anuswr igxI jwdI hY[ jykr iS`pr ispmYt dI vYlXU do fwlr pRqI pONf Bwr qoN v`D fyklyAr krdw hY qW kYrIArz vwDU joKm leI vwDU cwrj lY skdy hn[ vriqAw hoieAw jW Ankrytf kwrgo knyfw iv`c mwlk dy irsk qy FoihAw jw skdw hY[ pr frweIvr nUM ies bwry hmySw lYifMg ib`l qy not krvwauxw cwhIdw hY[ XU.AYs.ey iv`c kwrgo klymz “Carmach Amendment” Anuswr inrDwrq kIqy jwdy hn[ kwrmYk AmYNfmYNt krIAr nUM gufz dy fYmj leI doSI mMndI hY[ eyQy krIAr nUM swbq krnw pYNdw hY ik nukswn ayusdI AxgihlI kwrn nhIN hoieAw[ knyfw dy ault kwrmYk AmYfmYNt ADIn kwrgo dI vYlXU dI koeI sImw nhIN hY[ies leI tr`krj dI lwieiblytI bwry kwtrYkt iv`c sw& sw& vrnx hoxw cwhIdw hY[kwrmYk AmYfmYt ieh vI sp`St nhIN krdI ik ieh vYlXU ikvyN inrDwrq hovygI jd ik knyfw iv`c iSpmYNt smy Aqy kort kysW bwry pVHn auprMq ikhw jw skdw hY ieh phuMc sQwn qy vsqU dI vYlXU Aqy iesdI auQy mwrikt vYlXU dy Prk Anuswr imQI jwdI hY[ tr`krz lwieiblytI leI pMj Cotw hn: 1. kudrqI kropI 2. iS`pr dI glqI kwrn 3. vsqU dI iksm kwrn 4. duSmx dI kwrvweI kwrn 5. knUMnI AQwrtI QohVy bhuqy Prk nwl iehI Cotw knyfw iv`c vI krIArz leI hn[ies Coty moty Prk qoN ibnW bwkI inXm donW dySw dy krIArj leI brwbr hI hn[ frweIvrW nUM kwrgo dy ip`k-A`p sQwn Aqy phuMc sQwn qy Awpxy dsqKq sucyq rih ky krny cwhIdy hn ikauNik iksy vI kwrgo dy nukswn dw klymLYt leI kMpnI nUM ieh swbq krnw pvygw ik krIAr nUM dyx smy vsqUAw dI kMfISn TIk sI pr pRwpq krqw nUM dyx l`igAw ieh Krwb hwlq iv`c sn[ ies leI qusI ip`k Ap jw filvrI smyN lYifMg ib`l qy ilKdy ho auh inrnwiek huMdw hY[ kwrgo klym leI quhwfy kol kyvl iqMn qrIky huMdy hn[pUrI kImq py kIqI jw skdI hY, jw auprokq pMj Cotw kwrx klym TukrwieAw jw skdw hY jw knyfw Anuswr do fwlr pRqI pONf Bwr Aqy AmrIkw dy inXmw Anuswr Asl kWtrYkt dI vYlXU py kIqI jw skdI hY[vyvr ilKqI hoxw cwhIdw hY Aqy donoN iDrw kwnUMnI dI ibjwey kWtrYkt dIAw pwbMd huMdIAw hn[
w w w. d e s i t r u c k i n
The Right Choice
Is my Bank really
the Right Choice for ME ?
kI myrI bYNk dI cox shI hY?
A very good client of mine had recently sold his two dump trucks and asked me to help the new buyers secure financing for the units. We managed to get the buyers approved for the lease and had everything ready to go – but then an unfortunate incident occurred. Our office did a full search on the 2 dump trucks and noticed that there was a general security agreement registered on the two units. My client, the seller, was shocked to find this out as he never financed the units with the bank and was confused as to what had happened. Upon further digging, we found out that the seller took a loan for a truck a few years back and the bank put a GSA on all assets under the company. Because of this, the sale got delayed as the bank took a very long time removing the liens and interest in the trucks. This delay almost caused the death of the deal. Luckily, we were able to keep the buyer from going somewhere else and eventually got the bank to release the security and got the seller paid for the sale. What exactly happened here? As I go out and meet clients of all sizes, the same question keeps coming up – should I lease or go to my bank and get a loan. Well, if you read the story about my client and his frustrating experience with the bank, you hopefully figured out that the bank isn’t always the best choice, especially if you want to sell the equipment in the future. Let’s understand the difference of lease vs loan in more detail. Banks prefer to classify a loan as a “Revolving” loan. This gives them the ability to extend or cancel the loan on a yearly basis. This means annual submission of Financial Statements for review and approval, often with sizable review fees payable by you. Additionally, this loan is now a current liability, which can really distort your financial ratios. Leasing is fixed long term financing, with no yearly review fees. In addition, like the situation with my client in the story above, banks take a security interest in all of your company’s assets (presently owned and acquired in the future) by publicly filing a GSA or General Security Agreement. This ties up all of your assets, including inventory and receivables. Leasing files a PPSA or personal property security agreement only on the leased equip-
myry ie`k Kws gwhk v`loN Awpxy do fMp tr`k vycy Aqy mYnUM ikhw ik mYN aus KRId krn vwly leI Dn dw pRbMD krn leI mdd krW[ AsIN KRIdx vwly leI lIz dw pRbMD kr ilAw - pr AYnH ies smyN ie`k Gtnw vwpr geI[ swfy dPqr v`loN do fMp tr`kW sbMDI pUrI CwxbIx kIqI Aqy ies dOrwn ieh g`l swhmxy AweI ik ienHW tr`kW ‘qy ie`k sikaurtI AYgrImYNt sI[ vycx vwlw myrw klwieMt ieh sux ik h`kw b`kw rih igAw [ausdw kihxw sI ik aus ny qW ies qrHW kdy kIqw hI nhIN[ jdoN AsIN ies dI pUrI pu`C pVqwl kIqI qW pqw l`gw ik ku`J swl pihlW ies vycx vwly s`jx ny ie`k tr`k leI bYNk qoN krzw ilAw sI[ bYNk ny kMpnI dI swrI jwiedwd Aqy tr`k ‘qy jI AYs ey Bwv jnrl sikaurtI AYgrImYNt pw id`qI[ ies kwrn ieh iv`krI dw kMm keI smW ruikAw irhw, ikauN ik bYNk v`loN kMpnI dw ieh lIAn lwhux leI keI smW lw id`qw[ ies dyrI kwrn ieh sOdw l`g B`g Kqm hI ho igAw sI[ pr ieh cMgI g`l hoeI ik AsIN KRIdx vwly nUM hor sOdw krn dI QW ies dI aufIk krn leI rwzI kr ilAw[ bYNk ny AwKr sikaurtI htw leI Aqy KRIdx vwly ny vycx vwly nUM pYsy qwr ky sOdw mukMml kr ilAw[ ieh sB iks qrHW vwpirAw? jdoN mYN v`K v`K gwhkW nUM imldw hW iehI svwl au`Tdw rihMdw hYkI mYN lIz krW jW bYNk qoN krzw lvW? pr jy myry klwieMt dI au`pr d`sI khwxI mn ‘c hY qW ies qrHW lgdw hY ik bhuqI vwr bYNk qoN krzw lYxw vI TIk nhIN rihMdw[ Kws krky aus smyN jy qusIN krzw lY ky KRIdI hoeI cIz nUM jldI hI vycxw cwhMudy ho[ AwE lon Aqy lIz dy Prk nUM pUrI qrHW smJIey[ bYNkW vwly lon nUM rIvOlivMg lon kihxw TIk smJdy hn[ ies nwl aunHW nUM ieh h`k iml jWdw hY ik swl ip`CoN auh ies nUM kYNsl jW smyN ‘c vwDw kr skdy hn[ iesdw Bwv ieh hY ik swlwnw PweInYNSnl stytmYNtW dI nzrswnI kIqI jWdI hY Aqy ies dI PIs lon lYx vwly isr pweI jWdI hY[ ies qoN ibnw ieh ie`k dyxdwrI hY ijhVI quhwfy ivqI Anupwq nUM ivgwV skdI hY[ ies dy ault lIizMg ie`k lMby smyN leI c`lx vwlI hY Aqy ies ‘qy koeI swlwnw irivaU PIs nhIN pYNdI[ ies qoN ibnw Awpxy klwieMt dI au`pr d`sI khwxI vWg bYNk quhwfI kMpnI qoN swrI jwiedwd ( jo hux hY jW bwAd ‘c pRwpq kIqI jwvygI ) dw sikaurtI irsk lYx leI jI AYs ey Bwv jnrl sikaurtI AYgrImYNt ilKvwauNdy hn[ ies qrHW auh quhwfy swry AswisAW nUM bMnH lYNdy hn[ ijs ‘c mOjUdw Aqy Biv`K ‘c pRwpq hox vwly September / october 2014
The Right Choice ment. Finally, banks establish a maximum borrowing limit for the company, and generally the principals also. This restricts future borrowing. Leasing offers a multitude of alternative lending options in addition to your company’s bank lending options. It’s a common dilemma: lease or buy, buy or lease, which is better? Everyone who has ever considered leasing has had this question cross their mind. So what is the answer? Leases and loans are simply two different methods of equipment financing. One finances the use of the equipment; the other finances the purchase of the equipment. Each has its own benefits and drawbacks. It’s not possible to simply say that one is always better than the other because, well, it depends on your own particular situation and preferences. You should always do your research and get professional and solid advice from an Equipment Leasing Specialist. If you are looking for more information or have questions that need to be answered, please do not hesitate to contact me anytime – I am always here to help !
HD and MD Orders Continue Strong in July; 2014 Shaping Up to Be Best of Cycle COLUMBUS, IN – For the second month in a row, Class 8 orders surprised on the high side in July, with net orders of 30,103. Classes 5-7 net orders also posted a gain in July, coming in at 15,834 units. These results were published in the latest State of the Industry report, recently released by ACT Research Co. (ACT). The report covers Classes 5 through 8 vehicles for the North American market. Concerning Class 8, Jim Meil, ACT’s Principal, Industry Analysis, said, “While one strong month may be statistical noise or an outlier, the July orders fit into a robust pattern that has held up since the start of the year. With year-to-date orders up 33% from the comparable 2013 span, 2014 is almost certain to be the best year of this cycle.” Meil said that Class 8 backlogs were the highest since January 2012, but “we believe we are not yet at the point where an overheated market triggers duplicate ordering and raises anxieties about backlog integrity.” Meil added that Classes 5-7 year-to-date orders are running about 10.5% higher than the prior year at this time. “While the numbers may not be as stellar as what we see in Class 8, the year is shaping up to be the best thus far of the post 2009 expansion for medium duty.”
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Are you hauling
General Freight ?
kI qusIN jnrl Bwr FoNdy ho? There are thousands of loads in transit every day within Canada and the U.S. While many carriers specialize in the transport of certain commodities such as steal, chemicals, etc, the most frequent load type continues to be general freight. This particular type of commodity has no universal shape or form, and therefore requires expert knowledge in freight handling as well as provincial and interstate regulatory procedures. This week’s article will take an in-depth look into the multi-dimensional rules and regulations governing the transfer of general freight, and the precautions one must take when hauling this form of cargo.
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What is General Freight General Freight is best described as “a wide variety of commodities in standard trailers”. This particular type of freight can be both Truckload and Less-Than-Truck Load. In most cases, carriers who handle general freight will pick up multiple shipments and consolidate the freight to form a truckload. This can often be a tedious process, and carriers must factor in extra weight, and jnrl Bwr dw vrgIkrn FMg: fuel consumption when shipping this type of cargo as it jnrl Bwr dIAW AnykW iksmW hn Aqy hr ie`k dw v`Krw - Dara Nagra requires multiple pick-ups and deliveries. Carriers must pCwx kof huMdw hY[Bwr dI ingrwnI krn vwlIAW eyjMsIAW MBA PMP ® also take into consideration the additional paperwork rozwnw FohweI dIAW hzwrW vsqW ƒ AfYNtIPweI krn Aqy that must be completed to haul multiple shipments, iSpmYNts ƒ monItr krn leI ies XuUnIvrsl kof dI vrqoN even if they are to be consolidated into a single trailer-load. Each krdIAW hn[ sMsQw jo ieh kof inrDwrq krdI hY dw nW “nYSnl individual shipment must have a separate bill of lading, and cusmotr Pryt trYiPk AYsosIeySn” hY[ toms identification number if crossing the border. In essence each partial load must be treated as individual freight, with its own supkMpnIAW Bwr ie`kTw ikauN krdIAW hn: porting documentation. v`D qoN v`D lwB pRwpq krn dw ieh sB qoN vDIAW swDn mMinAw jWdw hY[vD rhIAW gYs kImqW Aqy frweIvrW dI lgwqwr Gwt kMpnIAW ƒ General Freight Classification System mzbUr kr rhI hY ik auh Ajyhy FMg-qrIky vrqx ijs nwl kMpnI dw There are several different forms of general freight, and each Krcw Gty[ies dI prwpqI leI trylr dI kpYstI Anuswr tr`k lof type is accompanied by an individual identification code. This unipUrw krky Byjxw ie`k mh`qvpUrn FMg hY[ies nwl iSpr dw Krcw versal code is used by motor freight regulatory agencies to monivI Gtdw hY ikauNik kMpnI ƒ QoVHy Bwr leI pUrw trylr rIzrv nhIN tor shipments and identify the thousands of different commodities krnw pYNdw[ies nwl kMpnI ƒ vI lwB huMdw hY Aqy ausdI AYPISYNsI that are in transit on a daily basis. The organization responsible qy PlYksyibiltI v`D jWdI hY[ 40
September / october 2014
General Freight for administering the codes used for classifying freight is known as the National Motor Freight Traffic Association. Each form of general freight falls into a specific class, which is uniquely identified by a “NMFC” code. Why do Carriers Consolidate Freight? Freight Consolidation is utilized as a powerful tool in maximizing profitability when shipping freight. With increasing fuel prices, and a continuous shortage of drivers, Carriers must ensure the most efficient procedures are in place to minimize operational costs, and capitalize on freight contracts. For most carriers this goal can only be achieved through the transportation of Full Loads, whereby the trailer is filled to its maximum capacity. Freight consolidation helps attain this goal because various general freight shipments from different shippers are combined into a single trailer. This strategy saves the shipper a significant amount of money, as the company does not have to reserve a full trailer for only a partial load. The carrier also benefits from this practice, as efficiency and flexibility are significantly increased. What is the difference Between General Freight and Specialized Freight? The difference between general freight and specialized freight is essentially quite simple. Specialized freight refers to commodities, which require specialized equipment to transport. General freight is mostly transported in regular trailers, such as vans, high cubes, & straight body trailers. Examples of specialized freight would include, lumber, steel, industrial machinery, pipe lines, and air craft components. These particular goods require much more attention then general cargo, to ensure road safety. Lumber and Steel for example are extremely heavy com-
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Financing rates Great programs for Owner / Operators
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“For Daily Updates”
Please Visit Us at www.DesiTrucking.com sePteMBer / OCtOBer 2014
Home Work Life Balance
- G. Ray Gompf
Home Work Life Balance 42
are several iterations of the trucking business. First, there is the local operation, where the driver doesn’t exceed 100 kilometers from his or her home base. Secondly, there is medium haul, where the driver doesn’t exceed 800 kilometers from home base. In both of these situations, establishing some semblance of home life isn’t all that difficult with proper planning. For the most part, a driver isn’t going to miss important familial occasions – with proper planning and co-operation with dispatchers/employers, necessary home time can, and is often, achieved. Often, a driver can even count on weekends off. It is the third type of operation that makes a good home & work life balance almost impossible; yet, proper planning and co-operation can change the words from almost impossible to almost possible. This third type of trucking is, of course, the long haul. There are several types of long haul: the first is the dedicated route where the driver leaves one city and is bound for a distant city on a regular basis along the same route over and over. Often times, this type of operation involves taking a load from close to home base, reaching a destination, unload, and returning back to home base. These types of dedicated routes often lend themselves to the team type operation where two drivers work together so they can achieve 22 hours of travel in each 24-hour window. The other type of long haul is where the driver follows the load and reloads as close to the original deliver point as possible, bound for another location not necessarily in the direction of home base. These long haul situations are generally over the 800-kilometer mark and sometimes, well beyond. Often, this type of operation involves coast-to-coast travel and it’s a situation where the driver could be away from home for months at a time. In this type of work, there has to be clear planning so that there is quality in the home life of any description. With your employer, establish the important dates for your family well in advance: birthdays, graduations, religious holidays, statutory holidays, anniversaries, personal vacation times and the like should be planned so that they don’t just surprise you or your employer. They are usually known years ahead of time so it should be fairly easy to reach some sort of compromise with your employer to achieve these. It’s the parent teacher interviews that are next to impossible so if these kinds of issues are important to you, then instead of working out the compromise with your employer, then perhaps it would be easier to work out a compromise with the school. Often times, the school will work out specific arrangements because of the lifestyle of trucking. Just because somebody may want you to do something at a specific time, which may not be convenient, doesn’t mean you have to just be accepting. You need to learn how to negotiate properly so you are able to achieve those things that need to be accomplished. For the most part, people understand that you have an important job that doesn’t fit the mold of the majority. So, learn to negotiate effectively. Life is about compromise and negotiation. Learn both of these skills. Employers that dictate every detail of your life and never allow you to negotiate to meet your personal and familial needs are those with whom you do not want to be associated. If your employer doesn’t work with you to achieve your goals and objectives, then find one that will. There is a shortage of good and qualified drivers in this country. Therefore, drivers of quality and qualification need to exercise some backbone and ask for what they want. The government rules and regulations over the past several years have made the quality of a personal life much more difficult to achieve. Many of these rules and regulations have been sold as assisting in making the highways safer. The reality September / october 2014
Home Work Life Balance tr`ikMg ibzns iv`c keI prkwr dy AwprySn hn[ ie`k lokl hY ijs iv`c frweIvr nUM Gr qoN 100 iklo mItr qoN v`D dUr nhI jwxw pYNdw[ dUsrw mIfIAm dUrI vwlw hY ij`Qy frweIvr dy Gr Aqy kMm vwlI QW q``k dw Pwslw 800 iklo mItr qoN vDyry nhIN huMdw/iehnW dohW siQqIAw iv`c TIk ivauq bMdI nwl GrylU suKwvw rih skdw hY[ Aijhy frweIvr ifspYcr jW mwlk dI rjwmMdI nwl mh`qvpUrn pirvwrk mOky ims krn qoN bc jWdy hn[ iehnw leI Gr jW pirvwr pRqI smW k`Fxw Awswn huMdw hY[ ies qoN lMbI dUrI vwly qIsrI iksm dy frweIvr leI Gr Aqy kMm iv`c sMquln clwauxw bhuq AOKw hI nhIN sgoN lgBg AsMBv ho jWdw hY[lMbI dUrI dy Bwr dIAw vI keI iksmw hn[ ie`k qw hY ie`k Sihr qoN duryfy dy dUjy Sihr bwr-bwr Aqy ie`k hI rUt qy jwxw/ ies iv`c Gr lwgoN lof Brky jwxw, lof auqwrnw Aqy vwps prq Awayuxw huMdw hY[ dUsry auh hn ijnHw nUM lof auqwr ky iPr ayu`Qy hor lof lY ky iksy qIsry sQwn v`l jwxw pYdw hY Aqy jrUrI nhIN huMdw ik auh idSw Gr vwly pwsy dI hovy[ ieh Bwr vI Awm qOr qy 800 iklo mItr qoN v`D dUrI dw huMdw hY[Aijhy frweIvr nUM keI vwr mhInw Br vI Gr qoN dUr rihxw pYNdw hY[ ies qrHw dy kMm iv`c GrylU jIvn bwry shI Xojnw bnwauxI jrUrI ho jWdI hY[ mh`qvpUrn pirvwrk imqIAw kwPI AgyqIAw hI Awpxy mwlk nwl im`Q lvo[ jnm idn, Dwrimk CutIAw Awid bwry pihlw hI pqw hY[ smW rihMdy iehnW nUUM mwlk nwl ivcwr ky Xog h`l l`iBAw jw skdw hY[ ho skdw hY ik koeI kMm krwvwauxw cwhuMdw hovy pr auh smW dyxw quhwfy leI sMBv nw hovy[pr ies dw mqlb ieh nhIN ik qusIN kMm krnw sivkwr kr lvo[ quhwnUM is`Kx dI loV hY ik ikvyN g`l bwq rwhI AjyhI siQqI dw suKwvW h`l l`Bxw hY[ jIvn iv`c kMpromwiez Aqy nIgoSIeySn dovy mh`qvpUrn hn[ies leI ieh dovy klwvW is`Ko[ qusIN auhnW mwlkW nwl nwqw joVI r`Kxw nhIN cwhogy jo quhwfy jIvn bwry hr PYslw quhwfy qy Tosdy hn Aqy quhwfIAW in`jI jW pirvwrk ie`CwvW pUrIAW nhIN hox idMdy[ies dyS iv`c cMgy frweIvrW dI Gwt hY[ ies leI jy kr koeI mwlk quhwfy audySw dI pUrqI iv`c rukwvt bxdw hY qW koeI hor l`B lvo[ srkwr dy kwiedy kwnMUnw ny ipCly kuJ swlw qo frweIvrw dy GrylU jIvn nUM AsuKwvw bxw id`qw hY[srkwr dw qrk hY ik ies nwl hweIvyz sur`iKAq bxdy hn pr Asl iv`c ieh frweIvrj pUl qy vDyry kMtrol leI bxwey gey hn[ iehnw sKq GtIAw jW kwiedy-kwnUMnW kwrn hI bhuq swry sQwnk GrylU frweIvr tr`ikMg ik`qw C`f gey hn[ ies nwl frweIvrw dI bhuq Gwt ho geI hY[ies dw h`l ivdySw iv`co frweIvr mMgvwauxw hY[ mwlkw dy mn iv`c hY ik ieh frweIvr G`t aujrq qy rwjI ho jwxgy[ huxy ijhy jd mY ie`k Sihr qoN dUsry Sihr nUM frweIv kr irhw sI qW mY ie`k trylr dy ip`Cy ieh iliKAw piVHAw ik jy qusI 34 sYNt pRqI mIl pymYt qy frweIv krnw cwhuMdy ho qW hyTW id`qy nMbr qy kwl kro[mY hYrwn sI ik ieh ryt qW mY 25 swl pihlw lYNdw irhw hW[ Blw A`j vI auhI ryt ikvyN ho skdw hY[srkwr dy nvyN knUMn jo ieMfstrI dy mwlkW dw p`K pUrdy hn, frweIvrW dI 20% qoN v`D h`k dI kmweI ingl gey hn[ jykr pRqI mIl pymYt krnw hI ie`ko qrIkw hY ik ijs rwhI frweIvr qoN v`D qoN v`D kMm ilAw jw skdw hY qW aus smy nUM vI igxqI iv`c ilAwaux cwhIdw hY jdoo tr`k qW KVw hY pr auh Awp BwrI kMm kr irhw hY[ jrUurI nhIN ik ausdw fwaUn tweIm kyvl Gr iv`c bqIq ho irhw hY jdo ausnUM mjbUrn ivhlw smW Gr qoN bwhr gujwrnw pYNdw hY qW ausnUM aus smyN leI vI kMpnsyt krnw bxdw hY[ frweIvrw dy py strkcr nUM nvyN inXmw dI rosin iv`c nivAwaux Aqy duhrwaux dI loV hY[hom tweIm Aqy aus tweIm jdoN qusI tr`k nhIN clw rhy bwry Agwh vDU AYNplwierj nwl g`l-bwq kIqI jw skdI hY[jykr koeI AYNplwier trmj AYNf kMfISnj bwry g`lbwq krn leI iqAwr nhIN huMdw qW AYplwier bdl ky auQy cly jwvo jo quhwfy nwl sihmq hY[ lgBg 30 swl pihlw qoN frweIvr XUnIAn dI pkV iF`lI pY jwx kwrn frweIvrj leI jrUrI ho igAw hY ik auh is`Kx ik auhnw ny Awpxw AYplwiemYNt kWtrYkt Asrdwr bnwauxw hY[ kyvl mwlk dw sY`t kIqw kWtrYkt nw mMn lvo [mwlk nUM quhwfI loV hY[ jykr kwtrYkt qhwfIAw loVw pUrIAw nhIN krdw qW g`l-bwq rwhI fIl p`kI kro[G`t qoN G`t qy hI nw mMn jwvo-Kws kr iks vkq jdoN quhwnUM in`jI ijMdgI mwnx dI kurbwnI dyxI pY rhI hY[ September / october 2014
isn’t a safer highway, but merely it’s the lawmakers exercising more control over the driver pool, effectively putting the driver into virtual subservience. Many of our homegrown drivers have just given up on trucking because of these new draconian rules and regulations and as a result, the governmental changes exacerbated an already fairly serious driver shortage. The answer to the driver shortage has been to import drivers from overseas. Our newly imported drivers from outside North America, in the minds of the employers, are just happy to be employed even at less money than would be acceptable to homegrown drivers. Recently, I noticed a sign on the back of a trailer, while I was on an intercity drive, that bragged this particular company was paying drivers 34 cents a mile and that one should call their special 800 number to become employed. I was paid 34 cents a mile too, but that was 25 years ago. How can today’s wages be the same as they were two or three decades ago? The lifestyle of trucking covers many factors for individual’s lives, both family and work related. There is a definite requirement for companies to work with drivers to achieve a reasonable home & work balance, but more so, companies have to find a better way to compensate drivers. The new government regulations, that have been industry driven, have eaten away close to 20% of the driver’s potential income over the past several years. There is no sign that this downward slide in potential income of drivers is abating. If being paid by the mile is the one and only way to encourage productivity, then there must be some recognition for the driver’s non-productive hours, which he or she must work and earn zero. Being paid by the mile means that if the wheels aren’t turning the driver doesn’t make a nickel even though they are being forced to perform other labor-intense duties. Also, with the new government rules and regulations, downtime isn’t always done at home. When a driver is forced to take down time away from home, there must be some compensation. The entire pay structure of the industry is definitely in need of review and revision, especially in light of these new draconian rules and regulations that have had a negative effect on a driver’s income. Some of these necessary modifications may be negotiated with progressive employers. It’s not just about negotiating adequate, necessary home time; it’s also about negotiating adequate, necessary pay for all work performed, not just that time when the drivers is actually moving. If an employer isn’t willing to negotiate terms and conditions, then move on to one that will. About thirty years ago, the industry broke the union hold on the work force, reducing the unionized portion of the workforce down from virtually one hundred per cent to about ten per cent. Because there is almost no ability to collectively bargain within the industry, drivers must learn how to effectively negotiate their own employment contract. Do not just accept the employment contract set up by the employer. The employer needs your services and you need the employer. In the absence of collective bargaining, it is your responsibility to negotiate with your employer. If the employment contract doesn’t meet your needs, then negotiate a deal that will. Never just sign the employment contract without reading it and at the very least, take that employment contract to a qualified lawyer to ensure it meets your needs. Employment is a two way street, especially when the driver has to sacrifice so much of his/her personal life. 43
New Entrant Program
What is a New nvW AYtrYNt pRogrwm Entrant Program? kI hY? By NSC Compliance Services The New Entrant Program is a program which educates new motor carriers about the federal safety standards and regulations. Who does the New Entrant Program apply to? The Program applies to all new U.S. and Canadian domiciled motor carrier owners and operators that want to conduct business within the United States. Is there an audit in this program and is there a time frame in which the audit is conducted? There will be a safety entrant audit conducted by a certified U.S. federal safety investigator, state or provincial enforcement office. The audit will be conducted within 18 months of the authority being granted to the motor carrier. Where is this audit conducted? The audit is generally conducted at the principal place of business but can sometimes be conducted at the State Patrol’s office or other federal offices. What can cause a motor carrier to fail the audit? There are several key reasons that can cause the motor carrier to fail the audit, listed below are some of the main issues. Alcohol and Drug Violations: • Not having an alcohol and/or drug testing program and a random alcohol and drug testing program. • Using a driver without having them take the alcohol or drug test. • Using a driver the company knows had a blood alcohol content of 0.04 or greater. • Using a driver who does not complete the required follow-up procedures if tested positive for drugs. Driver related issues: • Using a driver without a valid Commercial Driver’s license (CDL) or a driver who’s CDL has been revoked, suspended or cancelled. • Using a medically unqualified driver. Operations related issues: • Not having the required level of insurance on file. • Not having adequate hours of service records. Vehicle related issues: • Operating a vehicle without repairing any safety related defects mentioned in an Out-of-Service inspection or in the driver’s vehicle inspection report. • Operating a commercial vehicle that has not been periodically inspected. What happens if the motor carrier fails the audit? If the motor carrier fails the audit the Federal Motor Carrier Safety Administration (FMCSA) will provide the motor carrier a written notice within 45 days after the completion of the audit to take action to fix the issues found in the audit. If the motor carrier fails to provide a corrective action plan and to implement the safety measures to ensure the matters have been taken care of within the time 44
nvW AYtrYNt pRogrwm ie`k auh pRogrwm hY ijs nwL nvyN motr kYrIArW nUM PYfrl syPtI stYNfrf Aqy rYgUlySnW sbMDI jwxkwrI id`qI jWdI hY[ ieh pRogrwm iknHW ‘qy lwgU huMdw hY? ieh pRogrwm AmrIkw Aqy knyfw dy aunHW swry p`ky AiDkwirq motr kYrIAr mwlkW Aqy AwprytrW ‘qy lwgU huMdw hY jo AmrIkw ‘c ibzns krnw cwhuMdy hn[ kI ies pRogrwm ‘c koeI Awift vI huMdw hY jW koeI insicq smW hY ijs ‘c Awift krwauxw pYNdw hY? ies Anuswr ie`k syPtI AYNtrYNt Awift hovygw ijs nUM AmrIkw dy PYfrl jW sUbweI AYnPorsmYNt mwnqw pRwpq syPtI ienvYstIgytr v`loN kIqw jwvygw[motr kYrIAr nUM mwnqw imlx qoN 18 mhIny dy iv`c iv`c ieh krwauxw lwzmI hovygw[ ieh Awift huMdw ik`Qy hY? Awm qOr ‘qy ieh Awift ibzns krn vwLI mu`K QW ‘qy kIqw jWdw hY[pr ieh styt dy ptrol dPqr jW hor PYfrl dPqrW ‘c vI kIqw jw skdw hY[ motr kYrIAr ikhVy kwrnW krky ies ‘c pws nhI huMdw? keI kwrn ho skdy hn ijnHW krky motr kYrIAr ies ‘c pws nhIN huMdw [ ienHW ‘coN ku`J hyTW id`qy jw rhy hn: Alkohl Aqy fr`g kwnUMnW dI aulMGxw • kdy fr`g jW Alkohl jW dovW dw inXmq jW Acncyq tYsitMg pRogrwm nw krvwieAw hoxw [ • ibnw fr`g jW Alkohl tYst krvwey frweIvr nUM r`Kxw[ • kMpnI v`loN aus frweIvr nUM r`Kxw ijs sbMDI pqw hY ik aus dI bl`f Alkohl mwqrw 0.04 jW ies qoN v`D sI[ • aus frweIvr dIAW syvwvW lYxIAW ijs dy tYst ‘c fr`g syvn dw pqw l`gw hovy pr frweIvr nUM aus dw ielwj krn qoN ibnw hI r`K ilAw hovy[ fRweIvr nwL sbMDq g`lW: • aus fRweIvr dIAW syvwvW lYxIAW ijs kol loVINdw kmRSl fRweIivMg lweIsMs (sI fI AYl) nhIN[jW aus fRweIvr dIAW syvwvW lYxIAW ijs dw lwiesMs r`d, muA`ql jW kYNsl ho igAw hY[ • fwktrI tYst ‘coN PylH frweIvr dIAW syvwvW lYxIAW[ kMm kwj sbMDI msly: • PweIl ‘qy Fu`kvyN p`Dr dw ieMSUrYNs nw hoxw[ • srivs irkwrf dy loVINdy GMitAW dw nw hoxw[ vhIkl sbMDI g`lW: • AwaUt- AwP -srivs ienspYkSn smyN fRweIvr dI vhIkl ienspYkSn irport ‘c sur`iKAw sbMDI k`Fy gey nuksW nUM TIk krwaux qoN ibnw hI vhIkl nUM clweI jwxw[ • aus vhIkl nUM clweI jwxw ijs dI inrDwrq smyN Anuswr ienspYkSn hI nhIN hoeI[ jy motr kYrIAr Awift ‘c PylH ho jWdI hY qW Pyr kI huMdw hY? jdoN motr kYrIAr PYfrl motr kYrIAr syPtI AYfminstrySn ( AYP AYm SI AYs ey) v`loN kIqI jWc ‘c PylH ho jWdI hY qW ies nUM TIk krn leI 45 idnW dy AMdr AMdr ies dI ilKqI irport motr kYrIAr nUM ByjI jWdI hY[jy inrDwrq smyN ‘c ieh nuks dUr krn sbMDI cu`ky jwx vwLy kdmW dI sUcnw nhIN id`qI jWdI qW ies motr kYrIAr nUM AwaUt September / october 2014
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Removes and installs both rubber-isolated and threaded pins and bushings without removing the spring packs from the axle.
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sePteMBer / OCtOBer 2014
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New Entrant Program frame given by the FMCSA then the motor carrier will be put out of service. What happens if the motor carrier fails to reply in the time frame given by the FMcsa? If the motor carrier does not provide a corrective action plan then the carrier will be put out of service. The carrier will have to wait 30 days after the date of revocation to reapply and submit documentation that the deficiencies have been corrected. The 18 month monitoring period will start again as of the date that the re-application is approved. What happens if the motor carrier passes the audit? The FMCSA sends a letter to the motor carrier stating the results of the audit. The carrier’s performance will still be closely monitored for the balance of the 18 month period. Who can I contact if I need help with registering for a US DOT or MC number or if I have a safety entrants audit coming up? You can call us at our toll free number at 1-800-965-9839 if you need assistance in registering for a US DOT or MC number or if you have a safety entrants audit coming up.
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this is a start, again, but the stakeholders will never include a CTHRC working on entry-level be mere 30 year experienced driver. training criteria for truckers Why There’s a Driver Shortage? Déjà vu, all over again? Canadian task force is working to establish criteria that could one day lead to truck driving being designated by the government as a skilled profession that requires entry-level training. CTHRC, with financial help from the Federal Government, the Canadian Trucking Alliance and provincial trucking associations, is hosting stakeholder meetings to determine what knowledge, skills and abilities should be part of an eventual training standard. “We are hoping to have a final document, a final profile if you will, outlining what those knowledge, skills and abilities of today’s drivers are sometime in early in 2015,” said CTHRC CEO Angela Splinter. Splinter added the first meeting recently took place in Ontario. Additional meetings are planned for Halifax, Nova Scotia, in the east and a location to be named in western Canada. A spring 2012 report published by the Canadian Trucking Alliance owned up to the “root causes” of driver recruitment and retention issues in trucking – namely driver compensation, quality of life, qualifications and demographics. “The industry will always be captive to market forces, but it can also take action to help itself and ensure its continued dominance in the freight market. It just cannot do it without drivers,” the report’s authors stated. With all due respect, this type of study has been done over and over for at least the past three decades. The Friesen Kaye report in 1990 brought the problems and solutions to the fore but was shelved virtually without being read let alone considered. Unless and until commercial driving is recognized as a skilled trade, with basic entry level requirements, added advanced skill level training, a career path, and a full apprenticeship program, with commensurate pay and perks as tradesmen work through from raw recruit to master driver, nothing will ever change. May46
Again, HR professionals are trying to figure out why there’s a driver shortage, the extent of the shortage, and what they can do to improve the situation for their carrier. It’s not rocket science people. When drivers are paid the same today as they were three decades ago, there is a problem. In those three decades, the fuel prices have risen by at least 600%; Insurance premiums have risen similarly but drivers wages have remained virtually stagnant. The other insult to the driver is that those with thirty years of experience, earn the same as that raw recruit fresh out of truck driving school. There is no career path, no advancement. It used to be that an experienced hand could earn significantly more because he had figured out how to make the rules work for him instead of against him. Now, the way the rules are, there is no such thing as making the system work for you, you work for the system, therefore, your ability to earn is marginalized. With fewer and fewer souls coming into the industry, the choices for drivers is more and more restricted. Unless and until there is a methodology to bring in fresh blood into the industry, then all recruiters can hope to attract are the churners. Immigration is bringing in fresh blood but little else is on the horizon. What would help domestic fulfillment of driving positions would be for truck driving to become a skilled trade with attendant skills training at basic and advanced levels and pay and perks to be associated with skill levels attained and longevity within the industry, not within a carriers employment.
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sePteMBer / OCtOBer 2014
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sePteMBer / OCtOBer 2014
Published on Sep 1, 2014