Mark Solomon joined DC VELOCITY as senior editor in August 2008, and was promoted to his current position on January 1, 2015. He has spent more than 30 years in the transportation, logistics and supply chain management fields as a journalist and public relations professional. From 1989 to 1994, he worked in Washington as a reporter for the Journal of Commerce, covering the aviation and trucking industries, the Department of Transportation, Congress and the U.S. Supreme Court. Prior to that, he worked for Traffic World for seven years in a similar role. From 1994 to 2008, Mr. Solomon ran Media-Based Solutions, a public relations firm based in Atlanta. He graduated in 1978 with a B.A. in journalism from The American University in Washington, D.C.
The Teamsters union's long and colorful history has included its share of moments that transcend labor-management relations and find their way into cultural lore. The race to elect the union's next general president could become one of those moments.
Consider the candidates, whose intersecting story lines seem straight out of central casting:
The incumbent, a 70-year-old Detroit native whose last name is virtually synonymous with organized labor. Drawing on the power and resources of the office, he is vying for his third full term at the union his late father built into an entity as powerful as it was controversial.
A 54-year-old single mother of two with a black belt in Tae Kwon Do. A child of privilege who quit college at 21 for what became a 33-year Teamster career, she is running as a virtual one-woman band to become the first female president in the union's 108-year history.
A salty-tongued 59-year-old ex-Marine, a Wisconsin native with 39 years at the Teamsters. Currently an international vice president and a former ally of the incumbent before splitting off in 2010, he now mostly swears at him instead of by him.
About 1,800 delegates are meeting at the Teamsters annual convention in Las Vegas, where today they will nominate candidates to run in the general election. Barring an unexpected turn of events, James P. Hoffa; Alexandra (Sandy) Pope, and Fred Gegare will garner enough votes to qualify for the nomination. The ballots go out in October and will be counted in November. By then, the three nominees will likely be covered with welts from what is destined to be a bare-knuckled affair.
The Pope and Gegare teams have framed the election as a referendum on Hoffa's leadership, charging Hoffa runs the union from the top down and routinely ignores local concerns, and has jettisoned long-time associates in favor of high-priced consultants with little knowledge of labor.
"He doesn't want to listen to anyone who has experience," says Gegare, who in 1999 ran as a vice president on Hoffa's slate during his first successful presidential push. "You don't turn in your old friends for new ones."
Gegare, who among other positions is chairman of the board of trustees at the union's influential Central States pension fund, claims he brings experience and support that Pope lacks, as well as a change from the status quo represented by Hoffa. "When I look at my résumé, I don't see how anyone can beat me," he says.
Pope, who in 2006 was named number two on an opposition slate that was eventually defeated by Hoffa, hopes to gain traction this time by contrasting her years as a field representative and president for the past six years of Local 805 in New York with Hoffa's lack of in-the-trenches experience.
"I've been in the thick of it for quite a while, and I feel Hoffa has been above it all, always," she says. "He was never a shop steward or a local officer, and he has totally removed himself."
The Hoffa camp, which is blanketing the Internet with campaign ads (a website for hiking trails in Georgia shows a campaign ad with Hoffa's name adorning the side of a 53-foot trailer), argues its candidate brings unmatched qualifications from his background as a labor lawyer, the knowledge base gained from growing up in a prominent union family, and his 12 years' experience as Teamster president. They dismiss Pope's candidacy as a pipe dream fueled by little more than human interest. They claim that she has virtually no funds to conduct a serious campaign and that she is unqualified to run the Teamsters after mismanaging her local's finances to the point of near-insolvency.
Hoffa's supporters acknowledge Gegare's level of experience but say his vitriolic comments about Hoffa ring hollow given that he supported the general president on almost every issue before breaking away from him.
"Gegare never spoke out against anything," says Richard Leebove, a senior adviser to the Hoffa campaign. The campaign did not make Hoffa available for an interview.
The Hoffa campaign points to such successes as his role in keeping less-than-truckload (LTL) carrier YRC Worldwide Inc. afloat—and preserving 25,000 to 30,000 Teamster jobs—as the company teetered on the abyss through 2009. The campaign also touts the organizing of 10,000 to 12,000 members of UPS Freight, which was known as Overnite Transportation prior to UPS's 2005 acquisition of Overnite.
Gegare and Pope argue that UPS Freight was not organized as part of the National Master Freight Agreement (NMFA), which covers unionized LTL carriers, and that its union members' wages started as much as $11 an hour below NMFA carriers like YRC and ABF Freight System Inc. Leebove declined comment on the specifics of any wage gap, but says he doesn't believe the UPS Freight wages were "significantly different" from its rivals'. Leebove adds that UPS Freight workers will receive wage increases in 2011, 2012, and 2013.
Fading relevance
The campaign will play out against the fading relevance of Teamster labor in the transportation industry. While overall Teamster membership has dropped from 2 million to 1.4 million, the freight division's rolls have plummeted from about 500,000 in the late 1970s to about 50,000 to 60,000 today. The division, once considered the union's core, has been weakened by hundreds of bankruptcies among unionized carriers and the growing reliance on non-union labor. About half of the division's members work at YRC, a company that remains financially fragile.
The candidates have all vowed to re-energize the freight division. However, they have so far pledged to do little more than step up organizing efforts at non-union carriers like FedEx Corp.'s ground parcel and LTL divisions, a strategy that has gone nowhere in the past. There is talk about organizing the thousands of owner-operator independent drivers operating around the country, especially at the nation's ports, where they have strong drayage operations. However, with no large employer to focus on, such organizing efforts would be fragmented and perhaps futile.
Pope says she would examine the expanding relationship between UPS and the U.S. Postal Service, under which UPS turns over shipments to the post office for deliveries to mostly remote destinations. The agreement, made possible by the requirement that USPS serve every U.S. address, allows UPS to reach more customers without the expense of dispatching its own drivers. However, Pope says the compact violates the Teamster contract and threatens traditional Teamster jobs in regions of the country already hard-hit by the recession.
Ace in the 'Hall'
Unlike Hoffa and Gegare, who are running with a slate of candidates, Pope is going it alone. She has no slate of officers, and relies on a staff that, as recently as May, consisted of two part-timers and staff time donated by Teamsters for a Democratic Union (TDU), a dissident group that supports her candidacy. Pope says she has a large grass-roots volunteer network and holds conference calls at nights and on weekends with Teamster members nationwide. She says that she will rely on social networking tools to build critical mass.
In 1991, TDU backed the candidacy of the late Ron Carey, who was elected president in a stunning upset. While Pope and TDU hope lightning can strike twice, Leebove of the Hoffa camp says the comparisons between the two eras don't stand up to scrutiny.
For one, Carey ran against a splintered field after the incumbent at the time, William McCarthy, declined to seek another term. By contrast, Pope is facing a two-time incumbent in Hoffa, Leebove says.
In addition, Carey, as a long-time UPS employee, built on a groundswell of support among the company's rank and file, Leebove says. Pope doesn't have that embedded base, Leebove claims. Carey also had about 12,000 members in his local—Local 804 in New York—while Pope has slightly more than 1,000 members in hers, he adds.
"Ron Carey was by far a more significant player than Sandy Pope," Leebove says.
In a nod to the importance of nearly 250,000 unionized UPS workers, Hoffa has named as his running mate Ken Hall, who for years was director of the Teamsters' small parcel division and was one of the architects of a 1997 job action that shut down UPS for 15 days.
Leebove says Hall is "regarded as a hero" by workers at UPS and throughout the union for standing up to the Atlanta-based giant and still wields considerable influence. The choice of Hall is "a major game changer," he says.
Ken Paff, TDU's national organizer, agrees that Hall's connection with UPS Teamsters was a key factor in his selection as Hoffa's number two. However, Paff says the Hoffa campaign may be misreading the rank and file's likely reception of Hall, contending the most recent UPS contact, negotiated in 2007, was "not that popular" with members.
A full agenda
The winner of the November election takes the chair in January 2012 and almost immediately will need to gear up for events in 2013 that could chart the union's course for years to come: negotiating new contracts for workers at UPS's small-package operations, at UPS's LTL division, and at YRC. The three contracts combined will affect about 275,000 members, equal to nearly 20 percent of Teamster membership.
"UPS and the NMFA are the heart of the union, and it's what everybody will be watching," Pope says.
One person who will certainly be watching is Scott Davis, UPS's chairman and CEO, who will oversee the upcoming 2013 contract negotiations. In light of UPS's tradition of limiting its chairmen to negotiating only one Teamster contract during their tenure, this will be Davis's one shot.
Davis, for his part, seems happy with the way things are. "The relationship with the Teamsters is better than it's ever been before," he told an analyst group in June.
Container traffic is finally back to typical levels at the port of Montreal, two months after dockworkers returned to work following a strike, port officials said Thursday.
Today that arbitration continues as the two sides work to forge a new contract. And port leaders with the Maritime Employers Association (MEA) are reminding workers represented by the Canadian Union of Public Employees (CUPE) that the CIRB decision “rules out any pressure tactics affecting operations until the next collective agreement expires.”
The Port of Montreal alone said it had to manage a backlog of about 13,350 twenty-foot equivalent units (TEUs) on the ground, as well as 28,000 feet of freight cars headed for export.
Port leaders this week said they had now completed that task. “Two months after operations fully resumed at the Port of Montreal, as directed by the Canada Industrial Relations Board, the Montreal Port Authority (MPA) is pleased to announce that all port activities are now completely back to normal. Both the impact of the labour dispute and the subsequent resumption of activities required concerted efforts on the part of all port partners to get things back to normal as quickly as possible, even over the holiday season,” the port said in a release.
The “2024 Year in Review” report lists the various transportation delays, freight volume restrictions, and infrastructure repair costs of a long string of events. Those disruptions include labor strikes at Canadian ports and postal sites, the U.S. East and Gulf coast port strike; hurricanes Helene, Francine, and Milton; the Francis Scott key Bridge collapse in Baltimore Harbor; the CrowdStrike cyber attack; and Red Sea missile attacks on passing cargo ships.
“While 2024 was characterized by frequent and overlapping disruptions that exposed many supply chain vulnerabilities, it was also a year of resilience,” the Project44 report said. “From labor strikes and natural disasters to geopolitical tensions, each event served as a critical learning opportunity, underscoring the necessity for robust contingency planning, effective labor relations, and durable infrastructure. As supply chains continue to evolve, the lessons learned this past year highlight the increased importance of proactive measures and collaborative efforts. These strategies are essential to fostering stability and adaptability in a world where unpredictability is becoming the norm.”
In addition to tallying the supply chain impact of those events, the report also made four broad predictions for trends in 2025 that may affect logistics operations. In Project44’s analysis, they include:
More technology and automation will be introduced into supply chains, particularly ports. This will help make operations more efficient but also increase the risk of cybersecurity attacks and service interruptions due to glitches and bugs. This could also add tensions among the labor pool and unions, who do not want jobs to be replaced with automation.
The new administration in the United States introduces a lot of uncertainty, with talks of major tariffs for numerous countries as well as talks of US freight getting preferential treatment through the Panama Canal. If these things do come to fruition, expect to see shifts in global trade patterns and sourcing.
Natural disasters will continue to become more frequent and more severe, as exhibited by the wildfires in Los Angeles and the winter storms throughout the southern states in the U.S. As a result, expect companies to invest more heavily in sustainability to mitigate climate change.
The peace treaty announced on Wednesday between Isael and Hamas in the Middle East could support increased freight volumes returning to the Suez Canal as political crisis in the area are resolved.
The French transportation visibility provider Shippeo today said it has raised $30 million in financial backing, saying the money will support its accelerated expansion across North America and APAC, while driving enhancements to its “Real-Time Transportation Visibility Platform” product.
The funding round was led by Woven Capital, Toyota’s growth fund, with participation from existing investors: Battery Ventures, Partech, NGP Capital, Bpifrance Digital Venture, LFX Venture Partners, Shift4Good and Yamaha Motor Ventures. With this round, Shippeo’s total funding exceeds $140 million.
Shippeo says it offers real-time shipment tracking across all transport modes, helping companies create sustainable, resilient supply chains. Its platform enables users to reduce logistics-related carbon emissions by making informed trade-offs between modes and carriers based on carbon footprint data.
"Global supply chains are facing unprecedented complexity, and real-time transport visibility is essential for building resilience” Prashant Bothra, Principal at Woven Capital, who is joining the Shippeo board, said in a release. “Shippeo’s platform empowers businesses to proactively address disruptions by transforming fragmented operations into streamlined, data-driven processes across all transport modes, offering precise tracking and predictive ETAs at scale—capabilities that would be resource-intensive to develop in-house. We are excited to support Shippeo’s journey to accelerate digitization while enhancing cost efficiency, planning accuracy, and customer experience across the supply chain.”
Donald Trump has been clear that he plans to hit the ground running after his inauguration on January 20, launching ambitious plans that could have significant repercussions for global supply chains.
As Mark Baxa, CSCMP president and CEO, says in the executive forward to the white paper, the incoming Trump Administration and a majority Republican congress are “poised to reshape trade policies, regulatory frameworks, and the very fabric of how we approach global commerce.”
The paper is written by import/export expert Thomas Cook, managing director for Blue Tiger International, a U.S.-based supply chain management consulting company that focuses on international trade. Cook is the former CEO of American River International in New York and Apex Global Logistics Supply Chain Operation in Los Angeles and has written 19 books on global trade.
In the paper, Cook, of course, takes a close look at tariff implications and new trade deals, emphasizing that Trump will seek revisions that will favor U.S. businesses and encourage manufacturing to return to the U.S. The paper, however, also looks beyond global trade to addresses topics such as Trump’s tougher stance on immigration and the possibility of mass deportations, greater support of Israel in the Middle East, proposals for increased energy production and mining, and intent to end the war in the Ukraine.
In general, Cook believes that many of the administration’s new policies will be beneficial to the overall economy. He does warn, however, that some policies will be disruptive and add risk and cost to global supply chains.
In light of those risks and possible disruptions, Cook’s paper offers 14 recommendations. Some of which include:
Create a team responsible for studying the changes Trump will introduce when he takes office;
Attend trade shows and make connections with vendors, suppliers, and service providers who can help you navigate those changes;
Consider becoming C-TPAT (Customs-Trade Partnership Against Terrorism) certified to help mitigate potential import/export issues;
Adopt a risk management mindset and shift from focusing on lowest cost to best value for your spend;
Increase collaboration with internal and external partners;
Expect warehousing costs to rise in the short term as companies look to bring in foreign-made goods ahead of tariffs;
Expect greater scrutiny from U.S. Customs and Border Patrol of origin statements for imports in recognition of attempts by some Chinese manufacturers to evade U.S. import policies;
Reduce dependency on China for sourcing; and
Consider manufacturing and/or sourcing in the United States.
Cook advises readers to expect a loosening up of regulations and a reduction in government under Trump. He warns that while some world leaders will look to work with Trump, others will take more of a defiant stance. As a result, companies should expect to see retaliatory tariffs and duties on exports.
Cook concludes by offering advice to the incoming administration, including being sensitive to the effect retaliatory tariffs can have on American exports, working on federal debt reduction, and considering promoting free trade zones. He also proposes an ambitious water works program through the Army Corps of Engineers.
ReposiTrak, a global food traceability network operator, will partner with Upshop, a provider of store operations technology for food retailers, to create an end-to-end grocery traceability solution that reaches from the supply chain to the retail store, the firms said today.
The partnership creates a data connection between suppliers and the retail store. It works by integrating Salt Lake City-based ReposiTrak’s network of thousands of suppliers and their traceability shipment data with Austin, Texas-based Upshop’s network of more than 450 retailers and their retail stores.
That accomplishment is important because it will allow food sector trading partners to meet the U.S. FDA’s Food Safety Modernization Act Section 204d (FSMA 204) requirements that they must create and store complete traceability records for certain foods.
And according to ReposiTrak and Upshop, the traceability solution may also unlock potential business benefits. It could do that by creating margin and growth opportunities in stores by connecting supply chain data with store data, thus allowing users to optimize inventory, labor, and customer experience management automation.
"Traceability requires data from the supply chain and – importantly – confirmation at the retail store that the proper and accurate lot code data from each shipment has been captured when the product is received. The missing piece for us has been the supply chain data. ReposiTrak is the leader in capturing and managing supply chain data, starting at the suppliers. Together, we can deliver a single, comprehensive traceability solution," Mark Hawthorne, chief innovation and strategy officer at Upshop, said in a release.
"Once the data is flowing the benefits are compounding. Traceability data can be used to improve food safety, reduce invoice discrepancies, and identify ways to reduce waste and improve efficiencies throughout the store,” Hawthorne said.
Under FSMA 204, retailers are required by law to track Key Data Elements (KDEs) to the store-level for every shipment containing high-risk food items from the Food Traceability List (FTL). ReposiTrak and Upshop say that major industry retailers have made public commitments to traceability, announcing programs that require more traceability data for all food product on a faster timeline. The efforts of those retailers have activated the industry, motivating others to institute traceability programs now, ahead of the FDA’s enforcement deadline of January 20, 2026.