Industry praises renewed government efforts to address truck driver shortage
Trade associations are hopeful as Congress reintroduces the DRIVE-Safe Act, aimed at expanding the pool of available talent for open truck driver positions.
Victoria Kickham started her career as a newspaper reporter in the Boston area before moving into B2B journalism. She has covered manufacturing, distribution and supply chain issues for a variety of publications in the industrial and electronics sectors, and now writes about everything from forklift batteries to omnichannel business trends for DC Velocity.
Logistics and transportation industry leaders are applauding the reintroduction of a bill aimed at easing the nation's shortage of truck drivers.
The DRIVE-Safe Act was reintroduced February 26 by 14 Republicans and Democrats in the House and Senate, and trade association leaders say they are hopeful strong bipartisan support will help push the measure forward this year. The bill aims to lift age restrictions that prevent drivers from crossing state lines and to improve safety and training through a rigorous apprenticeship program, proponents said. The DRIVE acronym stands for Developing Responsible Individuals for a Vibrant Economy.
"We feel confident that we will build a lot of support for this," said Mark Allen, president and CEO of the International Foodservice Distributors Association (IFDA), one of more than 50 trade groups backing the bill.
The truck driver shortage touches all aspects of the supply chain, Allen and others argue, pointing to rising freight rates and increasing consumer prices as by-products of the problem.
"Given the broad coalition of interests backing this measure, there is growing understanding across the country that the impact of this issue reaches far beyond just trucking and commercial vehicles," American Trucking Associations President and CEO Chris Spear said following the reintroduction of the bill. "It is a strain on the entire supply chain, from the manufacturers and producers on down to retail and the end consumer, who will see higher prices at the store."
Lifting driver age restrictions is a key part of the proposal. Although 48 states allow individuals to obtain a commercial driver's license (CDL) and drive trucks at age 18, federal regulations prevent those drivers from crossing state lines until they turn 21. Proponents of the bill call the federal regulation outdated and say it limits the potential pool of candidates for open truck driver positions. As it stands now, Allen explained, professional drivers under age 21 can make the more than 300-mile trip from Maclean, Va., to deliver products to Bristol, Va., but they are prohibited from making similar deliveries from Maclean to Washington, D.C., just 12 miles away.
What's more, expanding the pool of candidates will open new career opportunities for young people seeking good-paying jobs, Allen added. According to IFDA data from 2017, the average salary for a foodservice distribution driver nationally is $63,000 a year.
Improving safety and training is another key part of the bill. The DRIVE-Safe Act would allow certified CDL holders already permitted to drive intrastate the opportunity to participate in an apprenticeship program designed to help them master interstate driving, while also promoting enhanced safety training for emerging members of the workforce, IFDA and other supporters said.
The apprenticeship program provides CDL drivers an additional, two-step training program with what supporters describe as rigorous performance benchmarks. Drivers must complete at least 400 hours of on-duty time and 240 hours of driving time in the cab with an experienced driver. Every driver will train on trucks equipped with new safety technology, including active braking collision mitigation systems, video event capture, and a speed governor set at 65 miles per hour.
"We think this will result in a better-prepared, much safer driver," Allen said. "If you have an opportunity to put an experienced driver in the cab of a truck with someone learning, that experienced driver gets a good sense of the younger person's temperament, maturity [and so forth]. That's another important benefit of this [program]."
Allen said the main challenge moving forward lies in what the DRIVE-Safe Act will be attached to, which could include an infrastrucutre bill or an appropriations bill.
"There is a road ahead, but we're optimistic," Allen said. "In this day and age, there's nothing done that is bipartisan [so] to see legislation that's got support from Republicans, Democrats, from urban areas, rural areas and from different parts of the country [indicates to us] that we will continue to build support."
The DRIVE-Safe Act is cosponsored by Senators Todd Young, R-Ind.; Jon Tester, D-Mont.; Tom Cotton, R-Ark.; Angus King, I-Maine; Jim Inhofe, R-Okla.; Joe Manchin, D-W.Va.; and Jerry Moran, R-Kan.; and Representatives Trey Hollingsworth, R-Ind.; Jim Cooper, D-Tenn.; Henry Cuellar, D-Texas; Al Green, D-Texas; Sheila Jackson Lee, D-Texas; Paul Mitchell, R-Mich.; and Bruce Westerman, R-Ark.
Businesses are cautiously optimistic as peak holiday shipping season draws near, with many anticipating year-over-year sales increases as they continue to battle challenging supply chain conditions.
That’s according to the DHL 2024 Peak Season Shipping Survey, released today by express shipping service provider DHL Express U.S. The company surveyed small and medium-sized enterprises (SMEs) to gauge their holiday business outlook compared to last year and found that a mix of optimism and “strategic caution” prevail ahead of this year’s peak.
Nearly half (48%) of the SMEs surveyed said they expect higher holiday sales compared to 2023, while 44% said they expect sales to remain on par with last year, and just 8% said they foresee a decline. Respondents said the main challenges to hitting those goals are supply chain problems (35%), inflation and fluctuating consumer demand (34%), staffing (16%), and inventory challenges (14%).
But respondents said they have strategies in place to tackle those issues. Many said they began preparing for holiday season earlier this year—with 45% saying they started planning in Q2 or earlier, up from 39% last year. Other strategies include expanding into international markets (35%) and leveraging holiday discounts (32%).
Sixty percent of respondents said they will prioritize personalized customer service as a way to enhance customer interactions and loyalty this year. Still others said they will invest in enhanced web and mobile experiences (23%) and eco-friendly practices (13%) to draw customers this holiday season.
That challenge is one of the reasons that fewer shoppers overall are satisfied with their shopping experiences lately, Lincolnshire, Illinois-based Zebra said in its “17th Annual Global Shopper Study.”th Annual Global Shopper Study.” While 85% of shoppers last year were satisfied with both the in-store and online experiences, only 81% in 2024 are satisfied with the in-store experience and just 79% with online shopping.
In response, most retailers (78%) say they are investing in technology tools that can help both frontline workers and those watching operations from behind the scenes to minimize theft and loss, Zebra said.
Just 38% of retailers currently use AI-based prescriptive analytics for loss prevention, but a much larger 50% say they plan to use it in the next 1-3 years. That was followed by self-checkout cameras and sensors (45%), computer vision (46%), and RFID tags and readers (42%) that are planned for use within the next three years, specifically for loss prevention.
Those strategies could help improve the brick and mortar shopping experience, since 78% of shoppers say it’s annoying when products are locked up or secured within cases. Adding to that frustration is that it’s hard to find an associate while shopping in stores these days, according to 70% of consumers. In response, some just walk out; one in five shoppers has left a store without getting what they needed because a retail associate wasn’t available to help, an increase over the past two years.
The survey also identified additional frustrations faced by retailers and associates:
challenges with offering easy options for click-and-collect or returns, despite high shopper demand for them
the struggle to confirm current inventory and pricing
lingering labor shortages and increasing loss incidents, even as shoppers return to stores
“Many retailers are laying the groundwork to build a modern store experience,” Matt Guiste, Global Retail Technology Strategist, Zebra Technologies, said in a release. “They are investing in mobile and intelligent automation technologies to help inform operational decisions and enable associates to do the things that keep shoppers happy.”
The survey was administered online by Azure Knowledge Corporation and included 4,200 adult shoppers (age 18+), decision-makers, and associates, who replied to questions about the topics of shopper experience, device and technology usage, and delivery and fulfillment in store and online.
An eight-year veteran of the Georgia company, Hakala will begin his new role on January 1, when the current CEO, Tero Peltomäki, will retire after a long and noteworthy career, continuing as a member of the board of directors, Cimcorp said.
According to Hakala, automation is an inevitable course in Cimcorp’s core sectors, and the company’s end-to-end capabilities will be crucial for clients’ success. In the past, both the tire and grocery retail industries have automated individual machines and parts of their operations. In recent years, automation has spread throughout the facilities, as companies want to be able to see their entire operation with one look, utilize analytics, optimize processes, and lead with data.
“Cimcorp has always grown by starting small in the new business segments. We’ve created one solution first, and as we’ve gained more knowledge of our clients’ challenges, we have been able to expand,” Hakala said in a release. “In every phase, we aim to bring our experience to the table and even challenge the client’s initial perspective. We are interested in what our client does and how it could be done better and more efficiently.”
Although many shoppers will
return to physical stores this holiday season, online shopping remains a driving force behind peak-season shipping challenges, especially when it comes to the last mile. Consumers still want fast, free shipping if they can get it—without any delays or disruptions to their holiday deliveries.
One disruptor that gets a lot of headlines this time of year is package theft—committed by so-called “porch pirates.” These are thieves who snatch parcels from front stairs, side porches, and driveways in neighborhoods across the country. The problem adds up to billions of dollars in stolen merchandise each year—not to mention headaches for shippers, parcel delivery companies, and, of course, consumers.
Given the scope of the problem, it’s no wonder online shoppers are worried about it—especially during holiday season. In its annual report on package theft trends, released in October, the
security-focused research and product review firm Security.org found that:
17% of Americans had a package stolen in the past three months, with the typical stolen parcel worth about $50. Some 44% said they’d had a package taken at some point in their life.
Package thieves poached more than $8 billion in merchandise over the past year.
18% of adults said they’d had a package stolen that contained a gift for someone else.
Ahead of the holiday season, 88% of adults said they were worried about theft of online purchases, with more than a quarter saying they were “extremely” or “very” concerned.
But it doesn’t have to be that way. There are some low-tech steps consumers can take to help guard against porch piracy along with some high-tech logistics-focused innovations in the pipeline that can protect deliveries in the last mile. First, some common-sense advice on avoiding package theft from the Security.org research:
Install a doorbell camera, which is a relatively low-cost deterrent.
Bring packages inside promptly or arrange to have them delivered to a secure location if no one will be at home.
Consider using click-and-collect options when possible.
If the retailer allows you to specify delivery-time windows, consider doing so to avoid having packages sit outside for extended periods.
These steps may sound basic, but they are by no means a given: Fewer than half of Americans consider the timing of deliveries, less than a third have a doorbell camera, and nearly one-fifth take no precautions to prevent package theft, according to the research.
Tech vendors are stepping up to help. One example is
Arrive AI, which develops smart mailboxes for last-mile delivery and pickup. The company says its Mailbox-as-a-Service (MaaS) platform will revolutionize the last mile by building a network of parcel-storage boxes that can be accessed by people, drones, or robots. In a nutshell: Packages are placed into a weatherproof box via drone, robot, driverless carrier, or traditional delivery method—and no one other than the rightful owner can access it.
Although the platform is still in development, the company already offers solutions for business clients looking to secure high-value deliveries and sensitive shipments. The health-care industry is one example: Arrive AI offers secure drone delivery of medical supplies, prescriptions, lab samples, and the like to hospitals and other health-care facilities. The platform provides real-time tracking, chain-of-custody controls, and theft-prevention features. Arrive is conducting short-term deployments between logistics companies and health-care partners now, according to a company spokesperson.
The MaaS solution has a pretty high cool factor. And the common-sense best practices just seem like solid advice. Maybe combining both is the key to a more secure last mile—during peak shipping season and throughout the year as well.
The Boston-based enterprise software vendor Board has acquired the California company Prevedere, a provider of predictive planning technology, saying the move will integrate internal performance metrics with external economic intelligence.
According to Board, the combined technologies will integrate millions of external data points—ranging from macroeconomic indicators to AI-driven predictive models—to help companies build predictive models for critical planning needs, cutting costs by reducing inventory excess and optimizing logistics in response to global trade dynamics.
That is particularly valuable in today’s rapidly changing markets, where companies face evolving customer preferences and economic shifts, the company said. “Our customers spend significant time analyzing internal data but often lack visibility into how external factors might impact their planning,” Jeff Casale, CEO of Board, said in a release. “By integrating Prevedere, we eliminate those blind spots, equipping executives with a complete view of their operating environment. This empowers them to respond dynamically to market changes and make informed decisions that drive competitive advantage.”