Skip to content
Search AI Powered

Latest Stories

Demand for drivers on the rise in foodservice industry

Distributors are starting to feel the pinch for truck drivers as business picks up; industry groups hopeful for reintroduction of the DRIVE-Safe Act.

Demand for drivers on the rise in foodservice industry

Business is picking up in the foodservice industry as restaurant restrictions ease and the distributors that supply them focus on diversifying their business, but the progress is giving way to a problem that had largely disappeared last spring: a lack of available candidates for the industry’s truck-driving jobs.

Lockdowns in the early days of the pandemic had created an abundance of drivers, as business dropped off and distributors cut back on routes. But as conditions improve, industry watchers say the need for drivers is becoming acute once again and is drawing attention to previous efforts to attract talent.


“Business has slowly come back, and the industry is doing well,” said Mark Allen, president and CEO of the International Foodservice Distributors Association (IFDA), which represents distributors that sell food and related supplies to restaurants, schools, hospitals, and other institutions. “We thought there would be a reprieve—that we’d not need drivers so quickly.”

But as early as January, Allen said more and more distributors were having trouble finding enough drivers to accommodate growing demand for deliveries.

“[Some are] pulling routes back [and] turning business down in some instances because they don’t have the capacity,” he said. “It’s a very real issue.”

IFDA has worked with the American Trucking Associations (ATA) on research and lobbying efforts related to what they refer to as a nationwide truck-driver shortage. The groups estimate there will be a shortage of about 160,000 drivers by 2028 and that the industry will need to hire about 1.1 million drivers over the next 10 years to keep pace with turnover and retirements, Allen said. 

Both groups support the DRIVE-Safe Act, a bipartisan bill last introduced in Congress in 2019 that proponents say will help companies attract younger drivers to the industry. 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. The DRIVE acronym stands for Developing Responsible Individuals for a Vibrant Economy. Proponents say it will open doors to new career paths for younger workers.

“What we find is, if we lose [young people] to construction, plumbing, and electrical [trades], it’s hard to make them switch [to driving],” Allen explained, adding that he’s hopeful the DRIVE-Safe Act will be reintroduced in the new Congress, where he says it has support from Sen. Todd Young (R-Ind.) and others.

“They see it as a jobs issue, as a way to provide younger people with well-paying jobs that provide benefits and get them into a growing profession—without getting into college debt,” he said.

Paul Saval, CEO of foodservice distributor Saval Foods, agrees there’s a long-term need for a new generation of truck drivers, but he says demand may be most acute in the coming months, when business traditionally picks up in the spring. He says his company hadn’t felt a crunch for drivers until late January.

“This is definitely a challenge for our industry,” said Saval, whose company serves customers throughout the mid-Atlantic. “Once the economy starts to crank up again we’ll be right back in it.”

Saval and Allen point to some unique challenges facing foodservice industry drivers, including the need to load and unload trucks themselves and deliver products to kitchens and back-of-house restaurant operations—physical tasks that can put them in close contact with customers. Saval pointed to industry efforts to prioritize drivers for Covid-19 vaccination as an important step to helping close the hiring and retention gap. At the same time, he said the industry’s need for drivers to handle regular routes, as opposed to long-haul assignments, helps offset some of those issues.

“They are home at night,” rather than on the road for long stretches of time, he said. "And they gain relationships with customers. Especially in normal times, they interact quite a bit and get the chance to build relationships."

More broadly, the rapid acceleration of e-commerce and increasing volume of products flowing through the supply chain are creating a more competitive driver landscape that is likely here to stay, Allen said.

“The larger issue [is that] the last mile is finally getting its due as an incredibly important part of the supply chain,” he said. “We’re competing with B2C [business-to-consumer] companies for drivers and warehouse personnel, and with the retail grocery [industry]. There is a lot of competition.”

The Latest

More Stories

screenshot of map of shipping risks

Overhaul lands $55 million backing for risk management tools

The supply chain risk management firm Overhaul has landed $55 million in backing, saying the financing will fuel its advancements in artificial intelligence and support its strategic acquisition roadmap.

The equity funding round comes from the private equity firm Springcoast Partners, with follow-on participation from existing investors Edison Partners and Americo. As part of the investment, Springcoast’s Chris Dederick and Holger Staude will join Overhaul’s board of directors.

Keep ReadingShow less

Featured

Report: Five trends in AI and data science for 2025

Report: Five trends in AI and data science for 2025

Artificial intelligence (AI) and data science were hot business topics in 2024 and will remain on the front burner in 2025, according to recent research published in AI in Action, a series of technology-focused columns in the MIT Sloan Management Review.

In Five Trends in AI and Data Science for 2025, researchers Tom Davenport and Randy Bean outline ways in which AI and our data-driven culture will continue to shape the business landscape in the coming year. The information comes from a range of recent AI-focused research projects, including the 2025 AI & Data Leadership Executive Benchmark Survey, an annual survey of data, analytics, and AI executives conducted by Bean’s educational firm, Data & AI Leadership Exchange.

Keep ReadingShow less
aerial photo of port of miami

East and Gulf coast strike averted with 11th-hour agreement

Shippers today are praising an 11th-hour contract agreement that has averted the threat of a strike by dockworkers at East and Gulf coast ports that could have frozen container imports and exports as soon as January 16.

The agreement came late last night between the International Longshoremen’s Association (ILA) representing some 45,000 workers and the United States Maritime Alliance (USMX) that includes the operators of port facilities up and down the coast.

Keep ReadingShow less
Logistics industry growth slowed in December
Logistics Managers' Index

Logistics industry growth slowed in December

Logistics industry growth slowed in December due to a seasonal wind-down of inventory and following one of the busiest holiday shopping seasons on record, according to the latest Logistics Managers’ Index (LMI) report, released this week.

The monthly LMI was 57.3 in December, down more than a percentage point from November’s reading of 58.4. Despite the slowdown, economic activity across the industry continued to expand, as an LMI reading above 50 indicates growth and a reading below 50 indicates contraction.

Keep ReadingShow less
pie chart of business challenges

DHL: small businesses wary of uncertain times in 2025

As U.S. small and medium-sized enterprises (SMEs) face an uncertain business landscape in 2025, a substantial majority (67%) expect positive growth in the new year compared to 2024, according to a survey from DHL.

However, the survey also showed that businesses could face a rocky road to reach that goal, as they navigate a complex environment of regulatory/policy shifts and global market volatility. Both those issues were cited as top challenges by 36% of respondents, followed by staffing/talent retention (11%) and digital threats and cyber attacks (2%).

Keep ReadingShow less