Well the time has finally come. The DOT has published the E-log mandate's details we've all been wondering about and have announced the mandate will take effect on December 11th 2017. This means paper logs alone will no longer be enough. There has been so much confusion that several trucking magazines even inaccurately reported that the legislation will not affect trucks built before the year 2000, when in fact it will.
This news comes as capacity is already tight and the driver shortage is only getting worse. It's hard to find a silver lining as this legislation feels like a direct attack against smaller carriers and owner-operators as well as medium sized carriers who are already having a tough time convincing new drivers and veterans to continue driving or to join their ranks. Is there a silver lining? The greater trucking industry will answer that.
We believe connecting shippers with carriers and smaller brokers who are taking care of their carriers will be helpful in continuing to support the 90%+ of trucking companies who are at the 10 trucks or smaller mark in fleet sizes. Although there is almost two full years to prepare for the legislation, many smaller carriers and owner-operators are already grumbling about preparing to leave the industry when the clock strikes midnight and the mandate goes into full effect.
One 'positive' area could be carriers and owner-operators who have already been using ELD or E-logging technology in their current fleets will have an even more stable economic sphere to operate within if the worst actually happens and we see a huge shedding of smaller carriers leaving the industry. Education and support from trucking associations about the new legislation is one area we think is a great opportunity in 2016 and could help smaller carriers prepare for the mandate.
Leaving 2015 on a more positive note, smaller carriers are seeing new and increased revenues in direct shipper interactions, contract lanes won via online marketplaces and are leveraging other new technology to improve their prospects and continue to modernize. You can count on ComFreight to be there in 2016 for you with more shippers and more business to support your growth as a smaller logistics company.
You can read more Here on Overdrive online's coverage about the topic.
If you intend to get compliance going sooner than later and need some temporary help with financing to get your trucks equipped just send us a quick email and we can connect you with our financing partner to help you out asap. [email protected]
Happy holidays and all the best in the New Year!
Steve Kochan, Founder & CEO at ComFreight.com
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