Truck Stops

05/20/09

Trucking Companies Struggle


Category: Trucking News
Posted by: techman

According to the American Trucking Association, more than 3,000 trucking companies went out of business in 2008, taking seven of every 100 trucks off the road.

Larger firms, such as Roehl Transport, 1916 E. 29th St. in Marshfield, are weathering the recession, but Roehl, too, has fewer trucks on the road.

"We certainly feel the effects of the larger economy, but we have a very widespread and diverse customer base," said Greg Koepel, Roehl vice president of work force development and administration.

Roehl uses a variety of trucks for hauling cargo. That means the company can transport specialty products such as refrigerated or frozen goods.

"We can acquire freight that others can't," Koepel said. "But I know there's been thousands of companies with five or more trucks that have left the business."

The economic downturn hasn't just affected the number of trucking jobs available -- it has wreaked havoc on what companies pay truckers to ship goods, said Tom Howells, president of the Wisconsin Motor Carriers Association, which has about 1,100 members.

"There's less freight, which means it's more competitive, which means the rates go down," Howells said.

As more companies compete for the same loads, there's a strong downward pressure on pricing, Koepel said. Roehl, however, continues to hire and train new drivers in anticipation of an economic rebound, he said.

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