Unless there is another delay, on December 18th, 2017 the Federal Motor Carrier Safety Administration (FMSCA) will require all motor carriers to have ELD’s installed on their tractors. The FMSCA states “The ELD rule applies to motor carriers and drivers who are currently required to keep records of duty service (RODS) on paper or with an Automatic Onboard Recording Device (AOBRD) under the hours-of-service (HOS) regulations.” Most shippers have heard of the projections regarding truck capacity being reduced due to paper log drivers being no longer able to “game” the system as well as  small trucking companies and owner operators either unwilling or unable to comply with the mandate.  Shippers need to be proactive NOW with their carriers by asking for  ELD compliance plans.   Shippers that are conducting or will conduct RFP’s or RFQ’s should require all participants to outline  ELD compliance plans and when do they anticipate being compliant which is comparable to shippers wanting  carriers to be Smartway Certified in order to participate in a bidding event.

My good friend, Ross Cook, EVP Sales, Gordon Trucking(division of Heartland Express) stated in a  comment to an update I posted on Linkedin: ”  Many acknowledge that a carrier on paper logs is still getting between 150-300 more miles/week than an ELD compliant operation. Given that most OTR drivers are paid by the mile, there’s definitely a large potential disparity at present between the earnings of the two drivers. Once the ELD mandate becomes effective, that will result in a sizable income drop for paper log runners. And that could cause a real plummet in driver capacity (or a massive shift in pay for some which will be questionable).”  

Shippers, should be having the conversation with carriers on ELD compliance right now.

Joe Lombardo, NGNF (nice guy, no freight)

 


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