✈️ Southwest's Heavy Fine
Good morning! Welcome to "The Workday Dash" on Tuesday, December 19th! As we kick off the week, let's not forget to take a moment to appreciate the little joys of life. Today is "Look for an Evergreen Tree Day," a gentle reminder that amidst the hustle and bustle of supply chain and logistics, there's still room for a touch of nature's evergreen serenity.
So grab your coffee, embrace the holiday spirit, and let's dash into the day's news! 🌲❤️
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Southwest Airlines Hit with Record $140 Million Fine Over Customer Complaints
The U.S. Department of Transportation is hitting Southwest Airlines with a massive $140 million fine for breaking the rules during a big winter weather mess last year. This fine, way bigger than anything the DOT has ever handed out for customer issues, includes $35 million in cash paid to the government over three years and a fund to make up for any future passengers who get messed up by the airline's actions.
The Transportation Secretary, Pete Buttigieg, is making it clear that airlines can't just leave passengers hanging. Southwest got in trouble for not helping people out enough, not telling them about changes in time, and taking forever to give back their money. Last year, they canceled nearly 17,000 flights during the holidays, which cost them over $1 billion - including more than $600 million in customer refunds.
Check out today’s featured article from CNBC to learn more about the fines that were handed to Southwest Airlines and why it was so much money. Will this be detrimental to Southwest and its standings?
Featured Article
Southwest fined $140 million for last year’s holiday meltdown | CNBC
“Southwest Airlines reached a settlement with the U.S. Department of Transportation for a $140 million fine over last year’s holiday meltdown.”
Canada & EV
Canada Set to Announce 2035 Deadline for All-Electric Vehicle Sales Mandate
Canada is getting serious about electric vehicles by introducing the Electric Vehicle Availability Standard. This new regulation will push for all cars sold in Canada to be zero-emissions by 2035. It's all about making sure there are enough EVs on the road and reducing wait times for them. To do that, they're setting targets: 20% of new cars need to be EVs by 2026, 60% by 2030, and by 2035, it's a full EV house with 100%.
Car manufacturers will earn credits for selling EVs - and the more EVs they sell, the more credits they earn. They can also get credits for helping out with EV charging stations. Get ready for a greener Canadian road ahead!
Storms & Alerts
Mid-Atlantic Coast Hit by Massive Storm, Disrupting Holiday Plans and Causing Power Outages
A huge storm put a damper on things along the mid-Atlantic coast, messing with about 59 million people from Virginia to Maine. Flood alerts were rampant, and around 200,000 homes and businesses lost power. If you were planning to jet off for the holidays, well, you might have been stuck at the airport with delays and cancellations.
The National Weather Service is saying there's still a little risk of too much rain in New England, but the worst of it should be over as the storm heads for Canada. That said, folks around the Great Lakes might be in for some snow, and there could be more of it in the Appalachians until Wednesday.
Let’s Get Global 🌎
Checking out the scoop outside of the United States…
✈️ Air China Cargo Receives First A330 Converted Freighter. Air China Cargo just got its hands on its first Airbus A330-200 turned into a cargo plane, and there are more to come. They're planning to do this with eight used Airbus passenger planes to haul goods around. Air China Cargo already has a few Boeing cargo planes in its squad, and they're saying goodbye to four Boeing 757-200s as they bring in these A330s.
💰Japan's Nippon Steel to Acquire U.S. Steel in $14.9 Billion Deal. Nippon Steel is splashing out $14.9 billion to snag U.S. Steel in a cash deal, and they beat out some tough competition. They're shelling out $55 per share, which is way more than what Cleveland-Cliffs offered a while back. This move is all about Nippon Steel boosting its steel game in the U.S. and getting ready for more car manufacturing action. The deal should be sealed sometime in the second or third quarter of 2024, as long as everyone gives it the thumbs-up.
iLevel With You 🏡
More topics for the average American household to consider…
👨🏽💼 Gucci Appoints Massimo Vian as Head of Industrial Operations and Supply Chain. Massimo Vian, who's got a solid track record in the luxury business, is hopping on board with Gucci next month. He's taking the wheel on the industrial operations and supply chain operations, making sure everything runs smoothly for things like leather goods, shoes, clothes, and bling. Vian is bringing his 13 years at Luxottica and some time at Prada to the Gucci gang.
🛍 Shein and Temu Drive 5% Air Freight Spike in November. In November, air cargo saw a 5% boost in business, thanks mostly to online shopping. People love shopping online, and it's keeping the cargo planes busy. But, there's a catch - when you're shipping cheap stuff worldwide, it can get tricky to make it all work and still turn a profit.
🍺 Survey Reveals Alarming Lack of Awareness About Drink Driving Limits Among Motorists. A recent survey by driver risk management and road safety training provider TTC found that 10% of respondents admitted to knowingly driving over the legal alcohol limit. With the holiday season around the corner, fleet drivers must grasp the significance of responsible driving, particularly regarding alcohol and drugs. The survey also highlighted a lack of awareness about regulations and penalties, as one in four motorists didn't know the legal drink drive limit, and 64% mistakenly believed that a first conviction could lead to a short six-month driving ban.
Get Smart 🧠
Ramp up that brain power for these advanced topics…
🛳 MSC Ships Divert from Red Sea Amid Increasing Trade Disruptions. The world's largest container line, MSC, is following suit with its competitors and rerouting its ships away from the Red Sea due to concerns about Houthi rebel attacks from Yemen. Following the recent attack on the MSC Palladium III, the company has announced its decision to suspend all transportation through the Red Sea until conditions improve and it becomes safe.
💵 Warren Buffett's $375 Billion Portfolio. Warren Buffett's investment strategy is all about choosing solid stocks and sticking with them as long as they stay strong. He's big on dividend-paying stocks, even though his company, Berkshire Hathaway, doesn't pay dividends itself. It's interesting to note that a major chunk of Berkshire's investments, about 57.7%, is tied up in just two stocks. The biggest one is Apple, which they started investing in back in 2016. Since then, it's grown like crazy, with its stock price going up 627% and the quarterly dividend payout rising by 68%. Even though Apple's dividend yield is pretty modest at 0.5%, because Berkshire owns so much of it, they're still raking in a substantial $220 million in quarterly dividends, expected in February.
🚛 Acceptance Grows for Driver-Assistance Technology. Drivers are getting the hang of and are cool with those fancy driver-assist gizmos like lane warnings, crash prevention, and cruise control that can change speeds. Fleet companies like Penske Logistics and C.R. England are putting money into safety tech and chatting with their drivers about why it's awesome. Turns out, whether you're a seasoned driver or a newbie, most folks are into these gadgets now. They see how it can cut down on accidents and make the roads safer.
The Workday Dash is an aggregation of articles regarding the transportation logistics, trucking, and supply chain industries for November 22, 2024, from iLevel Logistics Inc.