CA trucking groups partner with legislators for self-driving semi requirements bill
Good morning! Happy February 1st & it’s the First Day of Black History Month! This month we take the opportunity to pay homage to the pioneering black individuals and communities who have made significant contributions to our industry and society at large.
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The California standard may be in an evolutionary period. While the Golden State already has rules set in place for self-driving semi trucks weighing under 10k lbs., the CA DMV is workshopping a new rule that could allow these vehicles on the road when they weigh up to 80k lbs. The International Brotherhood of Teamsters, interested in protecting the careers of truck drivers, has wasted no time making friends in the right places. Teamed up with CA Assemblymember Cecilia Aguiar-Curry to push back, new legislation has been announced that would require a human “pilot” in every self-driving vehicle.
Check out today’s featured article from AP News to read about the legislative process surrounding the allowance and piloting of self-driving semis in California and why trucking interest groups are so intent on getting ahead of the game. ☕️
Featured Article:
Self-driving semis focus of California rules, legislation | AP News
“As California regulators explore new rules to put self-driving semi trucks on the road, labor unions are rushing to the state Legislature to ask for a new law they say will protect their jobs — the start of a debate that could shape the future of the nation’s nearly $900 billion trucking industry.”
Mining & US Regulations ⚖️
Copper and gold mines blocked in Alaska by EPA
In an extremely rare turn of events, the United States Environmental Protection Agency vetoed a project in remote southwest Alaska. This project is a blow to mining interests who have supported the proposed Pebble Mine - a copper and gold mine that would be owned and operated by Canada-based Northern Dynasty Minerals Ltd. Environmentalists and Alaskan Native tribes of the area have long-held concerns about the mining operations negatively impacting the world’s largest sockeye salmon fishery located in the region. EPA Administrator Michael Regan followed up on the agency’s decision by reiterating how important it was to avoid further detriment to the environment.
Mining for copper and gold in remote Alaska involves extracting minerals from deposits in remote areas of the state. This typically requires building infrastructure such as roads and ports, as well as drilling, blasting, and excavation to extract the ore. The minerals are then processed on-site or transported to processing plants elsewhere. The harsh climate and remote location of many deposits can pose significant challenges, including harsh weather conditions, difficult terrain, and the need for specialized equipment and personnel. Environmental concerns, such as the impact on wildlife and local ecosystems, also need to be carefully considered and managed.
Labor Unions & Deliveries 📦
UPS union warns of 2023 summer strike if contract agreement isn’t reached by July 31
Approximately 350,000 unionized UPS workers could possibly go on strike this summer if a new contract isn’t agreed upon by the end of July. Teamsters General President Sean O’Brien has advised that the union will not extend negotiations a single day and they expect to win the best contract for its members in terms of wages and benefits. UPS alerted in a statement that the company expects to negotiate a contact from all sides, highlighting its positive relationship with Teamsters.
The Teamsters union making contract negotiations with UPS is important for several reasons:
Representation: The union represents the workers employed at UPS, ensuring their rights and interests are protected during negotiations.
Bargaining Power: By negotiating as a unified body, the union has the greater bargaining power to negotiate better wages, benefits, and working conditions for its members.
Employee Benefits: The union helps secure benefits such as health insurance, pension plans, and job security for its members.
Workplace Standards: The union ensures that workplace standards, including safety and fair treatment, are met and enforced.
Improved Workplace Relations: The negotiation process helps improve relations between employees and management by providing a formal channel for resolving workplace issues and concerns.
Industry-wide Impact: The outcome of the negotiations can have a ripple effect on the larger industry, setting standards for wages, benefits, and working conditions for other companies and workers.
Let’s Get Global 🌎
⛽️ EU’s Russian fuel ban may cause shortages during NY’s peak season. Seasonal gasoline stockpiles are already at a decade-low, and the ban on Russian fuel means that the East Coasts can’t rely on its backup supplies during the peak driving season over the summer. Transportation of gasoline from the Gulf Coast to the East Coast is choked by insufficient pipeline capacity and a likely price spike could bring East Coast gasoline customers back to the $5 mark. Suppliers are likely to start taking creative actions.
♻️ While most companies are pledging net-zero goals, less than half have made operational changes. To ensure companies follow through on their net-zero emissions goals, it may be necessary to increase investment in low-carbon technology, implement government regulations, and increase public pressure on companies to act. Implementing changes to operations that reduce emissions can be expensive and companies may not have the necessary funds to make the necessary changes. Companies may resist making changes to established practices and operations, particularly if they have been successful in the past.
🇨🇳 China’s global impact on the supply chain is beginning to evolve. Overall, China's impact on the global supply chain is significant, both in terms of its role as a major supplier and its ability to influence the flow of goods and resources globally. Speakers at the SMC3 JumpStart 2023 conference held in Atlanta highlighted this, focusing on the country’s strategic importance, technology innovations, and global economic presence that facilitates increased competition for companies operating in international markets.
🔥 What’s up with all the factory fires in 2022? There were 3,609 factory fire alerts in 2022, the most ever recorded in a single year and up 85% year-on-year. Resilinc reports that this was by and large the largest supply chain disruption globally and labor disruptions came in sixth place after mergers, leadership transitions, and factory disruptions. Notably, the strike at the United Kingdom’s port of Felixstowe and the Foxconn strikes in Zhengzhou, China severely disrupted iPhone sales over the holiday season.
iLevel With You 🏡
More topics for the average American household to consider…
✈️ Boeing’s 747 jumbo jets have been taken off the line. The plane model will no longer be built as more fuel-efficient planes with only two engines instead of four have become the new standard. The Boeing 747 is a large, wide-body commercial airplane that first flew in 1969. It has four engines and a distinctive hump-shaped upper deck that makes it recognizable. It was initially marketed as a passenger jet but later versions were also used for cargo and military purposes. The 747 revolutionized air travel and is considered one of the most successful airliners of all time.
👖 You aren’t the only one waiting on your new Levi’s. The retailer has placed the blame on capacity constraints at U.S. distribution centers, citing that the company’s ending inventory had increased 58% year over year. CEO Chip Bergh told analysts that Levi’s anticipates the levels to reach normality by the end of the second quarter. There have been vocalized concerns that the denim market has been weakening, but skinny jeans have been performing well.
💪 Labor unionization efforts are growing. Under the extremely pro-union Biden Administration, the number of Americans that approved of labor unions has sky-rocketed to 71%, according to a recent Gallup poll. Companies can prepare for the potential unionization of their workforce by understanding labor laws, fostering open communication, providing competitive benefits, and building relationships with employees. Consult with legal or HR experts to ensure compliance with labor laws and best practices in preparing for potential unionization.
🛣️ Highways: to expand them or repair them? The DOT has been issuing rounds of federal grants for highway repair, and some critics have accused the Biden Administration of sidelining projects meant for expanding highly congested areas, such as the 26-mile section of the I-10 between Phoenix and Tucson, Arizona. Whether federal grants should favor highway repair over expansion is a matter of debate and policy preference. Proponents of repairing existing highways argue that this is a more pressing and cost-effective use of resources, while those in favor of expanding highways argue that it is necessary for economic growth and to meet the increasing demand for transportation.
Get Smart 🧠
Ramp up that brain power for these advanced topics…
🚛 Cross-Border 3PL decisions matter. The 3PL should have a deep understanding of the customs, regulations, and logistics requirements of the countries involved, mastering expertise and experience in cross-border logistics. A cross-border 3PL should also have a strong network and infrastructure in the countries where the company operates, which can ensure efficient and reliable delivery of goods. Also, the overall costs of using a 3PL, inclusion fees, transportation costs, and potential savings from reduced in-house resources can make all the difference.
🤖 Indoor drones have been introduced to Maersk warehouses. New Jersey-based Maersk North America will deploy a fleet of robotic flying cameras to assist with warehouse inventory management at great heights that pose a danger to human workers. Switzerland’s Verity, a start-up firm that developed autonomous drones, will be partnering with Maersk to launch the devices which will cruise warehouses on the weekends to collect data. Maersk says the new system will require human operator training and will innovate the workplace.
🏎️ Speed limiters are all the rage. Opinions on speed limiters in the trucking industry are mixed. Some believe that limiting the speed of trucks to 65 mph would improve safety and reduce fuel consumption, while others argue that it would negatively impact delivery times and lead to increased congestion on roads. The trucking industry is divided on the issue, with some companies in favor of speed limiters and others opposed.
The Workday Dash is an aggregation of articles regarding the transportation logistics, trucking, and supply chain industries for November 28, 2024, from iLevel Logistics Inc.