π Michigan's Truck-cellent School
Good morning! Welcome to this edition of the Workday Dash! Today, we're bringing a touch of flavor to the industry as we celebrate National Hot Dog Day. While we may be accustomed to discussing the complexities of global trade and supply chain optimization, it's always refreshing to take a moment and appreciate the lighter side of things.
So, let's relish the opportunity to dive into the world of logistics on this special occasion. π
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Washtenaw Community College (WCC) in Ann Arbor, Michigan, is expanding its training program for student truckers due to the high demand for more drivers and the program's popularity. The course, sponsored by Trainco Inc., has seen significant success, with nearly 40 students graduating in the 10 months since its inception, and 37 of them already offered jobs. The program offers a comprehensive CDL-A training program, and the college is adding a second instructor to accommodate the growing number of students.
With a waiting list to enroll, the program has become a community-based entry point for individuals considering a career in the trucking and transportation field. The trucking industry is facing a projected driver shortage, making training programs like this crucial in meeting workforce development needs.
Check out todayβs featured article from TT News to learn more about the Michigan school that is teaching Community College students how to drive big rigs. Will this start a brand new degree/ class in colleges or trade schools? Is this the starting of a snowball effect?
Featured Article:
Michigan School Finds Success Training Student Truckers | TT News
βAn Ann Arbor, Mich., community college says the demand for more truck drivers and the popularity of its training program are the main reasons why a course sponsored by Trainco Inc. and hosted by Washtenaw Community College is expanding.β
Railroad & Safety
Union Pacific Railroad to Test Conductors in Trucks as it Renews Push for 1-Person Crews
Union Pacific (UP) is set to resume its efforts to implement one-person train crews by conducting a pilot program in Nebraska and Colorado. While UP will continue to utilize two crew members during the test, the success of the program could strengthen its case for reducing crew sizes in future negotiations. The railroad aims to have a conductor in a truck respond to train problems, comparing their response time to that of a conductor on the train. The results of the pilot program will inform UP's decision-making and potentially shape the future of crew sizes within the industry.
Although union officials express concerns about safety and oppose reducing crew sizes, UP believes that advancements in technology and removing conductors from trains could enhance efficiency and improve the quality of life for employees. The railroad plans to reintroduce the concept of one-person crews in the next contract negotiations, which begin in 2025. The issue of crew sizes has gained significant attention nationwide, with several states passing laws requiring two-person crews. The Federal Railroad Administration is also considering a proposed rule on crew sizes, while members of Congress have proposed similar requirements as part of rail reforms.
Safety & Driver Issues
NTSB Investigates Fatal Bus Collision with Parked Trucks on Ramp
The National Transportation Safety Board (NTSB) is investigating a tragic bus collision with three parked tractor-trailers on an exit ramp near Highland, Illinois. The crash resulted in the death of three bus passengers and caused serious injuries to others. The NTSB's investigation will focus on why the trucks were parked on the entrance ramp rather than in the designated rest area. Finding safe truck parking is often a challenge for drivers, as highlighted in the 2019 Jason's Law Report. The NTSB, alongside law enforcement and the Federal Motor Carrier Safety Administration, is conducting a safety investigation into the incident. The final NTSB report is expected to be released within the next 12 to 24 months.
During a media briefing, NTSB board member Tom Chapman stated that they are particularly interested in issues related to rest area safety, bus occupant protection, potential driver fatigue, and medical fitness. The NTSB will closely examine the circumstances surrounding the location of the parked trucks and make recommendations if deemed necessary. The investigation will also involve reviewing camera footage from the bus to gather more information about the crash. While the full investigation will take some time, the NTSB has the authority to issue emergency safety recommendations if necessary during the early stages of the investigation.
Letβs Get Global π
Checking out the scoop outside of the United Statesβ¦
πͺπΌ U.S. and EU Collaborate to Reduce Asia's Dominance in the Global Semiconductor Market. The U.S. and EU are taking steps to lessen Asia's stronghold on the global semiconductor market. With the shift of semiconductor manufacturing operations to major Asian countries, the U.S. and Europe have faced challenges in maintaining competitiveness. However, increasing demand for sophisticated semiconductors and supply chain disruptions have highlighted the need for the U.S. and EU to enhance their manufacturing capabilities in this critical technology sector. To address these concerns, Congress passed the CHIPS and Science Act, aiming to reduce reliance on Asian nations, stimulate innovation, and boost competition in the semiconductor market. The act provides incentives such as tax breaks, federal grants, and investments in research and development. Major multinational brands like Samsung and Intel have announced chip manufacturing locations in the U.S., while Europe has also been exploring legislation similar to the CHIPS Act, albeit at a slower pace.
πΎ The Expiration of the Black Sea Grain Deal. The expiration of the Black Sea grain deal, which allowed Ukraine to export grain via the Black Sea, is a significant development with implications for global food prices and the World Food Programme (WFP). Ukraine is a major producer of grains and oilseeds, and the deal helped alleviate global food prices during the Russia-Ukraine conflict. However, with Russia suspending its participation in the deal, prices for grains and oilseeds have already risen, potentially leading to higher prices for staple foods. The global food crisis is not yet resolved, with the WFP highlighting the largest and most complex hunger and humanitarian crisis in over 70 years. Global corn stocks were initially low, but increased exports from Brazil have helped boost supplies. Wheat stocks, however, remain tight. The WFP heavily relies on grain purchases, with Ukraine being a top source. If the corridor for grain shipments through the Black Sea becomes inoperable, the WFP will need to seek alternative sources at potentially higher costs.
iLevel With You π‘
More topics for the average American household to considerβ¦
π Debunking Claims of Autonomous Vehicle Companies. The United States is experiencing a concerning rise in traffic fatalities while other countries are seeing a decline. Autonomous vehicle (AV) companies claim that their technology is the solution to improving road safety, but this perspective is misleading. While AVs may eliminate certain human errors, they can make their own mistakes, and their widespread implementation is still far in the future. Instead, immediate actions such as redesigning roads, reducing speed limits, implementing automatic enforcement cameras, and investing in public transportation can have a significant impact on reducing crash deaths. The emphasis on AVs as the ultimate solution serves the interests of the auto industry and distracts from more effective strategies.
β½οΈ U.S. Diesel Prices Remain Steady at $3.806 per Gallon. The national average price of diesel fuel in the United States remained unchanged at $3.806 per gallon for the week of July 17, according to the U.S. Energy Information Administration (EIA). This comes after a slight increase of 3.9 cents per gallon the previous week. The stability in diesel prices contrasts with the volatility experienced in the past year. Gasoline prices also saw a marginal increase, with the national average at $3.559 per gallon, up 1.3 cents from the previous week. The EIA data shows that diesel prices are significantly lower compared to the same time last year, while gas prices are 93.1 cents cheaper.
π° Automated Storage & Retrieval System Revenues Set to Exceed $15 Billion by 2030 as Supply Chains Address Vulnerabilities. Investment in warehouse automation and management systems is on the rise as supply chains seek to address vulnerabilities and enhance resilience. According to ABI Research, revenues for Automated Storage & Retrieval Systems (AS/RS) are projected to surpass $15 billion globally by 2030, while Warehouse Management Systems (WMS) revenues are expected to exceed $10 billion in the same period. The global supply chain challenges of recent years, including labor constraints and inventory management issues, have highlighted the importance of digitalization and inventory restructuring. Leading automation providers such as AutoStore, Ocado, and Swisslog, along with Autonomous Mobile Robot (AMR) vendors like inVia Robotics, Locus Robotics, and Vecna Robotics, are driving the adoption of structural automation.
Get Smart π§
Ramp up that brain power for these advanced topicsβ¦
π Surging Frozen Food Demand Poses Challenges for Critical Cold Storage Supply Chains. The surging demand for frozen food in the United States puts pressure on critical cold storage supply chains. With frozen food sales reaching over $72 billion in 2022, and continued growth expected, the need for more storage capability and efficient supply chains is evident. The COVID-19 pandemic further emphasized the importance of frozen foods, as they can be stored for extended periods. However, the existing cooling and refrigeration infrastructure relies on outdated mechanical systems, leading to food waste and inefficiencies. Disruptor 50 companies like Phononic and Lineage Logistics are working to address these challenges by developing innovative solutions and optimizing the cold chain to ensure food safety and reduce waste.
π June Indicates Spot Rates Have Reached Their Lowest Point. DAT Freight & Analytics reports that truckload freight volumes and spot rates remained steady in June, while contract rates reached their lowest levels in nearly two years. The narrow gap between spot and contract rates suggests that spot truckload prices have hit the bottom of the current freight cycle. The DAT Truckload Volume Index (TVI) showed marginal changes for van and refrigerated freight, while flatbed loads experienced a slight increase. Spot rates for van and reefer freight increased, while the flatbed rate declined. Load-to-truck ratios reflected seasonal demand, with lower ratios compared to the same period last year. The threat of strikes in the parcel and less-than-truckload sectors could impact demand for truckload services in the coming months.
π€― House Committee Weighs Fiscal 2024 Bill: Key Priorities and Discussions. The transportation funding committee in the U.S. House of Representatives will consider a fiscal 2024 transportation bill, which would allocate $90.2 billion for the Departments of Transportation and Housing and Urban Development. While the bill was advanced by a subcommittee, Democrats expressed opposition, stating that it falls short of meeting the needs of Americans. The bill includes funding for various agencies, including the Federal Motor Carrier Safety Administration. Meanwhile, the Senate is also working on its version of the transportation appropriations bill in a bipartisan manner. The fiscal-year funding authority for federal agencies requires renewal by October 1 to avert a partial government shutdown.
The Workday Dash is an aggregation of articles regarding the transportation logistics, trucking, and supply chain industries for November 27, 2024, from iLevel Logistics Inc.