A.M. Executive Briefing - April 7
This Morning's Headlines:
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Company Sentenced for Violating Out-of-Service Order
Aulenback, a Mexico, Maine, trucking company, has pleaded guilty to violating a federal order designed to keep its trucks off the road and has been sentenced to five years probation and a $50,000 fine.The federal order stated that the company had failed to maintain adequate records, violated federal safety rules, accepted false duty reports, and committed other safety violations. Associated Press (04/07/00)
An Unmistakable Message to West Coast Ports
Shippers and carriers involved in U.S.-Asia trade are rebelling against the West Coast, saying that they will take their cargo elsewhere if the West Coast does not become a reliable service.These shippers and carriers, including China Shipping Group and Evergreen Marine Corp., are planning to use the all-water service from Asia to the East Coast via the Panama Canal. While this route will take several days longer than dropping off the goods on the West Coast and moving them east by truck or rail, the missing trains, terminal congestion, fears of strike, and poor work ethic have made this route a more appealing choice.
For years, many observers thought the West Coast would decline, yet its volume and terminal space have only grown, and it is increasingly difficult for employers to find enough truck drivers and longshoremen to keep up with the growth. But predictions of a decline may finally come true, as major international container lines have begun to launch their all-water services to the East Coast through the Panama Canal. Journal of Commerce Online (04/07/00)
Co-op Web Site Forming for Trucking, Shipping
U.S. Trucking is partnering with Professional Transportation Group Ltd. and Timely Transportation Inc. to form a co-op Web site. The site, which will coordinate exchanges and discounts among logistics and trucking supply companies, is expected to be complete around May 15. Atlanta Journal-Constitution Online (04/07/00)Associated Wholesale Grocers Offer Lease Agreement
A proposal by Associated Wholesale Grocers to lease its trucks to members of the Teamsters' union, which would allow them to operate independently, will probably be rejected by the union.The proposal was made recently by the company to the 1,200 Teamsters locals in Springfield and Kansas City, Kan., who were fired recently after Associated switched to subcontractors to manage its warehousing and trucking divisions.
The problem for the Teamsters is that they would have to work for the subcontractors in order to benefit from the proposal. MSNBC Online (04/06/00)
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