US truck driver ranks expand! Enough or not enough…
Whether or not trucking hit bottom in volume or pricing in the summer of 2016, the industry indeed seemed to bounce back regarding trucking employment. Since beating a minimal point in June, motor carriers added 15,600 employees through November; the US Bureau of Labor Statistics’ latest data shows. In November, trucking companies monitored by the BLS added 1,100 personnel to their payrolls, after bringing a modified 6,800 workers on board in October. The influx of fresh workers sent the JOC For-Hire Trucking Employment Index to 101.6 in November, the highest state before or since the 2008 to 2009 recession. The numbers of workers employment brought about further evidence that motor carriers were steadily climbing out of a deep trough at precisely the end of the same year. In November which was the fifth straight month that trucking jobs evolved after a three-month year-over-year reduction in mid-2016.
In October, the Cass Freight Index for shipments, a measure of US domestic freight volume, stood for the very first time on a year-over-year basis in 20 months, climbing 2.7 percentages.
That’s significant extra spending channeled to fill more tractor-trailers. “The winter of the overall freight recession we have experience for over a year-and-a-half in the United States may not be over, but it is showing signs of thawing,” Avondale Partners said in its report on the Cass index.
The overall transportation payrolls improved at the end of 2016, with warehousing industries and transportation adding 8,900 works from October and 60,600 jobs since November 2015, a 1.2% gain. Rail, aviation, and maritime employment in the United States had a slight reduction as at November, although messenger and courier firms and warehouses added more workers.
Warehouse workers expanded their workforce for the 34th month straightly, adding up over three thousand jobs month-to-month in November, as demand for industrial storage space soared. That increase underscores the increment of inventories that helped suppress freight demand and trucking recruitment pursuits in much of 2015 and 2016.
In that case, is there every possibility shortage of drivers become history? That's outrightly far from it. Significantly, trucking is bumping against a hiring ceiling, as the slim year-over-year gains in employment show. Low unemployment and job unraveling in competing companies such as construction mean lesser number of candidates are readily available to fill trucking jobs, mainly long-haul truck drivers.
Over the three months that ended in November, construction businesses added 59,000 jobs, especially in residential construction, the BLS said. Construction employment rose 2.4 percent year-over-year in November. In a sign as to why development might siphon jobs from trucking, the average hourly construction wage rose 3.2 percentages to $26.24 in the penultimate month of the year, and the average hourly transportation and warehousing wage rose 1.4 percent to $21.17.
The space between the average hourly construction and transportation wage widened year-to-year by fifty-one cents, to $5.07. However that’s an improvement from a $5.11 difference in October, it’s a definite advantage for construction companies hiring blue-collar workers.