Carriers Shut Down, Others Struggle to Get Compliant as ELD Mandate Goes into Effect

Carriers and shippers braced themselves Monday as the long awaited electronic logging device (ELD) mandate went into effect and already, its effects are being noticed.

In a recent interview, Univar told TranzAct Technologies that three of their carriers had already shut down due to the mandate, citing cost as one of the issues (you can listen to the interview here).  According to the Federal Motor Carrier Safety Administration, the installation and maintenance of ELDs will cost the trucking industry around $975 million a year while the additional trucks and drivers needed to comply will cost nearly $604 million per year.(1)  The increased costs and tightened capacity (which said to decrease 2-8% for carriers) will increase freight rates across the industry.

Although the ELD mandate is now in effect, several carriers and customers with in-house fleets still have not acquired or installed the devices and are asking for guidance on ELD purchases.  In fact, a recent survey conducted by HELP Inc. between November 30th-December 5th, consisting of 1,620 respondents, showed that 49% of carriers, drivers, and owner-operators did not even select an ELD yet, while 18% did select but have not installed them.(2)

68% of those who had not currently installed an ELD stated that they are not going to prior to the Dec. 18th effective date, with 31% of them not planning on installing them at all, stating cost as the main reason.(2)

ELDs – Road Scholar Transport’s Preparedness:

*Road Scholar Transport has had ELDs installed in all tractors since September of 2016.

*Currently we are 100% compliant with drivers utilizing ELDs.

*We have been reviewing repeat / routine moves for our major customers and adjusting operations and dedication of certain driver resources to ensure post ELD service levels.

ELDs – We are here to work with you:

*We may want to work together on limiting or adjusting overnight appointments that can help guarantee success.

*Can we talk about any additional visibility and coordination of regular moves/schedule ahead of time?

*What else do you have?  If you combine shipments and/or utilize the same carrier for inbound and outbound shipments you will help maximize hours-of-service.  Talk to us about drop and hook opportunities. 

*Spotted equipment will definitely help!  Do you have ELD concerns?  We can move quickly and do an assessment of your current requirements regardless of carrier and let you know what might be a problem.

Similar topics:

Carriers Say Goodbye to Shippers who Detain Drivers

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ELD Violations Will Not Affect CSA Scores Until April, Group Asks for HOS Extension for Detained Drivers

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