FedEx Freight | UPS to start layoffs

Looking more and more like LtL is the place to be. Regardless of company.

I don't see Amazon wanting a piece of the LtL pie. From a investment standpoint, there's just not enough profit to be had, relative to other forms of logistics. Even if they bought the top 3 LtL companies AND managed to maintain their current profit levels, it's still small compared to what they can reap from investing in their own current model.


Flipside is that Amazon could buy EVERY LtL co and barely bat an eye. Companies with lots of cash on hand take risks, and write off the damage if it's a flop.
I do think illegal labor will be a factor with household deliveries. There simply aren't enough humans available. Not saying Amazon will hire illegals, only that future policy could make them legal. Amazon knows they'll be facing a labor shortage.

As for LtL, I don't see it as a threat. There's a huge difference between a step van, and a class A rig pulling a set. While I have little faith in our gov at any level, I don't see the DOT allowing anyone to bypass current qualifications to haul haz-mat, and operate the big rigs.
 
Fortunately Amazon can’t hire any teenager off the street with a regular class c license and no endorsements if they ever start doing LTL.
Correct. Idk if any of you remember but Amazon first started with hauling those white non branded doubles.. they clearly saw the challenge in hiring qualified CDL Class A doubles driver.. they quickly went and purchased all blue 53 ft dry vans and sold off their equipment. Ground is slowly trying to do the same thing and use more vans.

Amazon will stay in their lane and focus on their main business model. Ground will be affected but not us so much
 
Looking more and more like LtL is the place to be. Regardless of company.

I don't see Amazon wanting a piece of the LtL pie. From a investment standpoint, there's just not enough profit to be had, relative to other forms of logistics. Even if they bought the top 3 LtL companies AND managed to maintain their current profit levels, it's still small compared to what they can reap from investing in their own current model.


Flipside is that Amazon could buy EVERY LtL co and barely bat an eye. Companies with lots of cash on hand take risks, and write off the damage if it's a flop.
I do think illegal labor will be a factor with household deliveries. There simply aren't enough humans available. Not saying Amazon will hire illegals, only that future policy could make them legal. Amazon knows they'll be facing a labor shortage.

As for LtL, I don't see it as a threat. There's a huge difference between a step van, and a class A rig pulling a set. While I have little faith in our gov at any level, I don't see the DOT allowing anyone to bypass current qualifications to haul haz-mat, and operate the big rigs.
Regarding haz mat qualifications (or most any other requiring a test), modern thinking is that if you can't pass a test, the test is unfair and must be made easier. :duh:
 
Looking more and more like LtL is the place to be. Regardless of company.

I don't see Amazon wanting a piece of the LtL pie. From a investment standpoint, there's just not enough profit to be had, relative to other forms of logistics. Even if they bought the top 3 LtL companies AND managed to maintain their current profit levels, it's still small compared to what they can reap from investing in their own current model.


Flipside is that Amazon could buy EVERY LtL co and barely bat an eye. Companies with lots of cash on hand take risks, and write off the damage if it's a flop.
I do think illegal labor will be a factor with household deliveries. There simply aren't enough humans available. Not saying Amazon will hire illegals, only that future policy could make them legal. Amazon knows they'll be facing a labor shortage.

As for LtL, I don't see it as a threat. There's a huge difference between a step van, and a class A rig pulling a set. While I have little faith in our gov at any level, I don't see the DOT allowing anyone to bypass current qualifications to haul haz-mat, and operate the big rigs.
The special exemptions are working well in the oil field.
Latest is that Nitrogen and Hydrogen does not need a Has- Mat endorsement on CDL.
You still need the paper work to transport and orange placard .
No CDL if transport pressure is below 4 pounds and trailer has a highway valve to bleed off in transit.
Find it in black and white... Good luck
Kind of like the ORMD of the chemical world.
 
Looking more and more like LtL is the place to be. Regardless of company.

I don't see Amazon wanting a piece of the LtL pie. From a investment standpoint, there's just not enough profit to be had, relative to other forms of logistics. Even if they bought the top 3 LtL companies AND managed to maintain their current profit levels, it's still small compared to what they can reap from investing in their own current model.


Flipside is that Amazon could buy EVERY LtL co and barely bat an eye. Companies with lots of cash on hand take risks, and write off the damage if it's a flop.
I do think illegal labor will be a factor with household deliveries. There simply aren't enough humans available. Not saying Amazon will hire illegals, only that future policy could make them legal. Amazon knows they'll be facing a labor shortage.

As for LtL, I don't see it as a threat. There's a huge difference between a step van, and a class A rig pulling a set. While I have little faith in our gov at any level, I don't see the DOT allowing anyone to bypass current qualifications to haul haz-mat, and operate the big rigs.
well said
 
The special exemptions are working well in the oil field.
Latest is that Nitrogen and Hydrogen does not need a Has- Mat endorsement on CDL.
You still need the paper work to transport and orange placard .
No CDL if transport pressure is below 4 pounds and trailer has a highway valve to bleed off in transit.
Find it in black and white... Good luck
Kind of like the ORMD of the chemical world.
It's doable in the oilfield, as they haul a very few UNs.
They can't make an exemption for every class, and in ltl, you potentially haul everything
 
The special exemptions are working well in the oil field.
Latest is that Nitrogen and Hydrogen does not need a Has- Mat endorsement on CDL.
You still need the paper work to transport and orange placard .
No CDL if transport pressure is below 4 pounds and trailer has a highway valve to bleed off in transit.
Find it in black and white... Good luck
Kind of like the ORMD of the chemical world.
Little known fact: Hazmat endorsement not needed if placards not required. Used to via through a terminal 3-5 days a week. Class 9 airbag inflators most of the time. In one packet of shipping papers, letter from FMCSA stating such. Who knew?
 
Looking more and more like LtL is the place to be. Regardless of company.

I don't see Amazon wanting a piece of the LtL pie. From a investment standpoint, there's just not enough profit to be had, relative to other forms of logistics. Even if they bought the top 3 LtL companies AND managed to maintain their current profit levels, it's still small compared to what they can reap from investing in their own current model.


Flipside is that Amazon could buy EVERY LtL co and barely bat an eye. Companies with lots of cash on hand take risks, and write off the damage if it's a flop.
I do think illegal labor will be a factor with household deliveries. There simply aren't enough humans available. Not saying Amazon will hire illegals, only that future policy could make them legal. Amazon knows they'll be facing a labor shortage.

As for LtL, I don't see it as a threat. There's a huge difference between a step van, and a class A rig pulling a set. While I have little faith in our gov at any level, I don't see the DOT allowing anyone to bypass current qualifications to haul haz-mat, and operate the big rigs.
Keep convincing yourself that you’re safe.
 
Little known fact: Hazmat endorsement not needed if placards not required. Used to via through a terminal 3-5 days a week. Class 9 airbag inflators most of the time. In one packet of shipping papers, letter from FMCSA stating such. Who knew?
You have always been able to haul up to 1000lbs of Table II Haz Mat without a endorsement( also any weight of class 9 not in bulk containers). That was a caveat for UPS/FED EX Ground and also service typ trucks that carry say a welding tank.
 
You have always been able to haul up to 1000lbs of Table II Haz Mat without an endorsement( also any weight of class 9 not in bulk containers). That was a caveat for UPS/FED EX Ground and also service typ trucks that carry say a welding tank.
I, as well as my company’s Safety, Dispatch & mgmnt teams were unaware. Figured it had been changed since my days of couple hundred lbs of CO2 on the soda pop truck.
 
Little known fact: Hazmat endorsement not needed if placards not required. Used to via through a terminal 3-5 days a week. Class 9 airbag inflators most of the time. In one packet of shipping papers, letter from FMCSA stating such. Who knew?
I was once delayed 2 hours for fire extinguishers.
After checking my bills, one inspector said (compressed gas) placards were required while another said "No"
After several phone calls and much book reading, they decided no placards were required.
Had I not been on the clock, I would have been highly peed, (Ga's finest at work)
 
Your point is well taken. Amazon uses the contractor model that has made FedEx Ground successful.
However, I do not see Amazon jumping into retail delivery. Their business model seems to be centered around servicing their online sales and doing it better, faster, cheaper than an outside carrier. Taking on non-Amazon parcels would drastically change their working model.

Is the Fred ex contractor yelling at him, "This is my ravine!"
:lmao: :438: :lmao:
 
I agree to disagree on Amazon getting a never ending pool of CDL drivers of all kinds. Our government will see to that. Cheap foreign labor vs the lazy couch potato we need to fill the seats. Every Canadian truck seams to be a foreign driver vs the French Canadian that used to driver here. I see more and more of the same filling the over the road driving jobs.
If companies need hazmat endorsement the government will relax standards somewhat to get foreigners in the trucks.
Amazon just like FedEx has the funds to buy and start up anything they wish. FedEx only exists by buying freight companies started by someone else and bought out by Fred
The people that they have driving for them are in the same category as Swift....
 
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