Not sure what to think of our great economy. The freight world is getting weird.
Aside from these shutdowns, a reputable company Millis Transfer is being bought out by a s*** company Heartland Express often referred to by drivers as Heartless Express.
Also, individual Owner Operators are struggling hard with freight rates and income they need to fund their own truck maintenance, insurance, and fuel.
I'm concerned about a Recession creeping in when I see stuff like this. I don't think it was be a sudden Bubble pop like last time, but stagnation increasing.
https://cdllife.com/2019/hvh-transportation-abruptly-shuts-down-leaves-drivers-stranded/
HVH Transportation abruptly shuts down, leaving 300 truckers out of work
Denver, Colorado-based HVH Transportation has reportedly shut down, leaving more than 300 truck drivers out of work.
The first public report appeared early Tuesday evening on the
CDLLife app (a social community and free navigation app for truck drivers), where an HVH driver stated that he was notified of the immediate shutdown by a company dispatcher.
According to the driver, the company abruptly “shut off all their fuel cards,” effectively leaving drivers stranded on the road. Other drivers have reported that their fuel cards are still working, however.
CDLLife was then able to verify similar claims from multiple HVH drivers and office staff, who also received notice on Tuesday evening.
The company has yet to release an official statement. The company’s website remains active.
Freightwaves has confirmed that company CEO John Kenneally has said that he is trying to help any drivers who are stranded to get back home. It isn’t clear exactly how many drivers might be stranded at this time.
According to DOT filings, HVH Transportation employed roughly 342 drivers and had more than 344 power units in its fleet. The company was founded in 1956 and provided various transportation service including, Truckload, Dedicated, and Regional.
So far in 2019, several trucking companies have closed abruptly, including
Falcon Transport,
LME, and
NEMF.
https://cdllife.com/2019/company-we...about-shutdown-because-we-wanted-to-get-paid/
Company: We didn’t tell truckers about shutdown because we wanted to get paid
"Sending notices earlier would have jeopardized our effort to obtain further funding," the company told state officials.
An Ohio trucking company that recently shut their doors for good says they didn’t tell their workers or state officials about the mass layoff because doing so would have hurt their chances of obtaining further funding.
On April 27, Youngstown, Ohio-based trucking company
Falcon Transport Co. notified its hundreds of truck drivers via text message to let them know that the company was closing down and that they must stop working immediately. Several of the company’s drivers were reportedly stranded on the road without a way to get home when they received the text message, while others reported that their fuel cards stopped working and that they were not paid on time.
On Tuesday, May 7, eleven days after the closure, Falcon Transport finally filed a late WARN notice with the state of Ohio. The WARN Act is a federal requirement that companies who employ more than 100 people provide their workers with 60 days notice prior to a mass layoff.
In the WARN notice, Falcon Transport told the state of Ohio that it failed to notify workers that they were losing their jobs in advance because it would have hurt their chances of getting paid before they shut down.
In the WARN notice, the company also blamed the sudden closure on “unforeseen business circumstances,” which they say includes the closure of a General Motors plant in Lordstown, “new work awarded by customers not materializing”, and a malware attack on the company’s accounts receivable system.
Falcon Transport and its owner CounterPoint Capital Partners are facing a two lawsuits brought on by sudden shutdown and the reported violation of the WARN Act.
Falcon Transport is currently working to liquidate their assets.
https://cdllife.com/2019/lme-inc-lenders-will-be-paid-before-truckers/
LME, Inc: Truckers to wait for paychecks until lenders are paid
The company says drivers will have to wait months before they see their paychecks
A trucking company that closed down without warning last week says that former employees should expect to wait months before they see the paychecks that they earned.
Last week, LME Inc. stunned its hundreds of truck drivers and other employees when it suddenly announced that it was closing down permanently on the afternoon of Thursday, July 11. More than 40 terminals across the county were abruptly closed down and approximately
600 workers, most of them truck drivers, found themselves unemployed without notice.
Many drivers said after the shutdown that they did not receive paychecks for work already performed, and a new post on the LME, Inc. website indicates that they may have to wait a few months before they are paid.