The truck transportation industry has seen a decline in jobs over the past two months, something that hasn’t happened since the pandemic in 2020.
According to figures reported by the Bureau of Labor Statistics, there were 4900 fewer jobs in July than in May for the truck transportation seasonally adjusted job sector.
The revision of figures can be done for two months after its initial reporting by the BLS.
Within the past 6 months, the decline of transportation job happened 3 times two of which were on back-to-back months.
The vice president of market intelligence at Arrive Logistics, David Spencer has noted the declines in total jobs.
He states that “the fact that total employment is at its lowest point since September 2022 is a sign that poor trucking conditions are taking a toll on carriers.”
He mentioned that conditions reversing themselves anytime soon is unforeseen.
“The decline in trucking employment has been the expectation for months now as rates have come down substantially, squeezing carrier profit margins,” Spencer said in an email to FreightWaves.
“While carriers seemed more patient earlier in the year, recent months point to a shift in sentiment.
Now, I expect to see employment continue to fall until rate conditions improve in a sustained way.”
Source: Freightwaves