ELD’S AND YOU
Electronic Logging Devices (ELD) will be required in all trucks beginning December 18, 2017. Currently, drivers keep track of their hours of service via a manual, paper log. ELD’s, on the other hand, will electronically monitor and record drivers’ on and off duty time.
While Devine enforces a strict policy adhering to the federal hours of service regulations, many motor carriers do not. For motor carriers and drivers stretching drivable hours, there will be a hard stop with ELD’s, and shipments that used to take two days to deliver may now take two and a half to three days. The end result is it will take more trucks to move the same amount of cargo, and truck capacity will tighten.
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Much of the focus in the industry press has been limited to the affects of ELD’s on the truckload segment, which will certainly be impacted, but the drayage market will face similar constraints. ELD’s will be required for all interstate truck moves, and all container moves are considered interstate as the cargo came from or is destined for a location outside of your state.
The market is already seeing capacity constrict as motor carriers adopt ELD’s ahead of the deadline. When capacity decreases, rates increase…basic supply-demand principles at work.
We will keep you posted as the ELD mandate materializes.