OTA’s Bradley says higher rates would provide stability amid uncertain economy

TORONTO (Nov. 13, 2000) — In the face of softening economy, trucking companies should give little ground in the push for continued and sustained fuel surcharges and higher freight rates, Ontario Trucking Association president David Bradley said in a state of the industry address at the group’s annual convention in Toronto last week.

“The time has never been better for a significant change in the rate structure of the industry, which has been basically static since the late 1980s,” Bradley said. “There is no breathing space for most carriers to absorb further cost increases of any kind. And, the trucking industry has sucked just about every drop of efficiency and productivity it can out of its operations.”

Success has will have as much to do with whether all carriers seize the opportunity as whether all shippers will cooperate, he said.

Bradley also said carriers must treat owner-operators with fairness, but to recognize that, like any small business, failures are inevitable.

He called on trucking companies to be more innovative and aggressive in the recruitment of new labor, and stumped for improved infrastructure and a thorough review of how the taxes Ontario levies on trucking operations compare with other jurisdictions it competes with.

Bradley said he expects pollution to become a dominant issue in 2001. He raised questions about programs such as mandatory emissions testing, and whether the trucking industry will be dealt with fairly and equitably by environmental regulators considering the vital service it provides.