It seems like any time the economy hits a bumpy patch, the mainstream media rolls out so-called “experts” to bandy about the word “recession.” Given the 40-year-high inflation and unreasonable diesel prices at the pump, people with Ivy League degrees are again predicting a collapse.
For example, Forbes magazine recently ran this pithy headline: “No Recession In 2022—But Watch Out In 2023.” The Hill recently raised the question, indicating that “Economists surveyed by The Wall Street Journal this month on average put the probability of the economy being in recession sometime in the next 12 months at 28 percent, up from 18 percent in January and just 13 percent a year ago.”
The good news is that truck driving remains a recession-proof occupation regardless of what Ivy League-types say. The country struggles against a persistent year-over-year driver shortage that stands at approximately 80,000 right now. With that figure expected to swell over the next 5-10 years, any CDL professional with a reasonable safety record won’t be looking for work.
But that doesn’t mean trucking outfits shouldn’t plan for economic downturns such as the recent Great Recession or the one during the early 1980s. That being said, these are strategies owner-operators and freight outfits may want to consider as goods and fuel prices spike.
Reduce Credit Card Debt: The Fed has already begun taking steps to raise interest rates in an effort to stave off inflation. Commercial truckers and outfits that routinely carry balances would be well served to clear them out ASAP. Interest may start ticking up on plastic, which places an unnecessary drain on business and personal finances. Consider paying off credit cards monthly and avoid paying the freight.
Build An Emergency Fund: Many peg the likelihood of truckers losing jobs due to a recession between slim and none. But that doesn’t mean the cost of products and services won’t skyrocket. In fact, truck tires, parts, and repair labor have already increased. Should a recession hit, having an emergency fund to utilize until prices come down can ease financial and emotional strain.
Make Your Services More Valuable: Although Walmart continues to pull the wages of salaried truckers to new heights with the recent $110,000 pay scale offering, not every organization will follow suit. Taking time to earn value-added credentials such as hazardous materials designations broadens a trucker’s earning potential. You can pivot to secure higher-paying hauls without working longer hours if a recession settles in.
All of the logical metrics indicate truck drivers possess rare job security. Wages are rising, and corporations are competing for CDL professionals. News recently broke that demand is so fierce, trailer orders hit a 15-month-high, and 2022 is essentially sold out. It’s a terrific time to be a trucker, but the rest of the economy could get even more pricey.
Sources: peoplease.com, forbes.com
Stop bringing in foreign drivers, let them work in there own country. Add surcharge to cover parking violations in areas that want to make money on parking violations let those areas pay there ignorant political tax structure.
Sorry bud but essentially we are all foreign drivers, how about saying no to cheap freight, make broker transparency truly transparent, repeal sim of the HOS rules and regs, and put someone at the head of the FMCSA & DOT that is from this industry, eliminate the lobbiest in Washington then maybe this industry would be more user friendly.
Pray for nuclear war Armageddon. We could use the population reduction. Governments can cancel debts. It’s a win win for all.