Recession proof?

Discussion in 'Millis' started by donb1959, Feb 19, 2013.

  1. donb1959

    donb1959 Bobtail Member

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    This may be more for the drivers that have been at it awhile, but alls opinion is welcome. Walmart stock dropped almost 4% this week....rumor is sales are off due to the troubled global market. It is said that as goes WalMart so goes the country.

    This is my question. Lets say we enter another major recession, which isn't beyond the realm of possibility. When freight slows during a recession, does it slow to a point where it's difficult to pay the bills, or will there most always be freight to haul. Thanks in advance!
     
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  3. SheepDog

    SheepDog Road Train Member

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    Think of it this way,,, there will always be something that needs moved by truck. Until they invent a machine that can do what the movie "the fly" was trying to do, there will always be the need of a truck. The trick will be to stay in the game longer than the next driver. Yes, there will be less and less things to ship and companies that cant stay in the game but, there will be a need.

    I feel that we are all in for a rude awakening. Not sure when that will be but, I am confident that it will happen in my life time. I am very sad at the thought of what my 5 children and 3 grandchildren will have to deal with in their lifetime.... If I knew what I knew now, when I was making babies, I would have got a surgery before I had 5 kids...
     
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  4. Driver of the year

    Driver of the year Medium Load Member

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    Great question dumb1959, im gonna comment without getting political! I dont want to make people in here feel threatened or offended! so this comment is about the economy only! no party or political ideology in mind but i heard it today in my political radio station of choice. This is what's going on and will hurt EVERYBODY! Walmart today posted their slowest january in 7 years! now what's happening, the Bush tax cuts expired and were not extended. Doesen't matter who's fault it is, the payroll tax relief was not extended for the poor or the middle class and thats why alot of hard working americans are short $60.00 a month right now! Anybody that's not aware of this was probably watching beyonce's new born baby or TMZ as their new news source and now they are confused! There are more tax hikes to come and this is why the economist think why walmart had a slow january in 7 years which is a sign that hard working americans are saving because those $60.00 are gone in taxes probably going to foreign aid or something? When people see uncertainty ahead? they tend to save because now they fear losing their jobs and a report came out that in november, the economy was actually contracting and was not reported accuratly, that information came in january 2013, so like you said, if this a bad sign for strong freight in the lower 48 states? i think so, if people are holding their money when taxes go up and stop buying products, that is a sign of future slowdown and as truckers, we all know that we are the first in the country to notice when an economic slowdown is ahead and a month later, the cnn's money experts comes out reapeting what we already knew a month before. Folks, im glad im in containers and not alot of competition in our small port, but im always busy. With fuel rising and slow freight is a combination for disaster. Great question and this is time for all truckers to save your money as well! All that restaurant money in one week is enough for 100 gallons of fuel. Good luck out there!
     
    Last edited: Feb 19, 2013
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  5. db2681

    db2681 Heavy Load Member

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    Need to wait till after Feb and March are reported by Walmart. They delayed tax filing this year due to tax changes, and most people due a refund are just now able to file due to changes to credits. Retail sales for big items in the first 3 months depends on tax refunds.
     
  6. rarudi

    rarudi Light Load Member

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    There are only a handful of professions that are "recession-proof." Healthcare, (most) government work, booze, etc.

    That said, we are due for a rude awaking in this country. I'm in the midst of switching from running my own biz for 20+ years to trucking for this very reason. I've also been pretty involved in the political scene, so part of what I've done for the last decade or so is keep a close eye on this stuff. I see it every day. My peers see it every day. While what db2681 said about waiting for the Feb or Mar Walmart numbers has merit, I'll tell you that people are scared and they are not spending whatever money they have. I don't see that changing anytime soon.

    America is vulnerable beyond belief because our banking system is propped up by a paper-thin veneer of trust. Other countries are wising up to it and we are no longer as insulated from what they do as we used to be. In fact, we are more dependent than ever on the actions of other countries. Whatever happens, I don't see it as something we'll get much warning about. Nothing at all like a nice predictable recession. It will be sudden and breathtaking. One day you might find yourself far away from home with no electronic access to cash. I pray it doesn't happen, because it won't be pretty. But I intend to be ready and I hope you are too. Just my opinion, and you know what they're worth.

    On a lighter note, this made me think of a great idea for a reality show: OTR drivers who are prepping while on the road. Call it "Doomsday Truckers."
     
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  7. drvrtech77

    drvrtech77 Road Train Member

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    I agree...my wife is on salary & gets paid once a month and we noticed she's taking home $227 less a month due to higher taxes and higher insurance premiums...it's a heck of an economic shock to the avg working class person...less $$ means less spent on items that wouldn't normally be spent on...in other words...in discretionary income is gone..
     
  8. SheepDog

    SheepDog Road Train Member

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    I drive for FedEx Ground and freight here is low as well... Which is a sign on how much the sheeple are spending, and Dec is usually the highest month for freight but, we did a lot of sitting during that month as well.
     
  9. donb1959

    donb1959 Bobtail Member

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    OK this kinda leads into my next question/concern. If you click on my name there you will find out I'm 54, and all the rest...I have bills to pay. I currently make about 38K yearly, give or take, so if the recession does come, and again it just may, can I expect to (after my first year) maintain that income.

    I'm not looking to get rich...I'm a realist, I just want to know I can feed my family, with hopes of earning more as time goes by.
     
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