{"id":21987,"date":"2023-06-15T12:43:48","date_gmt":"2023-06-15T12:43:48","guid":{"rendered":"https:\/\/corporate.nvisionglobal.com\/?p=21987"},"modified":"2023-07-21T10:56:25","modified_gmt":"2023-07-21T10:56:25","slug":"how-driver-shortages-are-impacting-supply-chain-costs","status":"publish","type":"post","link":"https:\/\/corporate.nvisionglobal.com\/how-driver-shortages-are-impacting-supply-chain-costs\/","title":{"rendered":"How Driver Shortages Are Impacting Supply Chain Costs"},"content":{"rendered":"

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Worker shortages are plaguing numerous industries in 2023, but few are being hit as hard as the freight transport industry. To say there\u2019s a shortage of truck drivers is an understatement. From long-haul, over-the-road (OTR) trucking to local delivery, the lack of available drivers is having a significant impact on freight operations and costs.<\/p>\n

Carriers are struggling to find drivers even for regular routes, which has created headaches across the chain of custody. While attempts are being made to address the problem \u2014 through off-peak shipping and consolidated loads \u2014 there\u2019s still a long way to go in solving the freight industry\u2019s biggest immediate challenge.<\/p>\n

A closer look at the driver shortage<\/h2>\n

The ongoing shortage of truck drivers has been negatively affecting supply chain costs for years. In 2019, the American Trucking Associations (ATA) reported a record-high shortage of 61,000 unfilled truck driver positions<\/a>. As of 2021, this figure was closer to 80,000<\/a> according to a New York Times expos\u00e9. It\u2019s expected to nearly double by 2030, barring an influx of new drivers behind the wheel.<\/p>\n

What\u2019s particularly troublesome about this shortage is it\u2019s not limited to a specific industry sector. It affects all areas of trucking, including OTR, local, less-than-truckload (LTL), intermodal, and others. This means it impacts virtually all areas of the supply chain, regardless of where freight originates.<\/p>\n

As driver shortages persist and grow worse, more stress and strain are put on carriers. Some carriers are being forced to turn down new business due to a lack of drivers, while others have been compelled to consolidate or merge to pool resources. These moves not only raise supply chain costs but also have downstream economic impacts<\/a>.<\/p>\n

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Factors contributing to driver shortages<\/h2>\n

As driver shortages continue, many are wondering why a job with a relatively low barrier to entry is experiencing so much turmoil. The reasons are varied:<\/p>\n