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The latest expose by USA Today examines the horrendous safety record of the port trucking industry. Entitled, "Asleep at the wheel: Companies risk lives by putting sleep-deprived port truckers on the road," it documents how port trucking companies coerce their drivers into working far beyond safe driving limits, causing dangerous crashes and threatening many lives. Given the frightening stories described…

With the LA City Attorney suing three major port trucking subsidiaries of NFI Industries over their business model classifying drivers as independent contractors, NFI may be having second thoughts on its recent acquisition of the California Cartage Companies. Together the three companies - California Cartage Express, CMI and K&R Transportation - have approximately 600 drivers, combining to make the largest employer of…

The Los Angeles City Council is preparing to demand the Port of Los Angeles and other City agencies investigate and report on actions to fix labor problems in the drayage and warehouse industries on port property. At a Special Meeting of the Trade, Travel, and Tourism Committee on November 28, 2017, Los Angeles City Councilmembers Joe Buscaino (CD 15) and Mike…

While several trucking companies have come into compliance with labor laws in order to avoid the crushing financial weight of misclassification liability, many others have pursued shell games in an attempt to hide assets to avoid paying anything owed to their drivers, as we reported in a previous blog post.  The latest twist in the battle over port driver classification was exposed by…

A group of non-profit attorneys have outmaneuvered a port trucking enterprise, thwarting its attempts to avoid misclassification liability through bankruptcy protection. On July 6, Asian Americans Advancing Justice-LA and the Wage Justice Center secured final approval of the landmark $5 million class action settlement against QTS Inc. and its related entities including LACA Express and Win Win Logistics from Judge Elihu…

Latest decisions by California Labor Commissioner reminds industry of risks in asset-light model Some industry stakeholders were wondering whether port drivers were still filing wage and hour claims challenging their independent contractor status.  The latest Orders, Decisions, and Awards (ODA's) issued by the Labor Commissioner’s Long Beach office on Friday, April 14, 2017, put that question to rest and was…

Touted as one of the rising stars in the logistics world following its 2003 acquisition spree of 25 companies, XPO Logistics may be facing more lawsuits challenging its business model of classifying its truck drivers as independent contractors than any other logistics company in America. XPO freight, port, and rail drivers, as well as XPO warehouse workers, from across the…

 With infrastructure investment high on national agenda, call for reforms to bring ports into modern era. While rebuilding America’s infrastructure is high on the national agenda, there are few specifics on priority investments nor is there consensus on how to pay for these investments. Still, many would agree that ports are key pieces of our nation’s economic infrastructure. At a…

Latest port driver strike at Ports of LA/Long Beach ties up cargo Late last month, port truck drivers and warehouse workers serving the Ports of Los Angeles and Long Beach expanded their protests against false classification as independent contractors and alleged wage theft. (see, "Port truck drivers, gig-economy workers have much in common") The California Cartage family of companies bore…

  Driver classification roundup While the Hanjin bankruptcy has grabbed the headlines over the past few months laying bare endemic challenges to the global supply chain, port and truck driver classification remains an on-going area of contention. Here are the latest developments in truck driver employment classification. The consensus seems to point in a new direction: On October 25, Region…

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