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What You Need to Know About the Electronic Logging Device (ELD) Mandate

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The ELD Mandate - What You Need to Know

What is the ELD Mandate?

The Federal Motor Carrier Safety Administration has mandated that drivers begin recording their hours using an electronic logging device (ELD), a device that uses technology to digitally record a truck driver's hours, as of December 18, 2017.

How Does It Affect Carriers?

Now that their hours are being meticulously recorded, carriers will be held to a higher standard of accountability and will be able to take fewer trips. Federal hours-of-service regulations will be more strictly enforced as a result, which will enhance both the working conditions of drivers and overall traffic safety.

Will It Impact Shipments?

Will this affect the shipments I make? What to anticipate is as follows:

  • Small pricing hikes for cartage and LTL
  • Higher prices for long-haul FTL (more than 600 miles)
  • Less total capacity for long-haul FTL and drayage (2% to 5% capacity loss)
  • Longer wait times at delivery sites and less flexibility
  • Possible additional fees for extended delivery wait times
  • Possible "layover fee" if subsequent pickups are delayed

Impact on Different Types of Trucking

The majority of cartage firms are exempt from this rule, and the majority of LTL drivers do not collectively drive enough miles for this regulation to have a substantial impact on their pricing or capacity. However, there is a chance that drayage and FTL rate increases will have a small knock-on effect and cause rate rises as well.

What is an ELD, and How Did This Requirement Come to Be?

Only a certain number of hours may a truck driver drive each day. At the moment, drivers record their driving, waiting, and off-duty hours in paper diaries. Because of this, it is challenging to implement federal hours-of-service regulations which leave space for error.

Do I Have to Take Any Action?

Simply be aware that rate increases could occur and know that your Beeontrade staff is actively watching any extra implications that this regulation has on the market and your shipments. Please feel free to contact them personally if you have any further inquiries!

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