Biden will invest $30 million in the trucking industry to hire more drivers after the crippling supply chain crisis and backlash over the vaccine mandates
Joe Biden announced Thursday a $30 million investment in U.S. trucking as administration officials meet with industry leaders in an effort to attract new drivers in the midst of a massive supply chain crisis.
The White House said in a fact sheet on the new plan that the COVID-19 pandemic 'exacerbated longstanding workforce challenges in the trucking industry, including high turnover rates, an aging workforce, long hours away from home, and time spent waiting.'
The new action plan, including the new investment, is an action from the administration's Supply Chain Disruptions Task Force, which was launched in June to 'lead whole government effort' to address bottlenecks.
Transportation Secretary Pete Buttigieg, Labor Secretary Marty Walsh and National Economic Council Director Brian Deese are hosting a roundtable Thursday in South Carolina to try and amend these issues by speaking with leaders in the trucking industry, including business and labor leaders.
The first in a series of listening sessions with drivers, industry and labor leaders and advocates aims 'to hear their perspectives, profile promising practices, and source scalable solutions to retention and job quality issues for truckers.'
Federal Motor Carrier Safety Administration Deputy Administrator Meera Joshi is joining the meeting.
The Biden administration is investing $30 million in the trucking industry
The investments and initiatives are aimed at helping quell a trucker shortage in the midst of a supply chain crisis
The Transportation and Labor Departments are launching a joint 'Driving Good Jobs' initiative. The White House says it is 'asking industry, labor, and all levels of government ... to address these trucking workforce challenges and begin building a next-generation trucking workforce.'
The Federal Motor Carrier Safety Administration will soon launch a pilot for drivers aged 18-21 as mandated under a new infrastructure law.
Teamsters President Jim Hoffa in a December 1 Detroit News opinion piece argued there 'is no shortage of experienced truckers. However, there is a problem with these drivers getting fair pay and treatment from their employers.'
He added 'truckers are being taken for granted by big business even after all the work they did to keep America running during the most difficult days of COVID-19.'
The problem, however, goes further than that.
The White House announced earlier this year a mandate on private industry to require vaccines within companies with 100 or more employees. Many blue collar workers, including those in trucking, were vehemently against this mandate.
Trucking industry leaders warned this could lead to exacerbated issues in the supply chain as truckers would rather quit, retire or change jobs than get the vaccine through the Occupational Safety and Health Administration's rule.
The White House said the DOT is providing $30 million to help states expedite issuance of commercial driver's licenses. They are also accelerating the expansion of registered apprenticeship programs.
It also aims to improve bottlenecks in the supply chain as a trucker shortages caused shipping containers stack up at U.S. ports ahead of the holiday season
The plan to address crises facing the trucking industry also includes a 90-day Challenge to accelerate the expansion of Registered Apprenticeships.
'This 90-day challenge is a national effort to recruit employers interested in developing new Registered Apprenticeship programs and expanding existing programs to help put more well-trained drivers on the road in good trucking jobs,' the White House announced Thursday.
Last month, the Transportation Department projected freight tonnage will rise by 50 per cent by 2050 to 28.7 billion tons. Trucks, which currently carry 65 per cent of U.S. freight tonnage, are expected to remain the predominant freight carrier.
The American Trucking Associations (ATA) said the industry in 2020 employed 3.36 million truck drivers. It estimated that this year the driver shortage will hit a high of just over 80,000 drivers.
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