Mass Layoffs in the Trucking Industry Following Bankruptcy
COBB COUNTY, Ga. — A significant number of workers in the trucking sector have lost their jobs, particularly drivers in the metro Atlanta area, after a prominent company declared bankruptcy.
Reginald Taylor, who recently returned to Cobb County after completing a long haul, was informed that his latest trip would be his last. He shared his feelings with Channel 2’s Berndt Petersen, expressing sadness and disappointment, stating, “Celadon has been good to me, and I’m sure many drivers feel the same way.”
Celadon, an Indiana-based trucking firm, previously reported revenues of $1 billion just a few years prior but filed for bankruptcy this week. This filing is among the largest recorded in the trucking industry and comes after federal charges were filed against two former executives for involvement in a fraud scheme.
The bankruptcy will eliminate approximately 4,000 jobs, including Taylor’s. “More than 3,000 truckers lost their positions alongside dispatchers and mechanics. Everyone was laid off unexpectedly,” Taylor explained.
Over the weekend, some drivers had their fuel cards deactivated, leaving them stranded with their loads across the nation. “I genuinely empathize with the drivers and their families. Some had dedicated 10 to 20 years to this job, and it all changed overnight,” he lamented.
Ed Crowell from the Georgia Motor Trucking Association highlighted the ongoing severe shortage of truck drivers for over a year and indicated that this situation may allow displaced truckers to find new employment opportunities. While Taylor agrees, he hopes to find a local position instead of returning to cross-country trucking.
As the holiday season approaches, the timing of this shutdown has added to the challenges faced by the workers. Taylor expressed solidarity with his fellow drivers, stating, “If I can assist them, I will. We are like family to each other.”
The American Trucking Association (ATA) reports a critical need for truck drivers in the U.S. Near the end of 2018, the industry lacked 60,000 drivers to meet demand. Economists have warned of potential disruptions in freight services if hundreds of thousands of new drivers are not recruited. Their analysis suggests that over the next decade, the trucking sector will need to hire more than 1 million new drivers to keep pace.
Cox Media Group
