Transportation - Supply Chain problem - why

[Arizona_928]

I'm not sure on the shipping containers. march 2020 during the height of the lock downs I was buying cargo worthy 20 ft shipping containers for 1,800 in long beach. Last time I looked for more containers (feb this year) I could not find any stock of 20ft CW containers, but one trips were going for 2,900 & I bought one of those instead.

[tabs]

Welcome to the idiocracy..American ed has bin on the skids for more than 40 years..i cant even say my gen had a good ed..why look at me i cant speel.nor have gud grammer..and i gots a piece of paper from an illustrious university by the sea..they keep sending me these emails touting how great they are.
Well blow me..the guys who run these places smoked too much Chronic back in the day and it has rotted their brains (insert pix of Nancy Pelosi here).

So i digressed a bit...now we are faced with a pop wh have the skill sets of monkeys.
And that is an imsult to monkeys. But what takes the cake right here is the ignorance and naivieaty right on this Board..A scare crow out in a Nebraska corn field has more sense and knowledge about foreign affairs econ and history than you boyz du..A blind mouse has clearer vision than your chosen leadership
and forget presence of mind..Presence of mind i give Amerucans a negative number.

People think Bill Gates is a smart guy..and he is but he is stupid enough to go and get caught going to Epsteins pleasure isle of enchantment.. At best Epstein had him by the rocks..And Bill couldnt figure out the ramifications of that move..best thing to do if you want to indulge in that hobby..dont even hide it..old news is no news. Call it the Charlie Sheen/Mick.Jagger model of self satisfaction.

[flatbutt]

I guess that I got very lucky when I picked up my new Taco as a '20 leftover last October.

OTOH I can't find an apartment sized gas fired clothes dryer at any of my usual appliance purveyors.

[cabmandone]

Steve,
There has been a shortage of truckers for a few years now. The problem was really exposed when more freight became available. Now we have stuff sitting on docks waiting for a truck because loads are plentiful and truckers can afford to be selective about what they haul.

Something else that hurts is electronic logging. Not saying it's a bad thing but less truckers able to run less miles per day = more truckers being selective about the loads they're hauling. Used to be I could get a skid loader on the back of a load because the trucker was okay with the partial paying for the fuel. Now with e-log they don't want to make that extra stop because time is literally money and miles.

[masraum]

Originally Posted by cabmando

Steve,
There has been a shortage of truckers for a few years now. The problem was really exposed when more freight became available. Now we have stuff sitting on docks waiting for a truck because loads are plentiful and truckers can afford to be selective about what they haul.

Something else that hurts is electronic logging. Not saying it's a bad thing but less truckers able to run less miles per day = more truckers being selective about the loads they're hauling. Used to be I could get a skid loader on the back of a load because the trucker was okay with the partial paying for the fuel. Now with e-log they don't want to make that extra stop because time is literally money and miles.

Sure, more regulations make it more of a pain and tighten margins which make it less appealing.

[widebody911]

Originally Posted by masraum

Everyone seems to be expecting Walmart prices and premium goods, whether it is for food, gas, phones, TVs, shoes, clothes, etc.... Prices staying roughly the same or even going down so that everyone can keep up with the Jones', but also everyone having increasing salaries so that everyone can keep up with the Jones' cannot last forever.

Businesses got used to cheap service labor, with a plethora of 5hitty excuses to justify it, eg "Certain jobs don't deserve more than $x per hour" "Those jobs are for teenagers to get work experience". At the the same time, "income property" has become the investment of choice, my guess is due to favorable tax conditions. I don't know much about the landlord industry, but I hear radio ads for "almost tax-free real estate investi"' I'm guessing that's part of it. That's driving up real estate prices and rents. When I moved to this area in the 80's, I rented a decent 1-bedroom apartment for $165. Now a similar apartment is $1600.

Long-story-short - you can't have it both ways. You can't get cheap labor, while at the same time cranking your rental profits. Something is going to break.

[masraum]

Originally Posted by widebody911

Businesses got used to cheap service labor, with a plethora of 5hitty excuses to justify it, eg "Certain jobs don't deserve more than $x per hour" "Those jobs are for teenagers to get work experience". At the the same time, "income property" has become the investment of choice, my guess is due to favorable tax conditions. I don't know much about the landlord industry, but I hear radio ads for "almost tax-free real estate investi"' I'm guessing that's part of it. That's driving up real estate prices and rents. When I moved to this area in the 80's, I rented a decent 1-bedroom apartment for $165. Now a similar apartment is $1600.

Long-story-short - you can't have it both ways. You can't get cheap labor, while at the same time cranking your rental profits. Something is going to break.

Yep, certain places (Cali and a few others) definitely seem to be broken in that regard. If housing is insane, then salaries need to be commensurate

[pmax]

Originally Posted by masraum

I didn't want to derail the heirloom thread.

You're referring to this heirloom thread ?

[pmax]

Originally Posted by IROC

A couple of reasons I heard were that a lot of truckers quit/found something else to do last year when transportation needs tanked during the early months of the pandemic..

Maybe they're all learning how to code.

[HobieMarty]

Originally Posted by tabs

The just in time supply chain was a fine tuned thing..shut it down and it broke the chain..now it is running like an engine that is out of time. It will take time to retweak it..if sumthin else dont screw it up.

Yep, I work at an automotive plant and we are not running any production for next week due to the semiconductor shortage. It has been like this all year, where a shift would be off for the week, usually 3rd shift, and early dismissals here and there. They tried to keep everyone working as much as possible but it looks like it has all finally caught up to us.

Oh well, if the weather is good, I'm going sailing!!!

No semiconductors on this baby!!!

Sent from my SM-N950U using Tapatalk

[Tobra]

It is not that wages are too low. We have been paying people not to work for a long time. Why go ro qoek id you don't have to pay rent.

Housing prices in California are a study in bureaucratic corruption, and have nothing at all to do with wages

[craigster59]

Originally Posted by pmax

Maybe they're all learning how to code.

Or build solar panels.

[Zeke]

Before the COVID deal many OTR truckers would not cross the CA state line. Over half the crap people buy (in the vein of tabs), comes through a CA port.

Local, underpaid container drivers move containers out of the port by the 1000's each day. But they don't long haul one at all.

[widebody911]

Originally Posted by Tobra

It is not that wages are too low. We have been paying people not to work for a long time. Why go ro qoek id you don't have to pay rent.

Plug that into the Conservative Translator: "People need to be starving so they'll work for cheap"

Labor is a resource that you have pay for, just like anything else. Those good-for-nothing scoundrels at Home Depot want to charge me $15 for a 2x4; it should only be worth $3.

Housing prices in California are a study in bureaucratic corruption, and have nothing at all to do with wages

Nobody said housing prices had to do anything with wages, but there is a relationship between wages and what people can afford to pay in rent. If people can't afford to live on the pay of service-sector jobs, you're gonna have a bad time.

[masraum]

Originally Posted by widebody911

Nobody said housing prices had to do anything with wages, but there is a relationship between wages and what people can afford to pay in rent. If people can't afford to live on the pay of service-sector jobs, you're gonna have a bad time.

Right. If housing is insane, then wages need to be higher enough for folks to be able to afford to live without resorting to 20 people in a 2 bedroom or whatever qualifies as how to live on the cheap in Cali.

In my experience with Cali and folks in Cali, it seems like wages are a little higher than other places, but then housing is A LOT higher. And other items like food may be higher, but more like the level of the pay than the level of the housing.

[stomachmonkey]

Originally Posted by rfuerst911sc

Secondary but just as important is the lack of trained and skilled OTR drivers . The days of the average Joe just climbing behind the wheel and driving is mostly gone . There are many state and federal rules and regulations to adhere to and many need to be either logged or reported daily . So a driver needs to maneuver road traffic and rules and regulations . Takes some smarts .

I've mentioned this a couple of times here recently.

My trainers day job is Logistics, specifically trucking.

He says driver shortage has been an issue for the last 6 years at least and got worse with COVID.

They are paying their local 9-5 guys $100k these days.

OTR like Dallas to LA routes $150k.

Long haul dual driver where they run straight through non stop, $300k.

If you know a young person coming out of HS who may not be college bound, encourage them to get their CDL. Hell, even a college grad.

And FWIW, he says supply chain is not getting better in the coming months, it's going to get worse. Says we haven't seen bad yet compared to whats coming.

[Pazuzu]

Originally Posted by stomachmonkey

I've mentioned this a couple of times here recently.

My trainers day job is Logistics, specifically trucking.

He says driver shortage has been an issue for the last 6 years at least and got worse with COVID.

They are paying their local 9-5 guys $100k these days.

OTR like Dallas to LA routes $150k.

Long haul dual driver where they run straight through non stop, $300k.

If you know a young person coming out of HS who may not be college bound, encourage them to get their CDL. Hell, even a college grad.

And FWIW, he says supply chain is not getting better in the coming months, it's going to get worse. Says we haven't seen bad yet compared to whats coming.

It's funny, in a not-funny kinda way. Just 2.5 years ago, we took a tour of an aviation training program, and they were saying the same thing about airline pilots. "Tell everyone to go into it, they're going to be down 50% once the oldies retire, pay quickly gets to the $150k range...".

Then, 1.5 years ago, every pilot lost their job.
The same was said about nursing, and a few other fields (except the nurses didn't lose their jobs, they worked 100 hour weeks and then lost their lives...).

In fact, the only thing that didn't really seem to slow down was skilled labor for new construction, the trades and unions seem as busy as ever!

[jcommin]

The chip shortage has effected every item that has a some sort of electronic PLC, control module, etc. This affects machinery - I seeing a chip shortage issue on a 400 ton horizontal molding press that is manufactured in Austria.

What I'm seeing is the 80/20 rule when is comes to who gets the components/commodities (includes raw material). High volume customers are at the top of the list. A low volume customer goes to the back of the line unless there is an opportunity to pay a premium. I'm looking a at 1-2 month delay. That is not including overseas shipping which is just as bad shipping over the Atlantic as the Pacific.

I have been looking at an upgrade graphics card for my desktop - I do allot of photo editing. The cost of a graphics card is almost double for the same chip shortage reasons and supply is limited.

I have a friend who has a SIL that is an over the road driver. Big demands on schedules: tighter shipping times, long days, never home on weekends: life is on the go. He is getting burned out. Makes allot of money but he has a family and doesn't have allot of time to spend with them.

[jcommin]

Most trucking companies want CDL drivers with 2 years experience and a clean accident free record. Insurance is high and even the smallest claims pushes premiums. The trucking companies I'm familiar with won't even look at a new driver with a CDL.

[VINMAN]

Originally Posted by jcommin

Most trucking companies want CDL drivers with 2 years experience and a clean accident free record. Insurance is high and even the smallest claims pushes premiums. The trucking companies I'm familiar with won't even look at a new driver with a CDL.

Hell, Swift or Schnieder will hire right off the street and put guys through training. thats why their accident rates are so high.


.