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Some of the biggest issues currently facing motor carriers include driver shortage, CSA, fuel costs, and soft freight. However, an overlooked rising issue for motor carriers is the way that they are classifying their drivers as either employees or independent contractors. Over 30% of companies misclassify employees as independent contractors; whether accidentally or intentionally. In July 2015, the Department of Labor (DOL) issued an Administrator’s Interpretation on employee and independent contractor classification.  In addition to the DOL, the Internal Revenue Service (IRS) has also agreed to work together with the DOL to coordinate and enforce the Fair Labor Standards Act (FLSA). Several states have also followed suit and responded with misclassification task forces. Ramifications of Employee Misclassification Correctly classifying a driver as an independent contractor or an employee is crucial. When employers improperly classify employees as independent contractors, the individuals may not receive important workplace protections governed by the FLSA.  These workplace protections include minimum wage, overtime compensation, unemployment insurance, and workers’ compensation. If a driver believes he or she has been misclassified, the driver can file a complaint with the DOL. In turn, employers can be audited by the DOL, IRS, the state and/or their workers’ compensation insurance carrier; thus resulting in hefty payment penalties and back premiums. The ramifications for an employer can vary depending on if the DOL and the IRS determine the misclassification as unintentional, intentional, or even fraudulent. Fees and penalties can range depending on whether the misclassification was inadvertent or not, and can include any of the following: $50 per W-2 form not filed, 1.5% of wages the employer should have paid, 40 percent of FICA taxes, unpaid premiums, overtime, work-related expenses, and unpaid sick/vacation pay. In addition to these penalties, there is additional liability for intentional misclassification including criminal fines up to $1,000 per misclassified worker and prosecution with prison sentences up to one year. Prevention and Compliance Strategies When looking through the insurance lens, the employer can be audited by their workers’ compensation carrier when they have company drivers, as well as, independent contractors. This may be the case if an employer doesn’t require their independent contractors to provide proof of work accident coverage (either Workers’ Compensation or Occupational Accident). The employer could be putting themselves at risk if an independent contractor files a workers’ compensation claim against the employer. If the insurance carrier pays the claim, in turn, they will likely want to audit for 1099 payroll for any uncollected premiums. For example, in TRAVELERS INDEMNITY COMPANY, v. D.J. FRANZEN, INC. (IA-2010): Travelers won a $550,661 audit (on top of the $1,775 original premium) because Franzen failed to appeal the audit to NCCI.  Court determined Franzen couldn’t contest either Travelers determination that the drivers were employees or the premium charged. It is in the employer’s best interest to require their independent contractors to purchase occupational accident or workers’ compensation coverage. How can all of this be prevented? As an employer, you can protect yourself with proper documentation and understanding of how the IRS and DOL will determine, or “test”, the difference between whether an employer and worker have an employer-employee relationship or the worker is an independent contractor. It is always a good precaution to obtain documentation that states the IC’s self-employed status, requires the IC to sign an Independent Contractor Agreement, as well as, request a certificate of work comp or occupational accident insurance. IRS Test According to the IRS, “The general rule is that an individual is an independent contractor if the payer has the right to control or direct only the result of the work and not what will be done and how it will be done.” The IRS considers three factors categorized into behavioral, financial, and the type of relationship. Behavioral: Does the company control or have the right to control how the worker does his or her job? Financial: Are the business aspects of the worker’s job controlled by the payer? (These include things like how a worker is paid, whether expenses are reimbursed, who provides tools, supplies, etc.). Type of Relationship: Are there written contracts or employee-type benefits (i.e. pension plan, insurance, vacation pay, etc.)? DOL’s Economic Reality Test According to the DOL, “An employee, as distinguished from a person who is engaged in a business of his or her own, is one who, as a matter of economic reality, follows the usual path of an employee and is dependent on the business which he or she serves.” There are six factors the DOL relies on: “The extent to which the work performed is an integral part of the employer’s business.” “Whether the worker’s managerial skills affect his or her opportunity for profit and loss.” “The relative investments in facilities and equipment by the worker and the employer.” “The worker’s skill and initiative.” “The permanency of the worker’s relationship with the employer.” “The nature and degree of the employer’s control.” Independent Contractors can be a low-cost alternative to regularly employed employees; however, it is important to understand the risks associated with the monetary benefits. Employers should make sure they are communicating with their legal counsel, tax advisor, and insurance agent to help them properly classify their workers, always keep documentation on file, and understand the IRS and DOL tests. It is crucial to perform due diligence and make certain the contractors are truly independent of the employer. Resources https://www.dol.gov/whd/workers/misclassification/ https://www.irs.gov/businesses/small-businesses-self-employed/independent-contractor-defined https://www.chubbworks.com/article.cfm?id=7026 https://www.chubbworks.com/article.htm?id=7036 https://www.chubbworks.com/article.cfm?id=6993

Certificates In Trucking Certificates of insurance are such simple documents, and yet so important to the trucking industry.  They are issued every day in order to provide proof of insurance to shippers, brokers, banks, truck rental companies, and countless other entities involved in the business of trucking. So what is a certificate of insurance and why is it so important for trucking companies to understand how they work? What is a certificate? First and foremost, it’s important to note what a certificate is not. A certificate is not a legal document. A certificate is also not an amendment to the insurance policy. It is simply a piece of paper that provides evidence of basic policy information to an interested customer or 3rd party. A certificate will include information such as coverage type, policy number, effective and expiration dates, and the name of the insurance company affording the coverage. They are also commonly issued upon policy renewal to provide updated information to third parties, the certificate holders. Special Requests There are many misconceptions about certificates of insurance. Many believe that limits can easily be altered or added to a certificate. Some third parties also have very specific wording that they believe can be typed on the certificate upon request. However, it’s important to remember again that the certificate is simply a summary of the current policy information. Any adjustments to the limits or the addition of special wording must be endorsed to the policy first, before it can be evidenced on the certificate. This may require getting the insurance company’s approval in order to proceed. Requests such as this may take some time to address and could also result in additional premium. In addition, it’s important to understand what the special wording means and what rights it may be extending to your customers. Let your agent know of any new contracts or customers as soon as possible so they can get to work on any insurance needs for you. The Agent’s Role in Certificates Most customers and third parties require certificates to come directly from the insurance agency in order to validate the information being presented. This means that the agent’s role in managing certificates is very important to a trucking company’s business. The agency must understand the need to get certificates out to customers quickly so that there are no delays or problems with obtaining loads. Look for an agent that invests in the latest technology in order to do this for you. Certificates should be faxed or emailed to your customers quickly. This is especially important when coverages renew and updated certificates must get sent out to all certificate holders. You should also have the ability to view and print certificates through an online portal. The agency must be very diligent about presenting current and accurate information and staying up to date on the latest laws and requirements on behalf of their clients. You want an agent that cares about handling certificates correctly, as opposed to simply agreeing to terms you don’t have, in order to get certificates out the door. Working with an agency that specializes in the transportation industry is extremely valuable when it comes to certificates, as they will understand the importance of the above items. A transportation agent may also have experience with the insurance requirements of some of the more common or complicated contracts that are out there, which gives you an added benefit.

There are two types of companies: Those that have been hacked, and those that will be.  And extending that thought further: Those that have been hacked, and will be again.  With more and more companies going digital, the risk of a cyber attack increases. Every system upgrade, remote device, and incoming email exposes a company.  With the average cost per cyber attack in 2013 at $5.4 million, companies can’t afford to leave themselves unprotected. Building a Robust Defense: Preventative Measures and Employee Education There are several preventative measures companies can take to protect themselves from cyber-attacks.  Having a plan in place to combat these attacks is the first key. A digital security assessment will give the complete picture of an organization’s security posture that focuses on policy, controls, procedures, and effectiveness of the plan implementation. Once an assessment is done and a plan is in place, continuous testing and improvements are necessary. One of the biggest exposures to cyber attacks is a company’s own employees. Making sure employees are educated and know what to look for when an attack may be happening is crucial.  This includes suspicious emails and requests for information.  If a company’s employees know what to watch for, this will decrease the chances of a successful cyber attack. Other than the human element, companies should also look into other attack areas.  Some of these areas include providing IT with information on security measures and software updates limiting employee access to sensitive information, recognizing the risks of employees’ personal devices for company data, and limiting the number of third-party vendors that have access to company information. Data backups of company information are important and developing a secure culture within an organization is a good plan to have in place.  However, a company can take all of the steps possible and still have a data breach and lose all company information.  What protects them when the preventative measures don’t?  Cyber Liability Insurance. Cyber Liability Insurance: The Ultimate Safeguard for Businesses Cyber Liability Insurance protects a business when all preventative measures have been taken and a cyber attacker still gets through.  The cyber risk can then be transferred to an insurance policy.    There are three basic elements to a good cyber insurance program: legal liability, business interruption, and coverage for breach notification costs.  The legal liability component will protect the insured from lawsuits that arise out of a data breach. Business Interruption Coverage will replace lost revenue from downtime while a breach is being looked into, which could take months to complete.  Breach of notification costs is the cost to notify the public that a breach has happened.  While a cyber liability policy can be tailored to each company’s needs, a cyber liability policy must encompass all three elements to provide adequate coverage to the insured. With an average of 10% of companies buying cyber liability insurance, and nearly 90% of businesses having a cyber attack within the last 12 months, it is obvious cyber liability insurance is an important coverage to purchase.  Not only are there substantial financial costs associated with a cyber attack, but a company can also suffer considerable damage to its reputation.  Cyber Liability Insurance is the perfect way to remedy those damages. References Travelers Current Ransomware Landscape Findings from the Chubb 2013 Private Company Risk Survey The Risk Report, Cyber and Privacy Insurance Coverage, Volume XXXVII No 11, July 2015 The Risk Report, Plan to Protect Digital Assets, Volume XXXVIII No. 2 October 2015

“Does this driver meet our insurance carrier’s guidelines?” This common question has been brought up at one time or another by most motor carriers.  When motor carriers ask this question, they should also be asking, “Does this driver meet our guidelines?” It is becoming increasingly important for each motor carrier to have set guidelines that they follow prior to requesting approval from their insurance carriers. Establishing Robust Driver Guidelines: A Crucial Step for Motor Carriers Some insurance carriers do not have an established set of guidelines for who is and isn’t insurable, and will often defer to the motor carrier’s guidelines. These carriers may request a copy of the motor carrier’s guidelines, usually during the quoting process. This is a way for the insurance carrier to monitor and know that the motor carrier is responsibly managing their hiring process. Motor carrier guidelines help paint a picture for the insurance carrier as to the type of driver the motor carrier is seeking to hire. It also allows the insurance carrier to see how strictly the motor carrier adheres to their policy. Almost all insurance carriers require a copy of a drivers’ motor vehicle record for quoting purposes and additions midterm to a policy and they can quickly see which drivers fall outside of the established guidelines. This will prompt the carrier to ask about corrective actions and information on how the motor carrier continues to manage the process. Drivers can adversely impact insurance pricing if motor vehicle records fall outside of driver guidelines established by the insurance carrier. Legal Implications and Federal Compliance: FMCSA's Role in Driver Qualifications In addition to insurance carriers referencing a motor carrier’s guidelines, another reason to have an established set of qualifications is to make sure the motor carrier is adhering to the Federal Motor Carrier Safety Administration qualifications.  Part 383 of the FMCSA’s regulations address commercial driver’s license standards which includes requirements and penalties. This regulation specifically states, among other things, that “an employer must not knowingly allow, require, permit, or authorize a driver who is disqualified to drive a commercial motor vehicle.”  In part 383.51 of the regulation, the FMCSA lays out specifically what disqualifies a driver and for what period of time the driver is disqualified. These disqualifications can be found on FMCSA’s website. Should a driver fall outside of the FMCSA’s qualifications, and the motor carrier knowingly allowed them to drive, they could be subject to penalties or fines ranging anywhere from $2,750 to $25,000. There are many reasons for the motor carrier to have their own established set of guidelines for drivers.  Two reasons being for the insurance carrier to reference if needed as well as adherence to federal regulations. It is a best practice followed by many motor carriers currently as it allows the motor carrier to effectively manage their hiring process. Resources https://www.fmcsa.dot.gov/regulations/title49/part/383 https://www.fmcsa.dot.gov/regulations/title49/section/383.37 https://www.fmcsa.dot.gov/regulations/title49/section/383.51 https://www.fmcsa.dot.gov/regulations/title49/section/383.53 https://www.silverplume.com/SPOnline/SPSage.aspx?cmd=search&tpc=Ins%2FAll%20Content&lvl=1&etfs=tHvk6pX5XnEGypSE64Dn8g&ac=on&isCompany=False&qry=Driver%20Guidelines

Most of us are aware of the push the Department of Labor (DOL) has made to thoroughly examine the working relation of “Independent Contractors” and employees in our world of trucking.  A lot of trucking companies (carriers) hire “Owner Operators” and come to terms of employment through an Independent Contractor Agreement. Most carriers think that alone is enough, but the DOL and the courts will look far beyond any contract, and drill down to the day-to-day relationship between carrier and contractor. Most of us have an idea of what an employee is and what it is not, so this article will focus on the consequences of misclassifying employees and contractors as well the “rules” for who is and who isn’t. When carriers add up payroll taxes, workers compensation insurance, benefits, paid time off on top of wages, they will find the true cost of employment to be well above base wages forcing them to determine if they should hire a prospective driver or lease an independent contractor.  The relationship the company has over the driver is often what is overlooked in the test to determine status of employment but also the most important because it is illegal. Some of the tests and factors used to determine employment status: Level of Control -The more control a company has over an independent contractor, the more likely that the driver will be deemed an employee. Ownership of Equipment/Vehicles – If the company owns the truck, more times than not that driver will be deemed an employee Who dictates pickup/delivery? Who can change routes? If the company sets work schedule, pick up times and routes to travel, the driver will likely be deemed an employee. Now that we have an idea of who is an employee and who is not, let’s look at some of the penalties for misclassification.  Under the Fair Labors Standards Act, any employer who violates the act is liable for back pay from when the courts deem the driver an “employee”, plus an additional equal amount as liquidated damages. Employers will also be exposed to back pay of mandatory payroll taxes, Social Security and Medicare (FICA), unemployment insurance and workers compensation insurance. The lost revenue from those businesses that misclassify can add up to billions of dollars as well as lost tax revenue and the added costs of providing social services to uninsured workers. Employers who misclassify are not responsible for providing health insurance and are able to bypass requirements of the Fair Labor Standards Act, as well as the 1986 Immigration Reform and Control Act. Employers who play by the rules are disadvantaged by higher labor and administration costs relative to employers who misclassify. Misclassified workers are ineligible for unemployment insurance, workers’ compensation, minimum wage, and overtime, and are forced to pay the full FICA tax and purchase their own health insurance. It is important to understand that there is more to determining the classification of independent contractor than just having a signed Independent Contractor Agreement between a company and an individual.  If an individual is misclassified as an independent contractor, but is determined to be an employee, there is a potential for significant fines to a carrier along with paying potential back taxes and further scrutiny of how your other independent contractors are classified. References https://www.transforce.com/truck-drivers-employees-or-independent-contractors/ https://www.palaylaw.com/owner-operators/independent-contractor-or-employee-test/ https://www.epi.org/publication/independent-contractor-misclassification/ https://www.thebalancesmb.com/independent-contractors-4161418 (Tax Court Case 2: The Case of the Trucking Company)

Often times questions come up about the differences between Umbrella and Excess Liability policies.  Too often we are using the words interchangeably and there are notable differences between the two.  There are a few things to note right away.  First – a true Umbrella policy will typically include a deductible in the coverage form, typically called a Self Insured Retention (SIR).  Second – just because a policy covers more than one coverage does not make it an Umbrella policy. Lastly – Umbrella policy forms are broader than Excess Liability policies. Umbrella and Excess Liability policies are used to increase the underlying policy limits.  Even if you carry the standard limits for General Liability or Auto Liability, there might come a time where a settlement in a claim is more than your policy limit. Therefore anything above that policy limit would have to be paid out of pocket by the company if an Umbrella or Excess Liability policy did not otherwise exist. What are the differences between the two? Umbrella liability is a type of liability that provides additional limits over the underlying liability.  The biggest advantage of an Umbrella policy is that it may provide additional coverages not otherwise included in the underlying liability policy. They also help broaden the business insurance liability so that the gaps in coverage are closed and eliminated.  It offers first-dollar liability coverage which is above any deductible or retained limit. Excess Liability also provides additional limits over the underlying liability policies but in a more restrictive manner.  There may be more restrictions in the Excess Liability policy than the underlying liability policy has.  It incorporates and follows all the definitions and limits of the underlying policies, but does not provide any additional coverages that the underlying policy may be lacking. Why is it a good idea to have an Umbrella or Excess Liability policy? Either of these policies, no matter which fits your company's needs better, provide extra protection against claims by others, including personal injury or property damage for which you are legally liable, non-business related liabilities including slander, false arrest, and libel, and even defense costs for attorneys.  The limits provided in Umbrella and Excess Liability policies can range from $1,000,000 to $5,000,000 and above.  The right amount is dependent on the value of the assets you need to protect and also those assets that may be acquired in the future. Umbrella policies can arguably be the better decision if extra coverage is needed.  An umbrella policy has a broader form and does not simply follow the underlying policy forms.  The insurance it provides is based on the coverage form found in that Umbrella policy, not just in the underlying policies.  It can provide extra insurance for the gaps missed in the underlying policies.   It can however be the more expensive option of the two.  Excess Liability policies follow the forms of the underlying policies and nothing more.  There is no excitement in an Excess Liability policy; all coverage disputes arise from the underlying coverage. As claim costs start to rise it is always helpful to check into both of these options to help provide extra protection for your company.  The typical $1,000,000 limit isn’t what it used to be and you definitely don’t want to find that out when that large claim happens. References Difference Between Business Insurance Now Travelers SilverPlume

Streamlining Logistics Efficiency through Route Optimization Software Load and route optimization software systems were created to make companies more efficient by assisting with delivery routes and schedules. This is an investment worth exploring for long or short-haul companies.  With increasing customer demands for service, speed, and competitive price, load and route optimization software offers an efficient way to find the best delivery routes and schedules. This product can also assist business success with finding fuel savings, improved load efficiency, and even more stops per day. Manual route planning does not offer the solutions that can help change the route optimization and planning process at a more precise level of sophistication. Key Variables and Considerations in Choosing Route Optimization Software The key is knowing how to choose the right vendor and also knowing which variables influence your business the most while on the road. For every job many variables are needed to complete the shipment. Some of the variables to consider are listed below: Delivery time Inbound and outbound shipments Dock restrictions Traffic congestion Customer locations & delivery quantities Driver shift times Truck size and height restrictions Unloading/re-loading duration Traffic speeds, temporary road construction & road detours One-way streets and other street limitations Travel times and distances, meal & HOS breaks Road types urban or rural After you identify the variables most pertinent to your everyday hauls, it is then time to find the right vendor to purchase the software from. The key is how to get to the right vendor and pick the best system for your business. Know Your Specific Business Niche Some software products are more geared for short haul, some long haul and some a combination of both. A company should keep in mind its long-term goals when making a software investment. Where do you see the company evolving? Will you be making multiple stops, multi-leg, or long haul? Each vendor’s program will have its advantages and disadvantages and you want to ensure the program will fit your business’ one, three, and five-year plans.  Asking friends and competitors what they have used, or are currently using, can provide valuable insight on the effectiveness and ease of use for a vendor you are considering.  Some programs have certain limitations and do not offer the flexibility your business may need that other programs offer. With the proper training and software that fits your business needs, you can find the best and most cost-efficient delivery routes and schedules while making the most of your customers’ demands. References https://www.inboundlogistics.com/cms/article/selecting-a-load-and-route-optimization-system/

Challenges and Solutions in Retaining Drivers in the Trucking Industry Along with growth comes growing pain. The trucking industry has seen steady growth over the last 2 years of 2.4% annually. 2015 appears to be ramping up to exceed this with the US Department of Labor reporting that January’s growth for the trucking industry added 2400 new jobs. That’s 3.5% growth and up significantly from the previous January when only 100 new jobs were created. Innovative Strategies for Driver Retention As many trucking companies grow, the driver pool appears to be shrinking. This compels some companies to think outside of the box when it comes to attracting and retaining drivers. One of the biggest hurdles of the industry is the time drivers are required to be away from their homes and families. Boyd Bros. Transportation has been installing in-cab satellite systems into some of their sleeper units. The thought of making their drivers feel more at home has helped to increase employee satisfaction and has the potential to entice new drivers. EpicVue offers an in-cab satellite system that offers 100+ DirecTV channels that can increase the quality of life by keeping drivers connected while on the road. With driver regulations and a changing mindset focused on improved health, the trucking industry has been hit hard. A lifestyle on the road can make focusing on your health even harder. Prime, Inc has taken an innovative stance and hired a fitness trainer. This trainer is a past driver himself with a background in fitness, so he is well aware of the obstacles that drivers face on a day-to-day basis. While drivers are more likely to be on the road, than in the gym, a trainer to help guide employees in alternative ways to improve their health has been key. Women in Trucking Foundation's Supportive Initiatives Another “untapped” pool may also be women drivers. Ryder Systems, Inc. has made a ground-breaking move and will be offering trucks for lease that are ergonomically designed for women. Ryder is offering 15 custom specifications that are designed to make driving more comfortable and safer for drivers of smaller stature, such as women. Some of these changes include lowering the grab rails, adjusting the seat belt, a hood lift/closure assistance mechanism and adjusted oil and coolant checks and fill ports. These adjustments are intended to eliminate some of the hurdles that women and other drivers may face. The Women in Trucking Foundation has worked closely with Ryder to make recommendations that would encourage women to seek employment in the trucking industry. The Women in Trucking Foundation also offers an annual scholarship for safety and technical training and a mentoring program for women in the industry to create a network of personal and professional individuals. What draws most of us to the trucking industry? Constant, evolving growth and people. In times of growth, it is important to be willing to think outside of the box to retain the quality employees you currently have and attract valuable new employees. Resources Malloy, Michael G. “Trucking Adds 2,400 Jobs as January Payroll Swells.” Transportation Topics Feb. 2015: 6, 56. “Ryder will Offer First Trucks for Lease that are Designed for Female Drivers.” Transportation Topics Feb. 2015: 18. “Boyd Bros. Installing Satellite Television in Cabs to Assist with Driver Retention.” Transportation Topics Jan. 2015: 12. Gounley, Thomas. “Prime, Inc Program Aims to Improve Health of Truckers.” Sept 29, 2013. https://www.primeinc.com/prime-inc-program-aims-to-improve-health-of-truckers, March 2, 2015. Akbari, Dr. Anna. “Together Alone.” May 21, 2014. https://epicvue.com/together-alone/

I have lost count over the past 16 years the number of times I’ve been asked, “If I have Auto Liability, why do I need General Liability insurance?” or even, “What does General Liability even cover for a motor carrier?” If you have ever thought or asked a variation of one of these questions, hopefully this article will help you get a better understanding of the differences in these coverages. What is Auto Liability Insurance? This coverage protects a motor carrier against the costs associated with their negligence while operating a motor vehicle. Auto Liability is a two-part coverage, insuring both bodily injury and property damage of others.  Should an individual driving on behalf of the motor carrier cause injury or death to an individual, the carrier could be responsible for monetary damages. A few examples of bodily injury costs include medical payments, lost wages, and pain and sufferings.  The second coverage provided under this policy is property damage, or in other words, the damage to someone else’s property caused by the negligence of the insured. Auto Liability coverage continues to be at the forefront of discussions between brokers and motor carriers, due to the potential impact of increasing the federal minimum limit requirement. Currently, a motor carrier must carry a minimum of $750,000 of Auto Liability coverage to run as an “interstate carrier.” It remains to be seen what or if any adjustment will occur in the near future. Why Does a Motor Carrier Need General Liability Coverage? Have you ever said, “It’s glorified slip-and-fall insurance, I don’t see the need for it?” Truckers need General Liability coverage because their exposure is not limited to the road. The trucker’s General Liability policy protects against liability claims for bodily injury and property damage arising out of premises and operations, as well as products and completed operations. According to InsuranceFinancial.net, here are a few reasons truckers purchase General Liability protection: Actions of a driver while on the premises of others (loading docks, truck stops, motels, etc.) Customers coming onto your premises (trip and fall) Erroneous delivery of goods Fire legal liability Contractual liability (lease agreements, intermodal agreements, and the like) At the end of the day, both policies are vital for a motor carrier to be properly covered. I would urge you to sit down with your broker and engage in a conversation specific to your company and the protection your policy provides. Resources InsuranceFinancial.net

At some point in time, while operating your trucking company, you will be the active recipient of an on-site focused investigation performed by the Federal Motor Carrier Safety Administration (FMCSA).  Rather than react to this news after seeing the letter, it is much better to be proactive knowing it will eventually happen.  This article will prepare you for what you need to know and what is going to happen during the inspection. Proactive Measures for a Successful FMCSA Compliance Review Prior to arriving the FMCSA officer will generally request a copy of your driver list, vehicle list, and copy of your current MCS-90.  At the time of the onsite visit, they will review the following documents: Proof of financial responsibility Driver Qualification Files Drug and alcohol testing records Records of duty status and supporting documents Driver vehicle inspection reports and maintenance records FMCSA accident register Hazardous materials records (if applicable) The audit is normally one or two days long.  Because of the amount of information that will be reviewed, having this material ready upon arrival and organized is essential.  This shows that your company is dedicated to compliance and safety.  While you should have all the information ready and organized, provide only the information to the investigator as they request it. The paperwork will be audited, but the auditor will be requesting more explanation of your programs, processes, and policies.  Rather than just having a driver hiring process on paper, they want you to be able to explain it, how it works on a daily basis, and real world situations.  Having everything documented is essential, but the investigator will need to know that it is actually understood and implemented to offer satisfactory scores. Auditing Beyond Paperwork: Programs, Processes, and Policies The single most important area of review is for hours-of-service. This is frequently where carriers are downgraded with civil penalties assessed and even shutdowns occur.  Any time a high-profile accident occurs, this is the first category discussed.  Investigators want to see a meaningful program in place.  If electronic logs are not currently in place, it is a necessity to have a documented system where punishments or incentives are meaningful for specific behavior in logs. Offering multiple written warnings will no longer be deemed an effective management strategy. Being proactive on the following activities should make the receipt on notice of inspection a non-event. From the beginning, hire safe and qualified drivers. Use a Pre-employment Screening Program (PSP) and document the guidelines. Document safety policies. Require monthly driver meetings. Use your PIN number on CSA to track all roadside inspections by driver. Utilize Data Q. Create driver reward programs and set discipline for those outside standards. Review all crashes and have responses to each. Conduct internal audits to make sure everyone on the team is completing the required processes. If you focus on the 6 categories at the beginning of this article (7 if you’re a hazmat carrier), and have solid processes to back up the paperwork, these investigations should go very smoothly. Resources May 2014 Webinar, “What to Expect during your FMCSA Compliance Review,” Transportation Safety Webinar Series

OSHA requires certain employers to electronically submit workplace injury and illness information to the agency through its Injury Tracking Application (ITA) every year. On July 17, 2023, OSHA announced a final rule that requires certain employers in designated high-hazard industries to electronically submit additional injury and illness information. This additional information can be gathered from records that employers are already required to keep. The final rule becomes effective on Jan. 1, 2024. The ITA will begin accepting 2023 injury and illness data on Jan. 2, 2024. Injury and Illness Submission Expansion Overview Under this OSHA final rule, establishments in certain high-hazard industries must electronically submit information from their Log of Work-Related Injuries and Illnesses and their Injury and Illness Incident Report. The final rule includes the following submission requirements: Certain establishments must electronically submit detailed information about each recordable injury and illness entered on their previous calendar year 300 Log and 301 Incident Report forms (29 CFR 1904.41) to OSHA. This includes the date, physical location, and severity of the injury or illness; details about the worker who was injured; and details about how the injury or illness occurred; Only establishments with 100 or more employees in designated industries are required to submit case-specific information from the OSHA Form 300 Log and the OSHA Form 301 Incident Report; and The data must be electronically submitted through OSHA’s ITA. Establishments are also required to include their legal company name when making electronic submissions to OSHA from their injury and illness records to improve data quality. The final rule retains the current requirements for electronic submission of Form 300A information from establishments with 20-249 employees in certain high-hazard industries and establishments with 250 or more employees in industries that must routinely keep OSHA injury and illness records. Some of the data collected on the OSHA website will be published to allow employers, employees, potential employees, employee representatives, current and potential customers, researchers, and the general public to use information about a company’s workplace safety and health record to make informed decisions. OSHA stated that it believes that providing public access to the data will ultimately reduce occupational injuries and illnesses. Electronically Data Submission Required data submissions must be electronically submitted through OSHA’s ITA. To comply with this requirement, employers may: Use the webform on the ITA; Submit a comma-separated value file to the ITA; or Use an application programming interface feed. The due date to complete this submission is March 2, 2024. The submission requirement is annual, and the deadline for timely submission of the previous year’s injury and illness data will be on March 2 of each year. Benefits of the New Requirements Other than providing public access to injury information, the access to establishment-specific, case-specific injury and illness data will help OSHA identify establishments with specific hazards. This will enable OSHA to interact directly with these establishments through enforcement and/or outreach activities to address and abate the hazards and improve worker safety and health. These same data will also allow OSHA to better analyze injury trends related to specific industries, processes or hazards. OSHA believes that the collection and publication of data from Forms 300 and 301 will not only increase the amount of information available for analysis but will also result in more accurate statistics regarding work-related injuries and illnesses, including more detailed statistics on injuries and illnesses for specific occupations and industries. Employer Next Steps Employers should review the requirements in the final rule to understand whether they are in a designated industry and to understand any new regulatory requirements. Affected employers should update and implement related compliance policies and procedures by Jan. 1, 2024.

As you prepare to transition from college to the professional world, creating a compelling resume is key for landing your dream job. Your resume serves as your personal marketing tool, showcasing your skills, experiences, and qualifications to potential employers. Here's a complete guide to help you master and maximize your resume as a recent college graduate: Start with a Strong Heading:  Open your resume with a clear and professional heading that includes your full name, contact information, and optionally, your LinkedIn profile URL. Make sure your email address is professional and avoid using nicknames or unprofessional handles. Craft a Compelling Personal Statement:  Follow your heading with a brief personal statement that highlights your career goals, key skills, and what you bring to the table as a candidate. Tailor this section to the specific role or industry you're targeting and keep it brief but impactful. Highlight Your Education:  As a recent graduate, your education section should be prominently featured on your resume. Include the name of your institution, the name of your degree, your major/minor, graduation date (or expected graduation date), any academic honors or awards you've received, and optionally, your GPA. Showcase Relevant Experience:  Next, outline your relevant work experience, internships, volunteer work, and extracurricular activities. Focus on experiences that are directly related to the job you're applying for and use action verbs to describe your accomplishments and responsibilities. Quantify your achievements whenever possible to demonstrate tangible results. Be sure to list the most to least recent. Emphasize Transferable Skills:  Highlight transferable skills gained through your coursework, internships, and extracurricular activities that are applicable to the job you're seeking. These may include communication skills, leadership abilities, problem-solving capabilities, and teamwork. Include Additional Sections as Needed:  Depending on your background and experiences, consider adding additional sections to your resume, such as relevant coursework, certifications, professional affiliations, athletics, clubs and organizations, language proficiency, or technical skills. Only include sections that elevate your application and are relevant to the job you're applying for. Proofread and Format Professionally:  Before submitting your resume, thoroughly proofread it to check for any spelling or grammatical errors. Additionally, ensure that your resume is formatted professionally and consistently, using clear headings, bullet points, and an easy-to-read font, but also don’t be afraid to let your personality shine through. Keep your resume length to one page whenever possible. Seek Feedback and Revise:  Don't hesitate to seek feedback on your resume from trusted mentors, career advisors, or other professionals. Incorporate their suggestions and revise your resume accordingly to ensure it’s polished and effective. Submitting and Sharing Your Resume:  Once your resume is finalized, it's time to submit it to your potential employer. Follow the application instructions provided in the job posting, whether it's through an online application portal, email, or mail. Additionally, consider sharing your resume with your network of contacts, including family, friends, professors, and alumni. Networking can often lead to valuable job opportunities and referrals.   By following these tips and strategies, you'll be well-equipped to create a standout resume that effectively showcases your strengths and accomplishments as a recent college graduate. Good luck on your job search journey! Discover exciting career opportunities at Cottingham & Butler today! Whether you're seeking a full-time position or internship opportunity, we're always eager to welcome talented young professionals like you to our team.