The trucking industry has received a reprieve from the hours of service rule for drivers who are hauling freight to provide relief in the national emergency that is the healthcare pandemic COVID-19. Meanwhile, the spot market has started to tighten amid the outbreak as carriers ask their employees who can work remotely to do so.
The Federal Motor Carrier Safety Administration (FMCSA), a division of the U.S. Department of Transportation, won’t require commercial vehicle drivers to abide by the hours of service regulation if they are transporting freight to provide relief in the outbreak. This is the first time the FMCSA has issued nationwide relief of the regulation and follows President Donald Trump’s national emergency declaration in response to the virus.
The exemption from the regulation will allow drivers to haul “critical goods to impacted areas faster and more efficiently,” said Jim Mullen, acting administrator for FMCSA. “FMCSA is continuing to closely monitor the coronavirus outbreak and stands ready to use its authority to protect the health and safety of the American people.”
Drivers will be exempt from the regulation for providing direct assistance in support of emergency relief efforts, including the delivery of medical supplies and equipment related to the testing, diagnosis, and treatment of COVID-19; items such as masks, gloves, hand sanitizer, soap and disinfectants for healthcare workers, patients and community safety and to prevent the spread of COVID-19 in communities; and food for emergency restocking of stores.
Once a driver completes a delivery, they must receive at least 10 hours of off duty time, if transporting property. The exemption will remain in effect until the termination of the emergency or April 12.
In a recent report, senior research analyst Benjamin Hartford and research analyst Andrew Reed, both of Baird, said FMCSA’s decision to allow for the exemption is in part a response to the recent tightening in truckload capacity. Spot truckload market activity has risen as a result of “the surge in demand for consumer staples and destocking of inventory given preparation for extended shuttering of activities across the U.S. in recent days and incremental reduction in supply.”
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