News Briefs - Sept. 7
The Latest Headlines:
- Corporations Announce Plans to Cut 74,000 Jobs in August
- Arkansas Best Considering Next-Day Service
- Illinois Gov. Signs Bill Lowering Trucking Fees
- UPS, FedEx Among Carriers Awarded New China Cargo Flights
- Fuel Systems Names Carpentier President, COO
- Arkansas Best Considering Next-Day Service
Corporations Announce Plans to Cut 74,000 Jobs in August
Large U.S. corporations announced plans in August to cut 74,150 jobs, a 7.2% decrease from a year earlier but a 6.6% increase from the month before, placement firm Challenger, Gray & Christmas Inc. said Tuesday.August's total was the most since February, the report said. However, plans for job cuts through the first eight months of 2004 have fallen 23% compared with 2003.
The figures are not adjusted for seasonal variations, making it difficult to compare them from one month to the next, Bloomberg said.
Job-cut plans are not the same as firings because many of the reductions will be carried out through attrition or early retirement. Also, some employees find work elsewhere in their companies, and many announced staff reductions never take place because business improves. Transport Topics
Arkansas Best Considering Next-Day Service
Arkansas Best Corp., the parent of less-than-truckload carrier ABF Freight System, said the company may add next-day delivery service in 2005, Bloomberg reported.Chief Executive Officer Robert Young said in an interview the company could start the service in one region and then "work out the kinks" before expanding the service.
Young also said the company was experiencing strong demand in July and August.
Arkansas Best is ranked No. 16 on the Transport Topics 100 list of the largest U.S. and Canadian trucking companies. Transport Topics
Illinois Gov. Signs Bill Lowering Trucking Fees
Illinois Gov. Rod Blagojevich on Friday signed legislation to phase out a fee he imposed on the trucking industry, the Associated Press reported.The state raised trucking fees last year to help balance the budget, but critics said the move drove business out of Illinois, AP reported.
The new legislation would reduce fees to $600 in 2005 and $400 a year later from about $1,000 now. It also makes it easier for truckers to qualify for a tax exemption based on how much of their business is done across state lines, AP said. Transport Topics
UPS, FedEx Among Carriers Awarded New China Cargo Flights
The Department of Transportation on Friday proposed adding 39 weekly all-cargo flights between the United States and China.The deal signed between the two nations would give UPS Inc. and FedEx Corp. an additional 12 weekly flights each and Northwest an additional six flights. In addition, Polar Air Cargo would gain its first nine weekly flights.
"This marks the first step in an unprecedented expansion in all-cargo aviation services between the United States and China," DOT Assistant Secretary for Aviation and International Affairs Karan Bhatia said in a statement.
The overall deal would allow a total of 195 new weekly flights over the next six years -- 111 by all-cargo carriers and 84 by passenger airlines. Of the new cargo flights, 21 are available for operation now and 18 may be added on March 25, 2005.
DOT said China is the United States' largest transoceanic trading partner and is expected to grow faster than any other U.S. air freight market over the next two decades. Transport Topics
Fuel Systems Names Carpentier President, COO
Fuel Systems LLC, Grand Rapids, Mich., said it named Keith Carpentier president and chief operating officer.uel Systems specializes in vehicle-mounted fuel tanks and hydraulic tanks for vehicles ranging from heavy-duty trucks and mass transit buses to industrial, construction, off-highway, emergency and agricultural equipment.
The company said that in his new position, Carpentier would manage the day-to-day operations of Fuel Systems, which has more than 400 employees and locations in North Carolina, Ohio, Virginia, Illinois and Michigan.
Prior to accepting his new role, Carpentier had been the company’s executive vice president and chief financial officer, Fuel Systems said.
Fuel Systems also said that he joined the company in 2001 during the company’s acquisition from Borg Warner, a manufacturer of highly engineered components and systems for vehicle powertrain applications worldwide.
Carpentier brings more than 22 years of experience in the automotive industry, including his service in high-level financial positions with Dana Corp. and Benteler Automotive, the company said. Transport Topics
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