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What shippers should know about driver misclassification by California drayage carriers

Aug 8, 2019 / by Jerry Critchfield posted in Southern California Ports, West Coast Distribution, Third Party Logistics, 3PL Outsourcing, Labor issues, Drayage, Regional Logistics, Northern California 3PL, logistics in California

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With the state supreme court’s Dynamex decision, followed by its Senate Bill 1402 (SB 1402), California’s position on the hiring of independent owner-operators by drayage carriers is now firmly established. In short, the state asserts that many of these contractors are not independent after all – and those that claim to be acting as employees of the hiring companies have solid legal ground to sue for wages and benefits.

Many beneficial cargo owners (BCOs) have seen the writing on the wall and are protecting themselves from possible legal and financial penalties by turning away from drayage carriers who engage contractors. Others are not yet reacting, while still others may not even be aware of recent legal precedents. In this article, we’ll get you up to speed on these developments and help you determine whether your prospective carrier’s drivers in California are actually considered to be on that carrier’s payroll or are sub-contractors.

Jul 25, 2019 / by Jerry Critchfield posted in Southern California Ports, West Coast Distribution, Port Logistics, 3PL Outsourcing, Labor issues, Drayage, Distribution, logistics in California

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Drayage is technically just another transportation service. A driver picks up a load and then delivers it.

With port drayage, however, this simple process becomes much more complex. Navigating seaport terminals is a tricky business on a good day and can become extremely difficult as rules change from terminal-to-terminal, or even hour-to-hour. To navigate the ports effectively – and avoid wasting time and money – shippers need to ensure the drayage carriers they work with have a roster of experienced drayage drivers.

Jul 11, 2019 / by Todd Naramore posted in Shared Warehousing, Third Party Logistics, Vendor Compliance, 3PL Outsourcing, eCommerce Fulfillment, Fulfillment B2C

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If you’re selling online, chances are you’re selling on Amazon. And, if you’re selling on Amazon, you want to be Prime-certified to reach Amazon’s 100+ million Prime customers. These ‘frequent flyers’ spend an average of 1,400 per year[i] on the site.

To become Prime-certified, many sellers go straight to the source and let Amazon handle fulfillment through their Fulfillment by Amazon (FBA) program. But there is another Prime-friendly option available to you: Seller Fulfilled Prime (SFP). In this article, we’ll take a closer look at this Amazon seller fulfillment program and the ways in which it differs from FBA.

Jun 13, 2019 / by David Hooper posted in Third Party Logistics, Vendor Compliance, Chargebacks, 3PL Outsourcing, Logistics Compliance

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If you’re a manufacturer, supplier or any other type of company seeking to do business with big box retailers, a key word to consider is “compliance.” Every retailer has its own distribution infrastructure – complete with its own processes and procedures that allow products to flow through to stores in the most efficient manner possible. They expect vendors to adhere to these processes and procedures. In this article, we’ll examine the most important aspects of retail compliance so that you can enjoy successful, long-lasting relationships with your retail partners.

May 23, 2019 / by Arlene M. Slivka posted in West Coast Distribution, Public Warehousing, Shared Warehousing, Third Party Logistics, west coast warehouses, Warehouse operations, 3PL Outsourcing, Distribution Center

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You’re ready to outsource your warehousing operations to a 3PL that has the expertise, technology, and capabilities to handle your unique business day in and day out. One of the first questions a 3PL will ask is if you are interested in dedicated or shared warehouse services. Or, if you have been in a shared 3PL service contract for a while and your business has grown significantly, would it benefit you to move to a dedicated solution? In this article, we’ll briefly explain what each of these services entails and then examine ‘the four Cs’ to consider when choosing between the two choices.

Apr 25, 2019 / by Mimi Ma posted in Public Warehousing, Shared Warehousing, Third Party Logistics, 3PL, Warehouse operations, Vendor Compliance, Food Supply Chain, 3PL Outsourcing, Cold Chain Managment, Refrigerated Trucking, Food Logistics, Confectionery Logistics, Distribution Center, Distribution

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When you entrust your food and confectionery products to a food warehousing provider, you’re relying on that company to be much more than a provider of space. You’re really relying on them to be a partner that will work to protect the integrity of your products through every step of the supply chain. And, while every 3PL warehousing company will promise to be just that, you must find one that truly “walks the walk.” In this article, we identify 5 things that you should look for in a warehousing provider before entrusting them with your food or confectionery products.

Apr 11, 2019 / by Jerry Critchfield posted in Southern California Ports, West Coast Distribution, Port Logistics, Third Party Logistics, 3PL, Transportation Strategies, 3PL Outsourcing, Labor issues, Regional Logistics, Logistics Compliance, logistics in California

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Carriers are having a rough go of it as of late. The truck driver shortage has left them scrambling to find new drivers to fill seats vacated by those retiring, leaving the industry, or switching jobs. There just aren’t enough new drivers to fill the void.

In most parts of the country, carriers can augment their company driver force with independent truck drivers (“owner-operators”) to fill in service gaps. In California, however, this has become difficult due to regulations and landmark court decisions that alter the way drivers are classified in the state. In this article, we’ll examine some of these and explain why the ramifications ultimately affect shippers just as much as carriers.

Jan 24, 2019 / by Robert Deiro posted in West Coast Distribution, Public Warehousing, Third Party Logistics, 3PL, west coast warehouses, 3PL Outsourcing, Regional Logistics, Distribution Center, Distribution, Warehouse

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The three states that border the Pacific Ocean are home to 48 million people, with the states just slightly inland adding millions more to the population of the “Western U.S.” With such a sizable chunk of the U.S. population residing in these Western states, West region distribution is a vital part of the supply chains of companies whose products originate in the Central and Eastern U.S.

In recent years, however, multiple factors – the truck driver shortage chief among them – have made long-haul truck runs to the West Coast increasingly unreliable and inefficient. The response of many companies has been to focus less on shipping West and, instead, store products in a West Coast distribution center operated by a third-party logistics provider (3PL).

Nov 29, 2018 / by Weber Logistics posted in Southern California Ports, West Coast Distribution, Third Party Logistics, 3PL, west coast warehouses, 3PL Outsourcing, eCommerce Fulfillment, Pick and Pack, Multi Channel Fulfillment

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Growing from 100 orders per month to 15,000 per month. For most companies, that’s a dream come true. But if you have the wrong solution in place for eCommerce order fulfillment, that’s a dream that may never materialize. Here at Weber, this type of quick growth spurt can, and has, happened with eCommerce order fulfillment clients. The only way to handle it is to have an operation that can seamlessly scale to meet the uptick in demand.

Nov 15, 2018 / by Weber Logistics posted in Southern California Ports, West Coast Distribution, Third Party Logistics, 3PL Outsourcing, Drayage, 3pl contracts

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Does your logistics operation source drayage services in California? If so, read on as new legal developments in the state can put you on the hook for damages if the drayage provider you hire is misclassifying employees as independent owner/operators.

This latest shot across the bow in California’s labor battles comes in the form of California Senate Bill 1402 (SB 1402). The Bill was signed by Governor Brown on September 22, 2018 and will take effect on January 1, 2019. In this article, we’ll summarize the new Bill and explain what it means for shippers and other companies that hire port drayage companies in the state of California.

West Coast and California Logistics Blog

What shippers should know about driver misclassification by California drayage carriers

Why Experience Matters for Drayage Drivers

Life After FBA: Amazon Seller Fulfillment of Your Prime Orders

What You Need to Know About Retail Compliance

The Four Cs: Choosing Between Shared and Dedicated Warehouse Services

5 Things to Look for in a Food Warehousing Provider

Why Carriers are Stepping Away from Independent Truck Drivers in CA – and Why Shippers Should Care

Let a 3PL’s West Coast Distribution Center Help You During the Driver Shortage

The Importance of Scalability in ECommerce Order Fulfillment

California SB 1402: What You Need to Know

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