WASHINGTON, D.C. Aug. 21, 2018 – In September, 75 c-suite executives and young professionals in logistics leadership will be part of an intensive two-day boot camp.  The first CLDA Final Mile Executive Leadership Summit will be held September 27-28, 2018. The site will be the Eaglewood Resort and Spa in Chicago.  This skills development boot camp will concentrate on practical working knowledge for top-level logistics leaders.

Today, the CLDA announced details of the sessions, which are designed to develop the leaders of the future in our industry.  They include:

Day #1

Is Waste and Inefficiency Threatening Your Business?  Waste and inefficiency will sink a business.   The principles of lean thinking in business have helped manufacturers, healthcare providers and even financial service providers to cut the waste and inefficiency in their operations. They can do the same for logistics companies.  Participants in this session with learn about ways lean thinking can change the way they do business.

Shaking the Risk Tree: Mitigate Your Risk:  Risk assessments are crucial to the growth and development of a company.  They can contribute to an organization’s ability to capitalize on events as they occur.  In this session participants will learn to assess and analyze their personal risk strategies.

Using Start-Up Mentality to Re-energize Your Company – Meet the Veterans:  Start-ups meld technology and innovation to solve a problem. Their employees have a passion that drives their companies to make the world a better place. In this session, a panel of start-up executives will give participants a front row seat to what worked and what didn’t work for them.  They will talk about ways to bring the start-up mentality to participants’ businesses and workforces. 

Metrics: Why They Matter:  Lean mentality is based on an ability to assess and identify problem areas through metrics.  In this session, participants will take a deep dive into the metrics that are most important in the logistics industry. They will discover which metrics to monitor; why they matter and what levels are good or bad for this industry.

When Boomers Meet Millennials - Leading the Next Generation to Success: This session will deal with the question of how to make the most of the next wave of employees.  The newest generation of workers sees their jobs differently than their predecessors.  Participants will learn how to harness their active attention spans and quest for life balance to help their business grow over the next decade.  In this session participants will identify their management styles; learn about the ways these styles differs from those of new workplace entrants and hear how to lead them (and their companies) to growth and success.

Day #2

Leadership in Action: Industry veteran Rob Hackbarth will lead a discussion of the principles of leadership he’s used to build his career and his company during his 40+ years in the industry.  Hackbarth is the founder and board member of Hackbarth Delivery Service in Mobile, AL. and a member of the CLDA Hall of Fame.

Developing Your Leadership and Management to Improve Your Business: In this session participants will take a deep dive into the difference between a good leader and a good manager. They will learn how to develop their ability to leverage their skills to build the right team for maximum work output.

Ask the Expert Industry Minds: What Keeps You Up At Night?  In this session leaders will discuss common pain points in the logistics industry with their peers.  Together they will tackle common issues such as keeping young professionals; driver retention and recruitment; regulatory issues and responding to competition.

The boot camp will wrap up with a final session in which participants will develop real-world strategies to bring back what they learned to their companies. 

Registration is now open for only 75 industry leaders (limited to two per company) by going to: www.clda.org/els. 

WASHINGTON, D.C., Aug. 13, 2018 -- As the workload for delivery companies heats up, the challenge of finding and retaining quality drivers is getting tougher.  Today, delivery companies, on-line mega retailers, Uber and Lyft are all going after the same pool for their drivers.  And it’s getting tougher and tougher. 

The Customized Logistics and Delivery Association (CLDA) recently interviewed three industry professionals to get their take on the issue and to learn how they are coping with these challenges.  They are:

• Kathleen Grady, HR Director, Priority Dispatch in Cincinnati, OH
• Clayton Peppers, Process Improvement Team Leader, Pace Runners in Birmingham, AL
• Beth Sayler, HR Director at Hackbarth Delivery Service in Mobile, AL

Here’s how their companies are responding to the challenge of recruiting good, dependable and customer-oriented drivers:

Question: What does the landscape look like for recruiting drivers?

Grady: It’s a huge challenge.  First of all, the labor market is very small and it’s shrinking. We’re competing for drivers with companies like Uber and Lyft.  People who are attracted by these companies like the idea of setting their own hours, but they really aren’t interested in becoming true independent contractors.  They just want to pick up three hours of work here and there.  The Millennial market that’s supposed to be coming our way isn’t what we thought it would be.  Supposedly they want to be entrepreneurs.  But they really don’t understand the implications of being independent contractors.  They may be dreaming of being entrepreneurs, but when we talk about all that entails and they compare it to full-time employment they are turned off.  When we get into things like, “You’re going to have to buy your own fuel” or “There are technology fees to get you into our system” they disappear. 

Sayler: I agree with Kathleen.  It’s extremely competitive, and very similar to the environment that exists in the nursing field.  Everyone’s going after the same people.  Even if we attract them, these drivers will jump to another carrier for the smallest reason, so we have to be more creative to get and keep them.  We have to create an environment where people are excited to come to work.  It’s not just about the benefits or the dollar amounts.  If your company creates a culture where people feel they are impacting lives, and not just driving a truck, they’ll come and they’ll stay.  People yearn for something bigger than themselves.  If the environment is such that they feel connected and empowered they are going to stay.  There’s one thing that we all have in common:  we all want to be appreciated, respected, and part of something bigger than ourselves.  We all want to win, and be part of an organization that treats people right. We have to remember that fact to successfully recruit and retain ICs.

We also know that if we find the right people and get them to stay those people have friends we would also like to employ. When these drivers feel part of something, they are going to tell their family and friends about what they do every day with a sense of pride.  That encourages more people to come to work with us.

I also think it’s a matter of being fair with your ICs.  They are in the business of making money, so we need to make sure that what we’re asking them to do is fair financially.  Sometimes we might lose money on a route, but we need to keep the route to be profitable in a particular terminal.  It’s not right to ask the IC to take a hit financially on that route every time.  We need to develop a partnership with them and that means being fair to them financially.   

Peppers: I agree with Kathleen and Beth.  The overall landscape for recruiting drivers, O/Os and carriers is both challenging and competitive.  It also continues to change, adding complexity and confusion at every turn. 

Advances in technology, the “gig” economy, government regulations, and rising consumer expectations, have created a new recruiting environment.  Now, on-demand capacity, perfect execution, and reduced margins are the minimum expectations of clients/customers.  Recruiting to meet these expectations, while achieving our internal goals, must compel us to come up with some creative solutions.   

This industry is in a transformative period and we either adapt or perish. 

QUESTION: How and why is this environment different from five or ten years ago?

Grady: It used to be that this was a great industry for retirees who wanted to make extra money.  We used to work with quite a few of them as drivers.  But that’s not true anymore.  We still have some retirees, but because of the technology applications and the cost of technology it’s not the perfect place for retirees anymore.

Other fees also act as barriers to keep new ICs from coming into the business. These drivers have to pay for these because they are ICs.  There are the fees to lease the equipment and workers comp.  Also, a lot of our customers are long-term care facilities.  ICs for this sector must be drug screened and have background checks.  Those can knock out some people.

Sayler: We’ve added a full-time in-house recruiter who is constantly trying to figure out creative ways to get to potential drivers.  It really helps that she is a Millennial. She relates to these candidates and understands how these applicants view employment and what will attract them. We’ve used multiple job boards including: Courier Board, Indeed, LinkedIn, Craigslist, and other social media outlets  and have tied our website to all of these platforms. We’ve asked our staff and drivers to like our Facebook page and share our posts so they can reach their friends who could be potential ICs.

Today’s environment for attracting drivers is different because Millennials are different. Society has told them that earning a living in a trade is not good. We offer a chance to earn a respectable living, but they’ve heard the message that these kinds of jobs are not for them. 

Peppers: Ten years ago, the economic recession was in its early stages and the landscape was much different than it is now. At that time, there were plenty of available bodies to fill driver seats, but no freight to ship. Now, it’s the other way around. 

QUESTION: What have you done to adapt to this?

Grady: We’re very conscious of how important our social media branding is.  Doing it is very time-consuming.  But you have to. Today, candidates go to the web to research companies before they apply or accept a job.  They go to Glassdoor and Indeed.  We are focused on making sure those sites have the right write-ups about us and the most up-to-date information. We also monitor the comments on Glassdoor and Indeed and respond to them.

Today’s environment makes it important for all of us in the courier industry to be more sophisticated in our recruiting than we were even three years ago.  I have five recruiters working for me and it’s not enough.  They have to put in a lot work to get one person in a seat. 

We are running ads on Craigslist and Indeed.  I’m paying more attention to these kinds of sites and the overall impact of the web than I have historically.  We are also very conscious of our website and its effect.  We have to make sure a candidate has a good experience when they go to our website. 

When we’re moving to a new city we research that city.  We look at the employment and unemployment scene.  We look at the big industries there.   We scour information to see what the market for attraction will be.  I ask questions like: “Is there an industry there that may have unemployment?” “Do I have a retiree population?” “What would their financial stability be?”  “What kinds of places do I have to go to find people?”  “Is diversity an opportunity?”  I’m looking at colleges.  We’ve actually had good success at recruiting at colleges and universities.  I might find engineers who want to job share and may split the work.  International students are also good possibilities. 

To be successful in recruiting drivers today is all about creativity, research and understanding your possible recruits.  We’ll try something new and see how it works.  Then, we’ll share that information among our recruiters.  We have weekly meetings where we share and problem solve together

We try to keep our core process the same but when you have a new customer we have to speed up everything to meet their demands quickly.  We compress a lot of our process.  When you get a new customer with immediate needs, you can’t wait two weeks to get drivers. 

Peppers: We built out our Carrier Relations department in 2017.  The mission was to proactively seek out partnerships with new IC’s/carriers and to maintain a network of long-lasting, mutually-prosperous relationships with them.

My team builds relationships.  We want our carrier vendors to understand Pace’s mission, share in each other’s success, and most importantly, we want to help them grow their respective businesses.   

We’ve increased the variety of incentives and bonuses to our IC’s/carriers/drivers, too, including sign-on; KPI/performance goals; driver referrals and perfect attendance..  And, since a majority of surveyed contractors prefer their gratification sooner, rather than later, we even began offering smaller incentives that are payed in the first settlement, or distributed over the first few settlements.  From Day 1, it lets them know that we appreciate their services; that we’re committed to their future success and that we want do whatever we can to assist them.

On another note, business analytics has really helped us adapt.  We can project our clients’ demand, with reasonable accuracy, much earlier now, by looking at historical figures and current data.  For example, in planning for our upcoming Peak season - November and December - we already have an estimated capacity goal that we’re shooting for.  We will begin onboarding drivers and vendors much earlier than we did previously, which lets us strengthen our carrier relationships and develop the drivers in a calmer season. 

. 

Grady: Those are good points.  We want to show drivers early in our relationship with them how they can make money and be successful in this business.  We try to be flexible and creative in the offerings we make.  Are there costs that can be delayed?  For example, we don’t take out uniform costs until they get one full commission.  We want them to get a taste of success first.

Sayler: Recruiting from the newer generations who are entering the workforce means realizing that they expect flexibility.  They also like to work for companies that are socially and environmentally conscious.  We let them know what Hackbarth Delivery does and where we stand as well as what we are doing to give back to the community.

QUESTION: What are the keys to keeping new drivers?

Grady: Retention is just as important as attraction.  There needs to be a good relationship between operations and HR to make them stay.  We put a lot of focus on onboarding new drivers so they are properly oriented and can be successful as soon as possible.  If HR brings on someone and hands them off to operations they have to know they have a role in keeping them.  Millennials are skittish.  If things don’t work, they won’t hang in there to try again.  They just cut off communication.  When they want to be done with you, that’s what they do.

Everyone has a role here in mentoring new drivers.  Most don’t have courier or business experience.  Dispatch needs to let them know how they interface with them.  HR needs to teach them how to present themselves professionally when they go out professionally.  They need help with business issue like taxes.  We can’t give them tax advice,  but we can tell them to keep good records.

Sayler: Millennials also need to be heard.  They’ve grown up getting a lot of feedback and they depend on it. When people feel like they’ve been heard they tend to stay. It needs to go beyond a yearly review, so if they are messing up they want to know it now and to understand what they can do to fix things. 

We actually learn from Glassdoor.  We look at comments from people, and see if there are issues we can change based on those comments.

QUESTION: What final thoughts can you leave us with when it comes to recruiting drivers today?

Peppers: Look everywhere.  Talk to your current drivers.  They may know someone or they may be interested in expanding their own current workload.  Be persistent in your follow-ups.  Do periodic outreach to previously uninterested contacts to keep them from going stale.  Keep recruiting, whether or not you have current opportunities.  You may not have any open routes or opportunities right now, but every route could become available if a driver is not performing up to expectations.  Jack Welch, former CEO of GE, was well known for terminating the bottom-performing 10 percent of his sales force every year. I’m not necessarily suggesting an approach that is that dramatic.  On the other hand, we know there will be drivers who don’t perform up to expectations and will need to be replaced. 

Another piece of advice is this: Know what your competitors are doing and where you stack up.  There is no better recruitment killer than to offer a bonus that’s 50 percent less than the guy across town is offering. 

Lastly: HIRE SLOW, FIRE FAST.  Take your time to find the right person.  And, once a “wrong” person is identified, let them go at the earliest opportunity.

Sayler:  I would add this: recruiting can’t be just one person’s responsibility in your company. It’s got to be everyone’s job all the time.  Everyone should be a recruiter 24/7/365.  I’ll be at the grocery store and spot a cashier who’s going above and beyond, and say to myself, “Is what we offer a better job for her?”  Look, I have devoted recruiters, and they are really good. They post jobs and monitor and vet candidates as fast as they can, but there’s no way in 40 markets that this group of people alone can be as effective as everyone in the company can be. Recruiting just has to be everyone’s job!

CLDA is a source for information, business development, career advancement and networking opportunities for those in the customized logistics and delivery industry.  For more information go to clda.org.

About the Customized Logistics and Delivery Association

The Customized Logistics and Delivery Association (CLDA) is a non-profit professional association that is the voice of the time-critical logistics and delivery industries.  The association serves the needs of its 3,500 members who are logistics professionals, carriers, shippers, drivers and 3 PLS. Since 1987, CLDA has provided business opportunities, advocacy and education for those involved with the time-critical and last-mile customized delivery industry. For more information see www.clda.org.

Media Contact
Andrea Obston aobston@aomc.com
(860) 243-1447 – office   (860) 803-1155 – cell

WASHINGTON, D.C. Aug. 6, 2018 – The first CLDA Executive Leadership Summit will be held September 27-28, 2018.  Limited to only 75 c-suite executives and young professionals in logistics leadership, it will be held at the Eaglewood Resort and Spa in Chicago.  This skills development boot camp will concentrate on practical working knowledge for top level logistics leaders.

During the two-day intensive sessions participants will work through topics led by facilitators recognized in the industry.  Session titles include:

• Is Waste and Inefficiency Threatening Your Business?
• Shaking the Risk Tree: Mitigate Your Risk
• Using Start-Up Mentality to Reenergize Your Company – Meet the Veterans
• Metrics: Why They Matter
• When Boomers Meet Millennials - Leading the Next Generation to Success
  Developing Your Leadership and Management to Improve Your Business.
• Ask the Expert Industry Minds: What Keeps You Up At Night?

During the last session participants will develop real-world strategies to bring back what they learned to their companies. 

“We are very excited to present the CLDA’s first executive level working summit,” says Conference Chair Errol Cvern, a CLDA Board member and President of Select Express and Logistics.  “Those who attend will benefit from being around the best players in our industry in a small, intimate and compelling setting.  They will cultivate new skills to re-energize their companies and gain a renewed sense of confidence about developing new leaders.”

Registration is now open (limited to two per company) by going to: www.clda.org/els. 

About the Customized Logistics and Delivery Association

The Customized Logistics and Delivery Association (CLDA) is a non-profit professional association that is the voice of the time-critical logistics and delivery industries.  The association serves the needs of its 3,500 members who are logistics professionals, carriers, shippers, drivers and 3 PLS. Since 1987, CLDA has provided business opportunities, advocacy and education for those involved with the time-critical and last-mile customized delivery industry. For more information see www.clda.org.

WASHINGTON, DC, June 7, 2018 – The CLDA recently elected two new members of its board of directors, Tim Cocchia and Randy Edmonds.  They were elected to the board at the association’s annual meeting in New Orleans. Both men are industry veterans who have been committed volunteers for the association for many years.

Tim Cocchia is the Chief Operating Officer at Xcel Delivery Services Inc. in Phoenix, Arizona.  He has been an active member of the CLDA since he joined the association in 2000. He currently serves on the Purchasing Committee. Cocchia previously served on the MCAA Board from 2000-2004. In addition, Cocchia previously served on the association’s Membership Services and Conference Committees.  Xcel Delivery Services provides custom on-demand deliveries, logistics, warehousing, and distribution services throughout Arizona. They work in the banking and medical fields, as well as in other industries as couriers and drivers.

Randy Edmonds is a Partner- Senior Vice President at Nfinity Courier and Logistics in Houston.  Edmonds has been an active member of the CLDA since he joined the association in 1990.  He currently serves on the association’s Shippers Committee; Convention Committee; Purchasing Committee and Disaster Relief Committee.  Nfinity provides logistics and courier services for the pharmaceutical and automotive industry throughout the Southwest and Midwest. They provide scheduled and on-demand pickups and deliveries for medical labs as well as fleet replacement, warehousing and distribution logistics; in-house transportation management programs; route services and mail room management.

The CLDA’s fifteen-member board provides strategic direction and active leadership for the 31 year-old association.  They oversee all govern affairs, conferences, webinars, membership, marketing, industry outreach and member benefit programs.

WASHINGTON, D.C., February 27, 2018 -- Two keynote speakers, best-selling author Chris Fussell and human resource strategist Mike Zorn, will set the stage on two different days of the 2018 CLDA Annual Meeting & Exposition.  The meeting will be held May 9-12, 2018 at the Hyatt Regency New Orleans.  Both keynotes will address the meeting’s theme, “Thriving on Diversity” in their own ways.  The convention is sponsored by TForce.

Fussell is an author of the 2015 New York Times bestseller, Team of Teams: New Rules of Engagement for a Complex World and the 2017 Wall Street Journal bestseller, One Mission: How Leaders Build a Team of Teams. A former Navy SEAL, Fussell is a partner at McChrystal Group where he heads up the McChrystal Group Leadership Institute.  In his remarks on Friday, May 10, he will offer insights into the role that leaders must play in changing the narrative of their organization and adapting to disruption. Copies of his latest book, One Mission will be available and the author will sign the books after his presentation.

Saturday’s keynote will be Mike Zorn, Founder of Zorn Organizational Excelerator and Vice President of Workplace Strategies for WorkJam.  His presentation will focus on ways to maximize teams.  He will talk about the steps to develop an engaged team; ways to improve a dysfunctional team and techniques for building an accountable culture.  “Those who attend Mike’s presentation walk away knowing how to positively impact their business operations and be able to identify practical ways to lead,” says Conference Chair, Steve Howard.

The meeting will feature three days of education and business networking. Sessions will focus on the challenges facing last-mile providers; maximizing the relationships between logistics companies and shippers supply chain management and ways to compete with disruptors now changing the face of our industry.  The meeting’s agenda is packed with information for carriers, drivers and shippers.  Sessions will cover such topics as:

• How to Use Social Media to Recruit and Increase Sales
• Managing Technology Led Disruptions
• Executing Strategy in the Midst of the Whirlwind
• Disaster Preparedness

Shippers attending the conference will be looking for carriers to expand their footprints.They will hold group and private meetings to find logistics providers who meet their criteria.

"TForce, the market leader in Same-Day Distribution, is very excited to be the Convention Sponsor for the 2018 CLDA Annual Meeting & Exposition in New Orleans," says Scott Leveridge, TForce President, US.  "The agenda is brimming with leadership and innovation directly aligned with TForce's 2018 CX and innovative technology focus.  TForce is looking forward to connecting with colleagues, industry leaders, shippers and vendors at the event." 

Sponsorship and exhibition opportunities are still available. To register or learn more about the conference visit: www.clda.org/annualmeeting.

About the Customized Logistics and Delivery Association
The Customized Logistics and Delivery Association (CLDA) is a non-profit professional association that is the voice of the time-critical logistics and delivery industries.  The association serves the needs of its 3,500 members who are logistics professionals, carriers, shippers, drivers and 3 PLS. Since 1987, CLDA has provided business opportunities, advocacy and education for those involved with the time-critical and last-mile customized delivery industry. For more information see www.clda.org.

About Convention Sponsor TForce
TForce Final Mile is the CLDA Annual Meeting conference sponsor.  TForce is the leading Same-Day final mile transportation solutions provider in North America, successfully delivering over 100 million shipments per year. The TForce Final Mile, TForce Critical and TForce Logistics business segments support customers through a dedicated, collaborative and professional organization committed to delivering innovative logistics solutions and an exceptional customer experience.  TForce is a wholly owned subsidiary of TFI International, a North American leader in the transportation and logistics industry. For more information, visit www.tforce.com and follow them on LinkedIn, Facebook, and Twitter.

Media Contact
Andrea Obston aobston@aomc.com
(860) 243-1447 – office   (860) 803-1155 – cell

WASHINGTON, D.C., December 18, 2017 -- The 2018 CLDA Annual Meeting & Exposition will be held May 9-12, 2018 at the Hyatt Regency New Orleans. Industry leaders, shippers and vendors will gather to look at the challenges facing final mile providers and the impact of industry disruptors.

Kicking off the conference will be Chris Fussell a former Navy SEAL Officer and Managing Partner at McChrystal Group.  The McChrystal Group is an advisory services and leadership development firm that specialized in developing adaptable teams that can handle a rapidly changing business environment.  He will offer strategies that last mile companies can adapt to deal with industry disruptors that are changing the way we do business.  Fussell leads the McChrystal Group Leadership Institute, where he brings his Special Operations experience and expertise to train leaders and build effective teams within large, dispersed organizations.

The meeting will feature three days of education and business networking.
Sessions will focus on the challenges facing last-mile providers; maximizing the relationships between logistics companies and shippers supply chain management and ways to compete with disruptors now changing the face of our industry.  “Participants attending this year’s show will walk away with strategies for growth in a changing environment; early looks at what’s coming in our industry; new relationships with shippers; fresh contacts in the industry that can help them expand their service areas; updates on the latest technology and information to help them meet the ever-changing needs of shippers,” says meeting chair Steve Howard. Registration is open.  For the latest information about speakers and sessions, visit: www.clda.org/annualmeeting.

About the Customized Logistics and Delivery Association

The Customized Logistics and Delivery Association (CLDA) is a non-profit professional association that is the voice of the time-critical logistics and delivery industries.  The association serves the needs of its 3,500 members who are logistics professionals, carriers, shippers, drivers and 3 PLS. Since 1987, CLDA has provided business opportunities, advocacy and education for those involved with the time-critical and last-mile customized delivery industry. For more information see www.clda.org.

Media Contact 
Andrea Obston 
aobston@aomc.com 
(860) 243-1447 – office 
(860) 803-1155 – cell 

WASHINGTON, D.C., July 26, 2017 -- A bill introduced yesterday by Representative Erik Paulsen (R-Minnesota) will have a positive impact on American businesses that rely on independent contractor partnerships to meet constantly changing and demanding customer needs. H.R. 3396 amends the Internal Revenue Code of 1986 to provide standards for determining a worker’s employment status, and for other purposes. It puts forth a two-part test that establishes a formal definition of who is an independent contractor and creates Safe Harbor provisions of the Tax Code which also helps to define the relationship between an independent contractor and the service recipient and/or payor. The bill was referred to the House Committee on Ways & Means. Click here to read the full text. 

“Currently, it is difficult and overly complicated for businesses to use independent contractors, which limits companies’ growth and individuals’ work,” said Paulsen. “That’s why I introduced this legislation, which provides clarity and guidance for businesses so they know they are properly classifying independent contractors without fear of IRS penalties. This is another step towards growing and creating a healthier economy in Minnesota and across the country as part of the larger tax reform effort.”

Members of the logistics and delivery industry, which relies heavily on the partnership with independent contractors to respond to fluctuating customer demands, praised Representative Paulsen for his leadership in introducing the bill. 

“This bill provides much-needed clarity and guidance for businesses that partner with independent contractors to provide the flexibility of their workforce they need to meet customer needs,” says John Benko, president of the Customized Logistics and Delivery Association (CLDA). Over 89 percent of CLDA’s members said that their ability to utilize independent contractors was important to their business success, in a recent survey conducted by the association. 

“Independent contractors are the backbone of our industry, allowing us to be responsive and flexible enough to meet changing customer demands,” says Benko. “They are a key part of this nation’s supply chain and our country’s ability to remain competitive in today's economy. As the industry that provides on-demand and same-day deliveries that respond to time-sensitive needs, we rely on independent contractor partnerships to help us fulfill those customer needs. This bill brings clarity and transparency to the definition of an independent contractor, enabling all industries that depend on them to remain in compliance and to properly classify them.” 

The bill provides a new section to the Internal Revenue Code (Section 3511) which will assist businesses in making the proper classification. By adding this section, the goal of H.R.3396 is to assist business with compliance and proper classification of individuals as independent contractors. In 1978, Congress enacted Section 530 of the Revenue Act of 1978 to provide a safe-harbor for businesses with respect to the employment classification of individuals. This came as a result of inconsistent employment tax audits where the definition of “employee” was unclear. Congress affirmatively acted to make the Section 530 Safe Harbor permanent in 1982. However, this issue wasn’t included in tax reform in 1986 and therefore was not codified as part of the Internal Revenue Code. 

H.R.3396 has two basic goals. First, it puts Safe Harbor provisions on a firmer ground by placing it in the Internal Revenue Code. Second, it provides additional clarity to businesses about what constitutes an independent contractor with two new sections in the Internal Revenue Code – 3511 and 3512. Section 3511 includes the Safe Harbor. Section 3512 establishes a two-part test to determine whether a service provider and service recipient are not employee and employer respectively.

“We applaud Congressman Paulsen for his introduction of this bill,” adds Benko. “It provides the kind of pro-business, pro-growth effort that helps all of us in the private sector continue contributing to the nation’s economy.” 

About the Customized Logistics and Delivery Association
The Customized Logistics and Delivery Association (CLDA) is a non-profit professional association that is the voice of the time-critical logistics and delivery industries.  The association serves the needs of its 3,500 members who are logistics professionals, carriers, shippers, drivers and 3 PLS. Since 1987, CLDA has provided business opportunities, advocacy and education for those involved with the time-critical and last-mile customized delivery industry. For more information see www.clda.org.

 
Media Contact 
Andrea Obston 
aobston@aomc.com 
(860) 243-1447 – office 
(860) 803-1155 – cell 

Gil Carpel shares comments about 2017 CLDA Hall of Fame inductee Rob Hackbarth.

Carol Hackbarth beams with pride as Rob Hackbarth accepts the 2017 CLDA Hall of Fame.

Gil Carpel hands Rob Hackbarth the 2017 Hall of Fame plaque.


President John Benko congratulates Rob Hackbarth with Hall of Fame plaque in hand.