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PeopleNology by Gregory Bodenhamer Ph.D. M.I.T.

“Less than truckload” (LTL) cargo is the first category of freight shipment, and represents
the majority of “freight” shipments and the majority of business‐to‐business (B2B)
shipments. LTL shipments are also often referred to as \"motor freight\" and the carriers
hi LTL hi l f f d \" f i h\" d h i
involved are referred to as \"motor carriers\". LTL shipments range from 100 pounds to
about 15,000 pounds, and the majority of times they will be less than 100\" wide or 28’
long. The average single piece of LTL freight is 1,200 pounds and the size of a standard
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pallet. Long freight and/or large freight are subject to \"extreme length\" and \"cubic
capacity\" surcharges. Trailers used in LTL can range from 28' to 53'. The standard for city
deliveries is usually 48'. In tight and residential environments the 28' trailer is used the
most. The shipments are usually palletized, shrink‐wrapped and packaged for a mixed‐
most The shipments are usually palletized shrink wrapped and packaged for a mixed
freight environment. Unlike express or parcel, LTL shippers must provide their own
packaging, as LTL carriers do not provide any packaging supplies or assistance. However,
crating or other substantial packaging may be required for LTL shipments in circumstances
that require this criteria.
“Air cargo” or “air freight” shipments are very similar to LTL shipments in terms of size and
packaging requirements. However, air freight shipments typically need to move at much
faster speeds than 500 miles per day. Air shipments may be booked directly with the
faster speeds than 500 miles per day Air shipments may be booked directly with the
carriers or through brokers or online marketplace services. While shipments move faster
than standard LTL, “air” shipments don’t always actually move by air.

In the United States of America, shipments larger than about 15,000 pounds are typically
classified as “truckload” (TL), given that it is more efficient and economical for a large
shipment to have exclusive use of one larger trailer rather than share space on a smaller
shipment to have exclusive use of one larger trailer rather than share space on a smaller
LTL trailer. The total weight of a loaded truck (tractor and trailer, 5‐axle rig) cannot exceed
80,000 pounds in the U.S. In ordinary circumstances, long‐haul equipment will weigh about
35,000 pounds; leaving about 45,000 pounds of freight capacity. Similarly a load is limited
to the space available in the trailer; normally 48 or 53 feet long and about 100 inches wide
and 106 inches high. While express, parcel, and LTL shipments are always intermingled with
other shipments on a single piece of equipment and are typically reloaded across multiple
pieces of equipment during their transport, TL shipments usually travel as the only
pieces of equipment during their transport, TL shipments usually travel as the only
shipment on a trailer and TL shipments usually deliver on exactly the same trailer as they
are picked up on.
Often, an LTL shipper may realize savings by utilizing a freight \"broker,\" online marketplace,
or other intermediary instead of contracting directly with a trucking company. Brokers can
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shop the marketplace and obtain lower rates than most smaller shippers can directly. In the
Less‐than‐Truckload (LTL) marketplace, intermediaries typically receive 50% to 80%
discounts from published rates, where a small shipper may only be offered a 5% to 30%
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discount by the carrier. Intermediaries are licensed by the DOT and have requirements to
provide proof of insurance.

Truckload (TL) carriers usually charge a rate per mile. The rate varies depending on the
distance, geographic location of the delivery, items being shipped, equipment type
required, and service times required. TL shipments usually receive a variety of surcharges
required and service times required TL shipments usually receive a variety of surcharges
very similar to those described for LTL shipments above. In the TL market, there are
thousands more small carriers than in the LTL market; so the use of transportation
intermediaries or “brokers” is extremely common.
Another cost‐saving method is facilitating pickups or deliveries at the carrier’s terminals. By
doing this, shippers avoid any accessorial fees that might normally be charged for liftgate,
residential pickup/delivery, inside pickup/delivery or notifications/appointments. Carriers
or intermediaries can provide shippers with the address and phone number for the closest
or intermediaries can provide shippers with the address and phone number for the closest
shipping terminal to the origin and/or destination.
Shipping experts optimize their service and costs by sampling rates from several carriers,
brokers, and online marketplaces. When obtaining rates from different providers, shippers
may find quite a wide range in the pricing offered. If a shipper uses a broker, freight
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forwarder, or other transportation intermediary, it is common for the shipper to receive a
copy of the carrier's Federal Operating Authority. Freight brokers and intermediaries are
also required by Federal Law to be licensed by the Federal Highway Administration.
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Experienced shippers avoid unlicensed brokers and forwarders; because if brokers are
working outside the law by not having a Federal Operating License, the shipper has no
protection in the event of a problem. Also shippers normally ask for a copy of the broker's
insurance certificate and any specific insurance that applies to the shipment.
insurance certificate and any specific insurance that applies to the shipment

Very small business or personal items like envelopes are considered “overnight express”
or express letter shipments. These shipments are rarely over a few pounds, and almost
or “express letter” shipments. These shipments are rarely over a few pounds, and almost
always travel in the carrier’s own packaging. Service levels are variable, depending on the
shipper’s choice. Express shipments almost always travel some distance by air. An
envelope may go USA coast to USA coast overnight or it may take several days, depending
on the service options and prices chosen.
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Larger items like small boxes are considered “parcel” or “ground” shipments. These
shipments are rarely over 100 pounds, with no single piece of the shipment weighing
more than about 70 pounds. Parcel shipments are always boxed, sometimes in the
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shipper’s packaging and sometimes in carrier‐provided packaging. Service levels are again
variable; but most “ground” shipments will move about 500‐700 miles per day, going
coast to coast in about four days depending on origin. Parcel shipments rarely travel by
air, and typically move via road and rail. Parcels represent the majority of business‐to‐
air and typically move via road and rail Parcels represent the majority of business to
consumer (B2C) shipments.
Beyond HHG, express, and parcel shipments, movements are termed “freight shipments.”

By contrast, freight transportation is handled
by a variety of networks. The largest carriers of
freight, by weight, are trucks (60%), followed
by pipelines (18%), rail (10%), ship (8%), and
by pipelines (18%), rail (10%), ship (8%), and
air (0.01%).[8] Planes are commonly used only
for perishables and premium express
shipments. Other modes of transportation
such as parcel and intermodal accounted for
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about 3% of the remainder.
Usually cargo, apart from petroleum and other
bulk commodities, is imported in containers
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through seaports, then distributed by road and
rail. The quasi‐governmental United States
Postal Service has a monopoly on letter
delivery (except for express services) but
delivery (except for express services) but
several large private companies such as FedEx
and UPS compete in the package and cargo
delivery market.

With any transportation decision, speed to destination is an important factor in
choosing any particular type of infrastructure. Overland transportation in the late 18th
choosing any particular type of infrastructure Overland transportation in the late 18th
century was by horse, and water and river transportation was primarily by sailing
vessel. The United States population was centered on its Atlantic coast, with all major
population centers located on a natural harbor or navigable waterway. Low population
density between these centers resulted in heavily reliance on coastwise and riverboat
shipping. The first government expenditures on highway transportation were funded to
speed the delivery of overland mail, such as the Boston Post Road between New York
City and Boston MA. Due to the distance between these population centers and the
City and Boston MA Due to the distance between these population centers and the
cost to maintain the road, many highways in the late 18th century and early 19th
century were private (i.e Plank roads and other turnpikes). Most highways, however,
were unimproved and impassable at least some of the year by wagon. Economic
expansion in the late 18th century to early 19th century spurred the building of canals
to speed goods to market, of which the most prominently successful example was the
Erie Canal.

Railroads brought the canal boom to a sudden end, providing a quick, scheduled and
year round transport which quickly spread to interconnect the states by the end of the
19th century. As part of the industrialization of the United States after the Civil War,
railroads, led by the transcontinental rail system in the 1860s, expanded quickly across
the United States to serve industries and the growing cities. During the late 19th
the United States to serve industries and the growing cities. During the late 19th
century, railroads often built redundant routes to a competitor’s road or built through
sparsely populated regions that generated little traffic. These marginal rail routes
survived the pricing pressures of competition, or the lack of revenue generated by low
traffic, as long as railroads provided the only efficient economical way to move goods
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and people across the United States. In addition to the intercity passenger network
running on Class I and II railroads, a large network of interurban (trolley or \"street
running\") rail lines extended out from the cities and interchanged passenger and
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freight traffic with the railroads and also provided competition.

The advent of the automobile signaled the end of railroads as the predominant
transportation for people and began an era of mobility in the United States that added
transportation for people and began an era of mobility in the United States that added
greatly to its economic output. The early 20th century Lincoln Highway and other auto
trails gave way in the 1920s to an early national highway system making the automobile
a preferable way to travel for most Americans. Interurban rail service declined, followed
by trolley cars d i
b t ll due in part to the advent of motorized busses and the lack of dedicated
t t th d t f t i db d th l k f d di t d
rights‐of‐way but also by deliberate efforts to dismantle urban rail infrastructure (see
Great American streetcar scandal). The scarcity of industrial materials during World War
Two slowed the growth of the automobile, briefly reemphasizing much of the nation's
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declining rail network. In the 1950s, the United States renewed building a network of
high‐capacity, high‐speed highways to link its vast territory. The most important element
is the Interstate Highway system, first commissioned in the 1950s by President Dwight D.
Eisenhower and modeled after the German Autobahn system
and modeled after the German Autobahn system.

With the advent of commercial airline industry, intercity rail began to suffer a loss of
ridership. As the civil air transportation network of airports and other infrastructure
expanded, air travel became more accessible to the general population of the United
States. Technological advances ushered in the jet age, which increased airline
capacity, while decreasing travel times and the cost of flights. The economical
efficiency of flying severely decreased intercity rail ridership by the late 1960s to a
efficiency of flying severely decreased intercity rail ridership by the late 1960s to a
point where railroads could no longer profitably operate their network of passenger
trains. By the early 1970s almost all passenger rail operation and ownership had
been transferred to various municipal, state and federal agencies. Rail transportation
in the United States remains heavily subsidized as a percentage of cost of the ticket.

Railroads continued to decline as motor freight captured a significant portion of the
less‐than‐carload business. This loss of business, when combined the highly regulated
operating environment and constrained pricing power, forced many railroads into
operating environment and constrained pricing power forced many railroads into
receivership and the nationalization of several critical carriers into the Consolidated Rail
Corporation (Conrail). Deregulation of the railroad industry with the Staggers Act in
1980 created a regulatory environment more favorable to the economics of the railroad
industry. In the 1990s, the increase in foreign trade and intermodal shipping containers
id I h 1990 h i if i d di d l hi i i
led to a revival of the freight railroads, which have effectively consolidated into two
eastern and two western private transportation networks: Union Pacific and BNSF in the
west, and CSX and Norfolk Southern in the east.
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Wartime expediency encouraged long distance pipeline transport, which was greatly
expanded in the middle 20th century to take over most of the domestic long‐haul
market.

•Auto haulers work hauling cars on specially built trailers and require specific skills to load and operate this type of specialized trailer.
•Dry Van drivers haul the majority of goods over highways in large trailers. The contents are generally non-perishable goods.
•Flat Bed drivers haul an assortment of large bulky items. A few examples are tanks, steel pipes and lumber. Drivers must have the ability to
balance such loads correctly.
•LTL drivers (or \"less than truck load ) usually handle local delivery jobs where goods are delivered and unloaded by the driver at multiple
less load\") jobs,
locations, usually involving the pulling of double or triple trailer combinations.
•Reefer drivers haul refrigerated or frozen goods.
•Local drivers work only within the limits of their hometowns or only travel to nearby towns. They return home nightly.
•Household Goods drivers (or \"bedbuggers\") haul personal effects for families who are moving from one home to another.
A container truck.
•Regional drivers may work over several states near their home. Thus they are usually away from home for short periods.
•Interstate drivers (otherwise known as \"over the road\" or \"long-haul\" drivers) often cover distances of thousands of miles, and are away from
home for a week or more. To help keep these drivers on board, companies often employ team drivers.
•Team drivers are two drivers who take turns driving the same truck in shifts (sometimes a husband and wife), or several people in different
states that split up th h l t k
t t th t lit the haul, to keep f
from b i away f
being from h
home f i t l bl l
for intolerably long periods.
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•Tanker drivers (in truck driver slang tanker yankers) haul liquids, such as gasoline (petrol), diesel fuel, milk, & crude oil, and dry bulk
materials, such as plastics, sugar, flour & cement in tanks. Liquid tanker drivers need special driving skills due to the load balance changing
from the movement (sloshing) of the liquid. This is especially true for milk tankers, which do not contain any and are a single compartment (due
to sanitation requirements).
•Vocational drivers drive a such as a dump truck, garbage truck, or cement mixer.
•Container Intermodal drivers do all of the above, except their cargo containers are lifted on or off the chassis, at special intermodal stations.
Container

The United States employs a truck classification system, and truck drivers are required to have a Commercial Driver's
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License (CDL) to operate a CMV weighing in excess of 26,000 pounds. Although some state motor vehicle departments
administer the CDL program, most are tested through a third party organization. Acquiring a CDL requires a skills test
(driving test), and knowledge test (written test) covering the unique handling qualities of driving a large, heavily loaded 18-
wheeler, and the mechanical systems required to operate such a vehicle (air brakes, suspension, cargo securement), plus
a strict medical checkup every two years. For passenger bus drivers, a current first aid certificate is also required.
Most states require a person to be only 16 years of age to obtain driver's license for a car or a motorcycle license To work
driver s car, license.
as a truck driver, a person must be at least 18 years of age to obtain a CDL license. However, people age 18 but under 21
are not allowed to operate a CMV (Commercial Motor Vechile) outside of their licensed state (i.e. crossing state lines). It is
not until age 21 that the Department of Transportation allows for CDL holders to cross state lines in a CMV. Because of
this, many young people between the ages of 18 & 20 are limited on employment opportunities in the truck driving industry,
although insurance rates can also serve as a barrier to entry into the industry for them as well. Most major trucking
companies require job applicants to be at least 21 years of age due to the fact that the majority of their freight crosses state
lines.
The U.S. Department of Transportation (DOT) spells out the various classes of CDLs and the requirements to obtain one.[5]
•Class A - Any combination of vehicles with a GVWR (gross vehicle weight rating) of 26,001 or more pounds provided the GVWR of the
vehicle(s) being towed is in excess of 10,000 pounds.
•Class B - Any single vehicle with a GVWR of 26,001 or more pounds, or any such vehicle towing a vehicle not in excess of 10,000
pounds GVWR.
A tanker truck.
•Class C - Any single vehicle, or combination of vehicles, that does not meet the definition of Class A or Class B, but is either designed
to transport 16 or more passengers, including the driver, or is placarded for hazardous materials.