The U.S. rail industry has been rocked by the abrupt end to President Donald Trump’s $1.1 trillion stimulus package, which has left companies scrambling for new ways to fund their operations and their employees scrambling for ways to stay on top of the latest technological advancements.
Industry officials say the downturn has left them with no choice but to scale back their operations, laying off tens of thousands of workers.
Industries in the rail and trucking sectors are facing a looming crisis with the shutdown of a vital industry, one that employs over 500,000 people and contributes $20 billion annually to the U.A.E. economy.
The American Railroads and Trucking Association (AARTA) has warned that rail services could be shut down until 2019.
The shutdown of American rail service is expected to affect thousands of trucking companies, whose businesses depend on freight shipments from America’s largest railroads.
Some companies that depend on rail shipments are facing shutdowns of their entire operations and have begun hiring people to help manage the chaos, a process that is expected in some places.AARMA’s CEO, Charles Kiefer, told The Wall Street Journal that a significant portion of American freight is transported by rail and that the shutdowns will “cause havoc in the transportation sector for years to come.”
“It’s going to impact a lot of our operations and our ability to do business,” Kiefersaid.
“We’re looking at it as an existential threat for the industry.”
The effects of the shutdown are already being felt.
For example, a federal court order requiring truckers to start rerouting their vehicles on Monday could affect thousands more, forcing thousands more to start commuting by bus, truck, or train.
“The effects are already on our face, in the trucking business,” said Terry Stoddart, president of the American Trucking Associations’ National Association of Trucking Companies, in an interview with Bloomberg News.
“There is going to be a big, bad, slow-moving impact on the industry.
It will affect all the truckers, it will affect our drivers.
It’s going, to be honest, to affect the entire industry.””
You’ll get the whole lot of them out of the industry,” said Stoddard.
“But it’s going be devastating for the whole industry.”
Stoddart says he is concerned about the safety of the thousands of drivers that he said would be forced to change jobs in order to keep their jobs.
AARP, which represents nearly 70,000 trucking, rail, and marine trucking workers, said it is also concerned about how the shutdown will affect truckers’ ability to pay their bills.
“This is going down the road of a loss of a job,” Stoddarsaid.
Stoddartsaid the number of people who will lose their jobs, or who have to take on unpaid work in order for them to continue their careers, is “minimal.”
“This will be devastating,” he said.
Stoddard also expressed concern that a shutdown could lead to more people leaving the workforce and further eroding the workforce.
“It’s really going to hit the economy,” he told Bloomberg.
“I don’t think anybody wants to see it go this way.”
Stood in a small office in a brick-and-mortar trucking dealership in suburban Kansas City, Kansas, is William A. Gorman, who owns Gorman Trucks.
He has been running his trucking operation for 15 years.
“A lot of these things were put in place to support the economy and we’re just now in a state of crisis,” he explained.
“And now we’re getting hammered.
We’re not getting paid enough to survive.
The only thing we’re going to do is find ways to get by.”
Trucking is a core industry for the United States and its allies.
But the disruption caused by the federal government’s actions has made it even more important for Americans to stay connected to their work.
“I have a hard time believing that I am the only person that thinks that we should stay here in the United Kingdom or Canada or Germany,” Gorman said.
“The fact that I’m from the United states, and we’ve been able to get a good economy here, that’s something that I want to live up to.”
“The United States is a very, very, small country, and if the United State doesn’t get its act together, this could all go away very, VERY fast,” Gomer said.