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The sector grew by nearly 10,000 jobs compared to 2023.
In 2024, the road transport sector experienced the loss of thousands of jobs, but by the end of the year. Data indicated a stabilization in the labor market, which could signal the end of an overcapacity issue that had affected the sector for more than two years.
According to the latest data from the Bureau of Labor Statistics, 800 jobs were lost in the road transport sector in December. Although this marked the sixth and final decline of the year, in the last five months of 2024, job losses were recorded only twice, suggesting a trend of stability.
Job and wage increases in the road transport sector
After the pandemic, a surge of truck drivers entered the market to take advantage of high rates, but as market conditions normalized, the surplus of drivers put downward pressure on rates. This led to a reduction in the number of employees, with 42,000 fewer truck drivers since the employment peak in July 2022. In 2024, approximately 6,000 jobs were lost, a significantly lower number compared to the 35,000 jobs lost in 2023. Since August 2024, only 500 more jobs have been lost in the sector.
David Spencer, Vice President of Market Intelligence at Arrive Logistics, indicated that the stabilization of employment in the road transport sector coincides with the stability of rates over the past year, which could be a positive sign for companies in the sector. Spencer also anticipated that if rates continue to rise, employment could start growing again in 2025.
In terms of overall employment in transportation, the sector grew by nearly 10,000 jobs compared to 2023. However, compared to the peak in July 2022, employment decreased by 25,000 positions. Wages increased, with the average weekly earnings rising to $1,180.38.
256,000 new jobs in December
Nationally, the country added 256,000 new jobs in December, surpassing economists’ expectations. Although this also raised concerns about possible delays in interest rate cuts by the Federal Reserve. The unemployment rate decreased to 4.1% in December, while in the transportation sector, it remained at 4.3%, down from the pandemic peak of 15.7% in May and July 2020, but still above pre-pandemic level.
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