Friday, September 7, 2018 • Neepawa, Manitoba
neepawa
Banner RiveRs & Press BanneR
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Celebrating National Trucking Week r T a n e s n f e o t r s L d t a d. l G 65 years of success
One of the fleet of 30 trucks operated by Gladstone Transfer Ltd. This family owned company has been in business for three generations.
By Ken Waddell Banner Staff Humble beginnings are the best way to describe the start of Gladstone Transfer Ltd. From one truck and one driver in 1952, the rural Manitoba company has grown to 30 trucks and 50 employees in 2018. The first generation member and founder of the company were John A. ( Jack) Kinley who started out in 1949 as
a partner with John Ross but bought out Ross in 1952. Back in the 1950s, the core business was hauling livestock to Winnipeg’s St. Boniface Stockyards and general freight back to Gladstone and some surrounding communities. Now 65 years later, Jack Kinley’s grandson Scott, explains from his office in the company headquarters in Gladstone, that hauling livestock and general freight is a thing of the past. As
livestock producers know, St. Boniface has been long closed, livestock is often hauled to local livestock marts nowadays by the owners and hauled away by trucking firms specializing in livestock hauling. “For general freight, most (retail) companies have their own trucks now,” said Kinley. Second generation The second generation, his dad, Tom is still very much involved in the business
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and his uncle Ken, was heavily involved for a number of years before establishing a local accounting firm. Sadly, Jack Kinley passed away in 1979. Operating out of a well-equipped office and wash/repair facility on the south side of Gladstone, the company has grown to be one of the largest employers in Gladstone. Continued on page two
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Celebrating the past, but looking to the future Continued from page one “We have had to diversify to being a commodity based company hauling grain, fertilizer, aggregate (sand, gravel, rock). The company hauls mostly across the prairie provinces but is licensed across Canada and can go into the United States. “Basically, we haul from Ontario to BC and everywhere in between,” Kinley noted. With over 50 people on the payroll, recruitment has expanded beyond the local area bringing drivers from overseas. Countries of origin include Moldova, Croatia, England, Scotland, Lithuania, Belgium, Ukraine, Bulgaria and Eritrea. The company has helped the local real estate market as many of the employees have naturally taken up residence in Gladstone. Challenges faced When asked what challenges are faced by the trucking industry Kinley said, “Today’s equipment reliability is only a fraction of what it used to be. We are now a 100 per cent SCR powered fleet now. There is no longer the black smoking diesel trucks.” But Kinley explained that also means there is a lot of sensors on board that can shut a truck down. “We end up towing a truck on average of once a week.” It’s a challenge that happens across the industry as the company uses four brands, Freightliner, Volvo, Western Star and Kenworth trucks. Kinley cited other challenges such as the weak Canadian dollar combined with the cost of trucks and truck repairs. Testing challenges Getting drivers tested is also a challenge at all times as MPIC (Autopac) are short of driver testing opportunities and there can be a wait time for tests of 8-12 weeks. The actual road testing sites are not all that conveniently located as they are as far away as Steinbach, Swan River and Thompson. The written exams are conducted at Portage, however more difficult by the day to get an appointment. Attracting young people into the trucking industry is something Kinley wishes was promoted more in the education system. He feels that when he was in school, trades and trucking were downplayed as career options and it is still that way. “A person can be paid quite well and be happy in the industry, maybe even happier than other occupations more promoted by the education system. As to success, Kinley noted. “We have been in business for 65 years in a rural Manitoba setting. The business, over the past five years has taken me all over the world (recruiting and learning). A lot of the work we do comes from outside of Canada. We have brought 15 new families to Gladstone and increased the property tax base in town. We have brought value to our community but finding affordable housing, a place to live is a challenge. The people we bring in help our community, our grocery store, gas station, the butcher shop, etc.” Expansion planned Looking to the future, he sees adding a second mechanic and more repair capacity to their shop. “Taking more repairs in-house will add five more jobs to the company.” Kinley thinks self-driving trucks may come but thinks electric trucks will come first. “Humidity and temperature extremes may hinder the electric truck idea.” He noted that as the company looks to the future the e-logs will make for better driver time utilization and that technology will only increase. “I don’t think it will hurt the bottom line.” Kinley is the third generation in the business but his family is very young so he doesn’t know if they will follow the family business path. However he did say he was happy in the trucking business so only time will tell.
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Trucking industry driving Manitoba Industry contributes over $2 billion annually to province’s GDP
ers they operate to keep Manitoba moving. Not only is trucking important to Manitoba, the province is important to the industry nation-wide. Five of Canada’s top 50 carriers are based in Manitoba and while Manitobans account for 3 per cent of the Canadian population, the Manitoba trucking industry represents 5.1 per cent of the industry nation-wide.
By Kate Jackman-Atkinson Banner Staff
Whether it’s the Trans Canada Highway or a country road, the trucking industry is ever present— one thing is for certain, Manitoba moves by truck. Transportation has always been a vital part of the province and today, the highways passing through the “Heart of the Continent” are just another Moving forward step in the evolution of an industry that No industry can stand still, especially one began with the river systems used for trade based on moving forward. Operating in an by the First Nations. While the technology ever-changing environment, the industry has changed, the industry’s importance to is always looking at ways of improving efManitoba and its people has not. ficiency and safety. Fuel represents one third of the industry’s A vital link operating costs and technological advances PHOTO BY DIANE WARNER Manitobans might not give it much in terms of engine design and aerodynamics thought, but the trucking industry is respon- The impact of the trucking industry branches out to every variety of business, are helping trucking companies stay on top sible for keeping local economies moving from construction to agriculture and more. of these costs. However, with a provincial along. Almost every product bought and carbon tax set to come into effect, the 6.7 cent jump in sold in the province has spent some portion of its journey Business Development Manager at MTA. the price of diesel on Sept. 1 will hit the trucking industry to the end consumer on a truck. Manitoba Trucking AsBut the industry isn’t just important to consumers, it’s especially hard. MTA estimates that the tax will cost sociation (MTA) figures find that approximately 95 per an important employer in the province too. According heavy diesel vehicles an additional $50 million each year, cent of goods moved within Manitoba depend on trucks. to MTA data, for-hire trucking directly and indirectly on top of the $318 million in taxes already paid by the “Not only does trucking connect our rural communities employs 4.6 per cent of Manitoba’s labour force. Nationindustry. MTA said that the industry, which accounts with employment opportunities, the rural communities ally, over 268,000 Canadians are truck drivers, making it for less than 11 per cent of the province’s emissions, will rely on the industry for delivery of every day items. These one of the top occupations in the country. The trucking be paying about 20 per cent of the total taxes expected items would be anything from groceries, fuel, building industry contributes more than $2 billion to Manitoba’s to be collected. supplies and everything in between. Some northern GDP— the provincial economy depends on the over 500 Continued on page six communities rely solely on our industry to help connect for-hire trucking companies headquartered in Manitoba them to these everyday items,” said Don Stewart, Senior and the more than 15,000 power units and 20,000 trail-
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National Trucking Week
National Trucking Week
Westman moves by truck! PHOTO BY DIANE WARNER
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DID YOU KNOW? There are about 108,000 commercial plated vehicles in Manitoba Public Insurance?
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PHOTO COURTESY REDLINE TRANSPORT
From the Rivers Banner and Neepawa Banner & Press to all of the participating businesses:
Thanks to all of those who keep Manitoba moving!
DID YOU KNOW? According to MPI records, there are about 40,000 Class 1 DL holders in Manitoba?
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Drivers are the industry’s most valuable resource
Continued from page three When the carbon tax was announced, there was an expectation that the “Made in Manitoba” plan would be revenue neutral and tax revenues collected would be reinvested into environmental programming and energy reduction initiatives. As the carbon tax will have a big impact on its members, the MTA worked with the provincial government in the hopes of collaborating on a greenhouse gas reduction strategy for commercial vehicles and investment in the GrEEEner Trucking Efficiency Initiative. This program is a partnership between Manitoba Infrastructure and Transportation, the Manitoba Trucking Association, the Centre for Sustainable Transportation and University of Manitoba Transport Institute, which offers incentives to companies or owner-operators that install various technological improvements to reduce their environmental footprint. Unfortunately, in March, the MTA issued a release saying that wouldn’t be the case. Instead, the government has stated that carbon tax revenues will be directed towards income tax and other cuts and that more carbon tax would be collected, than returned to Manitobans. Stewart said they are still trying to work with the provincial government on a collaborative solution that will result in meaningful changes to the industry’s carbon footprint. He explained that they hope money can be made available to help with further implementation of fuel saving technologies, as well as reward the majority of
companies already using these technologies. What could have helped reduce the industry’s environmental impact will now just be an added cost of doing business, to be passed on to customers. In addition to technological advances to reduce fuel usage, new technology has been implemented with the goal of improving road safety. One such technology is electronic log devices (ELD). These devices replace paper log books and must be connected to the truck’s engine, allowing them to electronically log drivers’ hours of service, including when they are driving and when they are on-duty, but not driving. The requirement that trucks be equipped with ELDs came into effect this year in the United States and any Canadian-based truck working south of the border already has to be outfitted with a device. Stewart said that while there has been concern at first, feedback from drivers and companies has been positive. While they aren’t required in Canada yet, a Canadian ELD mandate is currently being developed and its expected they will be required by 2020. Most valuable resource The industry relies on its drivers, many of whom are getting older. The average age of a professional driver is 53 years and like many skilled trades, there is a shortage of young people entering the industry. A study commissioned by the Canadian Trucking Alliance predicts the industry will be short 48,000 drivers by 2024. Today,
the shortage is already being felt by companies looking to hire new drivers. To help train more professional drivers, the MTA has partnered with the provincial government on a driver training program. This program, which can be accessed through MTA, provides funding to those training as a Class 1 driver. The need for more drivers isn’t expected to go away any time soon. Goods will still need to be moved and while autonomous trucks are in the prototype phase, the expectation is that this technology will support drivers, instead of replacing them. In addition to getting new drivers into trucks, keeping the existing workforce healthy is also a priority. In order to reduce the approximately 1,100 occupational injuries experienced annually by those within the trucking industry, RPM, a trucking-specific workplace health and safety program was established. Now it its third year, Stewart says that the program is gaining lots of traction. “It’s really taking off,” he said. RPM is available to all members of the industry, not just MTA members, and provides training, education and advisory services targeted to the trucking industry and its unique working environments. In addition to its primary goal of helping to reduce injuries, participation in RPM can result in savings on WCB premiums. To date, Stewart said that the program has saved the industry over $600,000 in premiums. Continued on page seven
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Without trucks, nothing much moves in Canada. Many more trucking industry jobs are expected to open up by 2024.
Continued from page six Despite the challenges, the industry faces many opportunities. With an increased emphasis on just in time delivery, the demand for the flexible type of transportation provided by the for-hire trucking industry won’t be diminishing. Cutbacks and the decommissioning of rail lines has also created more demand for truck-based transportation. Given the integral role trucking plays in tying together buyers and sellers at all levels of the sup-
ply chain, the industry is well positioned for the future. “Everything ends up on a truck, there’s more and more freight, there’s more to move,” explained Stewart. As trucks roll down the province’s roads, few think about how life would be different without them. National Trucking Week gives the industry the opportunity to remind Canadians of the important role the industry plays in keeping Manitoba moving forward, now, and in the future.
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PROUDLY SERVING CUSTOMERS FOR OVER 65 YEARS. PHOTO COURTESY OF REDLINE TRANSPORT
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