Broker-shipper transparency has been an issue for a while now. As reported by Transport Topics, regulators plan to consider making these transactions more transparent. The owner-operators want the pricing documents to be public. Brokers, on the other hand, want none of that.
FMCSA's Take
FMCSA has acknowledged the owner-operators' request for more transparency, which was made a few years ago. The request, which involves brokers making transaction records available after 48 hours of service, has not been universally welcomed. However, the FMCSA's decision on this matter will undoubtedly have a significant impact on the industry.
OOIDA's Take
OOIDA claims that they are fighting for their members. They want access to contractual documents that brokers are seeking to keep private. They claim they will protect carriers from bad brokers when this information is public. They also added that the practice will make the market fair to everyone.
It has been over two years since the petition for transparency was submitted. The public has voiced their support, and now the owner-operators are eagerly awaiting the agency's decision. They are hopeful that increased transparency will lead to lower consumer costs and a fairer market. With transparency, they believe, the industry can move towards a more balanced and equitable future.
The Transportation Intermediaries Association's Take
TIA is actively fighting the petition. They claim that those documents are private and should remain so. TIA disagrees with what OOIDA is fighting for. They argue that there are hidden agendas with the petition. TIA says that it wants to get control over pricing. TIA President Anne Reinke stated that she is unsure what they think they are hiding. TIA has resigned to the idea that FMCSA will act upon the petition.
Reinke noted that when Covid-19 hit, brokers were blamed for the low prices. They claimed that brokers made money off the pandemic. She said that those claims were nothing close to the truth. Recently, the prices have gone higher since there has been more purchasing. TIA has made it clear that it will fight the petition. They claim that it is not coming from a genuine place.
