More “Fear instead of facts” from OOIDA (what else do we expect)
Aug 16, 2007 Opinions
Just when you thought things were calming down, OOIDA, refusing to accept the inevitable, finds it necessary to put forth more lies and distortions of the truth to further it’s agenda and coerce people into wasting their money on a membership.
Here’s todays “Special Report. from the imaginations of OOIDA
SPECIAL REPORT: Mexico plans to send trucks across border this month
In a business meeting on Tuesday, Mexican Transportation Secretary Luis Te?llez Kuenzler announced that “necessary conditions” in Mexico are a reality. He also said he had been informed by the U.S. Department of Transportation that 37 Mexican carriers have been evaluated as satisfactory.
T21 also reported that on Wednesday, Te?llez stated through a press release that the necessary conditions existed to develop the project and declared the Mexican government has decided to stick to the proposed start date, which is the last week of August.
That is OOIDA’s side of the story, and as always, anything they have to say about the Mexican truck issue is suspect, at best.
Here is the true story.
T21 is a national transportation magazine, very similiar to The Trucker and Overdrive and Truckers News to name a few.
Today, they published an article but the article in questioned says the exact opposite of what OOIDA is claiming.
The headline, Podría posponerse nuevamente programa piloto .
In english, this is “Pilot Program could be postponed again”! There is a slight difference in the version OOIDA is trying to foist off on the public and the truth of what was said.
Here is a rough translation of the Mexican article and you can see for yourself exactly what the Mexican Transportation secretary said. It is also mentioned that 32 American companies have expressed interest in operating in Mexico but to date, only 5 have begun the application process which is parallel to the FMCSA PASA.
Because the Secretariat of Communications and Transporte (SCT) still does not count on the authorization of a autotransportista company of the United States to enter Mexico, the beginning of the program pilot could be delayed again, considered the National Camera of the Motor transport of Load (Canacar).
Tirso Martinez explained that with base in the information presented/displayed by the SCT in the celebrated interinstitutional table of last Tuesday, of 32 companies of the United States that has shown interest to participate in the demonstrative project, only five have acceded the registry to come for the inspection of Mexican authorities, and to reach the corresponding authorization.
By this situation, Manuel did not add life advisory Go’mez of the Canacar, of not counting itself on any company that is at readiness to enter Mexico, the national carriers would do the own thing in the United States either. As one will remember the first proposal of this program was that the carrier Mexican entered as of April and six months later the Americans, exposition who were rejected by the House of Representatives and the Senate of that country, not being equitable.
In as much, on the part of the Mexican carriers who are interested in participating, 37 companies surpassed of satisfactory form the audits of the Motor Federal Safety Carrier Administration (FMCSA, by its abbreviations in English), despite not yet are counted on the authorization for some of them.
In its first stage, the program pilot contemplates that at the end of August or principle of September, 25 autotransportistas companies of each country enter both territories, beyond the commercial zone to be able to make the service door door, so that to the passage of four months the one hundred companies with which are completed to look for to make this project.
I keep asking myself when the opponent of this program will finally realize their efforts are in vain and instead of using the fear factor and the politics of terror, with a little old fashioned racism thrown in for good measure, and try telling the public the truth.
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August 17th, 2007 at 7:13
[...] their own agenda. Unfortunately, the story they based this report on has expired, but there is a translated version on my [...]
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September 1st, 2007 at 8:40
My concerns of the Mexican trucking companies coming into the US are… I the mexican companies can pay less wages of driver pay than I can afford to live based on my current wage as an owner operator. How will I be able to sustain my current way of life on less of a profit margin ? Or should I consider myself lucky for the past and bite the bullet and live on less than current driver wages of the US.
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September 1st, 2007 at 8:55
Thanks for your comments and I can appreciate your concerns David, as a former owner operator and now driving for a single truck owner with complete control of the equipment.
Driver wages are only a small part of the cost of operation as you know. It doesn’t matter whether the carrier is Mexican, American or Canadian, there are certain fixed costs.
The cost of fuel is the same for all carriers. You will hear that fuel in Mexico is only $.50 per gallon. That is a deliberate distortion of the truth. I filled my Jetta TDI at a PEMEX station in Nuevo Laredo yesterday at a cost of $5.664 pesos per litre. That translates into about $2.30 per gallon. (5.664 x 3.82 = ppg)
In addition, the Mexican carriers will need to purchase additional insurance to satisfy requirements of FMCSA. The insurance for my truck is $110.00 per month but you can be certain the Mexican will be hit with a larger bill than that.
Money in Mexico is expensive to borrow and interest rates hover around 15% on commercial loans and for a shorter term, usually 3 years compared to our 5. Thus, the payments on the rigs are more expensive.
So the lower wages paid to a Mexican trucker is more than offset by expenses the rest of us do not have to contend with.
And contrary to common belief, the Mexican trucker is not paid 13 cents per mile. Wages are a combination of hourly and mileage. The hourly wages plus overtime are specified and enforced by the Department of Labor in Mexico and coincide with Mexican HOS rules. Mileage pay is generally around 17-19 cpkm.
Just as the Canadians have not taken anything from us as was the hysteria back in the days when we were preparing to open the border to them, neither will the Mexicans. And I don’t know if you’ll remember or not, but back in the day, the same arguments were being made against the Canadians by many of the same groups, and none of what was claimed came to fruition.
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