The latest Bureau of Labor Statistics (BLS) data reveals a remarkably flat month for trucking employment, with the sector adding just 100 jobs. After months of fluctuation, the total number of truck transportation jobs stands at roughly the same level as February and remains down year over year. Notably, the BLS survey does not capture independent owner-operators, meaning the figures reflect only W-2 employees at carriers. For an industry where labor capacity directly constrains how much freight can move, flat hiring tells carriers and shippers alike that the driver pool is neither expanding nor contracting in any meaningful way.

Freight market journalist John Kingston, speaking on FreightWaves' program, described the jobs picture as "boring, very boring this month." The stagnation may actually be encouraging for the industry. Economist Jason Miller had previously warned that fleets tend to overcorrect during upcycles by hiring too many drivers, which floods the market with capacity, depresses rates, and shortens the cycle. The current data suggests that overcorrection is not occurring, which some analysts view as a signal that the current freight cycle — potentially a "supercycle" — could be more sustained. While BLS data excludes owner-operators, Kingston noted that there is likely a historical correlation between W-2 trucking jobs and independent operator counts, since both serve the same market.

Oil and Diesel Markets: Middle East Tensions and Russian Refinery Strikes

Oil and diesel markets have been highly reactive to geopolitical developments. The Strait of Hormuz, through which roughly a fifth of global oil consumption routinely passes, is one of the world's most critical energy chokepoints. Over a recent weekend, suggestions of potential progress toward a deal involving the Strait triggered a sell-off in the first days of the trading week. However, as those peace prospects appeared to fade, prices rebounded. The price of ultra-low sulfur diesel on the CME rose approximately $0.12 over two days. Vessel traffic through the Strait of Hormuz has not shown any significant increase in recent days.

Kingston noted that traders are responding forcefully to any hint of conflict resolution, as they do not want to be caught on the wrong side of the trade should peace materialize. While prices might initially decline upon a genuine resolution, Kingston pointed to lost production and damaged refining capacity that will take considerable time to repair, suggesting that any resolution could still result in bullish price pressures.

The crack spread — the price difference between crude oil and its refined products, a key indicator of refining profitability — currently stands at approximately $1.75. On the CME, diesel is now trading about $1 below gasoline — a notable reversal, as diesel traded under gasoline as recently as spring 2025. Diesel fuel typically ranks among the largest operating expenses for trucking fleets, so sustained shifts in pricing can materially affect carrier margins and ultimately freight rates. Kingston attributed much of the diesel spread to the Russia-Ukraine conflict rather than Middle East tensions. Ukrainian strikes on Russian refineries — facilities specifically designed to maximize diesel output — are having a tangible impact on global supply. Even though the United States consumes very little Russian diesel directly, the global market is deeply interconnected, and disruptions in one region ripple through the entire supply chain.

Reports indicate that Ukrainian forces have destroyed approximately 15 large-scale logistics warehouses in Russia, out of an estimated 40 such facilities in the country. Drone warfare has also caused significant civilian casualties, with widely circulated footage on social media depicting civilians, including a Ukrainian fruit stand vendor, being pursued by drones.

Fifth Circuit Reinstates Liability Claims Against Penske Entities

The Fifth Circuit Court of Appeals has reinstated liability claims against two Penske entities in connection with a fatal 2018 jackknife crash in Texas, delivering a significant setback to carriers and brokers who assumed that tendering a load down the chain extinguished their legal exposure. The practice of passing loads through multiple intermediaries — sometimes without the original shipper's full awareness — has long been common in freight brokerage, and the ruling calls into question whether any party in that chain can fully shed liability. The six-page ruling carries broad implications for how carriers and brokers structure freight transactions and vet downstream partners.

The load — originating from an automotive seat manufacturer — passed through at least four parties before the fatal accident. Penske Logistics, the asset-based carrier, first received the tender. It transferred the load to Penske Transportation Management (PTM), its managed transportation and brokerage arm. PTM then handed the shipment to Liberty Lane, which in turn brokered it to OK Trans, the carrier whose driver was involved in the crash that killed a motorist.

Two Distinct Rulings

The Fifth Circuit took two separate actions:

1. Reinstatement of PTM as a defendant: The court cited the U.S. Supreme Court's Charas v. Trans Air precedent, commonly referred to in the freight industry as the Montgomery decision, which eliminated the Federal Aviation Administration Authorization Act's (FAAAA) safety-exception shield for brokers.

2. Reversal of summary judgment for Penske Logistics: The court overturned a Southern District of Texas ruling that had protected Penske Logistics from vicarious liability as the employer of the downstream driver.

Attorney Mark Blubaw of the law firm Benesh told Kingston that the principle is well established: "When a carrier takes on a load, as it moves down the chain, it still has responsibility. It does not wipe its hands of it."

Kingston noted that although the appellate decision spans only six pages, it signals that a carrier's lack of knowledge about re-brokering further down the chain is unlikely to serve as an effective defense. "Based on my thin reading of what the judge said, I don't think that's going to make any difference," Kingston said.

The ruling stands in contrast to the C.H. Robinson case, where a broker was the entity that received the load. In the Penske case, the vicarious liability finding stems from the fact that Penske Logistics, a carrier, originally assumed control and responsibility for the freight before passing it through the brokerage chain.

Broader Implications for Freight Litigation

The Penske ruling is expected to prompt re-litigation in other brokerage cases where defendants previously won dismissal under the FAAAA's safety exception. Kingston said he expects "a lot of others" where brokers were previously protected will now be pulled back into active lawsuits and returned to federal district courts for further proceedings. The outcome is likely to influence how contract language between carriers, brokers, and shippers is drafted, as parties reassess indemnification clauses and downstream carrier vetting requirements.

The case also adds to a growing body of Texas litigation reshaping freight liability. Texas has been the epicenter of several high-profile cases, including the Lupus lawsuit, litigated in Dallas County despite the accident occurring in Mississippi, and the Warner case, which also involved a Home Depot lawsuit filed in Texas.

In a separate ruling this week, a Texas court rejected plaintiffs' attempts to extend shipper liability to Atlas Freight in an air freight operation — marking the second such defeat for plaintiffs in the state, following a similar outcome in the earlier Home Depot case.

The Texas state Supreme Court has generally trended pro-business on liability caps and has not shown significant activism in upholding large jury awards on appeal. However, federal district and appellate courts in Texas have proven less predictable, creating an evolving legal landscape for carriers, brokers, and shippers operating in the state.

Source: FreightWaves